MR G from SDL response27 June 2021DEVELOPMENTS IN...

MR G from SDL response

27 June 2021DEVELOPMENTS IN CAMEROONSundance Resources Ltd (“Sundance” or the “Company”) notes media reports that the Government of Cameroon (“Cameroon”), through the Minister of Transport, Jean Ernest Ngallé Bibéhé, and the Minister of Mines and Industry, **riel Dodo Ndoke, signed a memorandum of understanding (“MoU” ) on 25 June 2021 in Yaoundé with AustSino Resources Group Ltd (“AustSino”) and Bestway Finance Ltd (“Bestway”) for the construction of the 510km railway connecting the Mbalam-NabebaIron Ore Project to the deep-water port of Kribi.Sundance also notes a Shareholder Update announcement dated 26 June 2021 by AustSino, a Perth-based company that was delisted from the Australian Securities Exchange in December 2020, confirming that it is a signatory to the MoU with Cameroon and Bestway.Sundance and AustSino had partnered for two years to work together on the development of the Mbalam-Nabeba Iron Ore Project, which included the development of the Mbalam mine in Cameroon and the Nabeba mine in the Republic of Congo (“Congo”) as well as the required rail and port infrastructure to deliver iron ore onto ships at Kiribi. As part of this partnership agreement and in good faith, Sundance introduced AustSino and several of AustSino’s Chinese industry partners to authorities in Cameroon and Congo.This partnership agreement, which was updated and extended a number of times, was underpinned by a commitment by AustSino to invest $29 million in Sundance to provide the Company with the financial strength to advance Mbalam-Nabeba’s development. The partnership agreement was terminated by Sundance in November 2020 because of AustSino’s inability to deliver on its investment commitment.Less than one month after Sundance terminated the partnership agreement with AustSino, Congo illegally and without warning expropriated the licence held by Sundance and its subsidiaries over the Nabeba project and shortly afterwards awarded them to Sangha Mining Development, a newly formed, Hong Kong-registered company owned 100 per cent by Bestway. As the MoU signing ceremony in Yaoundé between Cameroon, AustSino and Bestway demonstrates the illegal expropriation of Sundance’s Mbalam-Nabeba Iron Ore Project by the Congo and Cameroon Governments – for the benefit of another Australian ASX-registered company in AustSino and Chinese interests – is now near completion. Sundance continues to have discussions with the Government of Cameroon to find an acceptable way forward with regard to the Mbalam deposit.Sundance Resources CEO Giulio Casello commented:“We are shocked at these latest developments, not least because an Australian company – AustSino – that we introduced into the Mbalam-Nabeba Iron Ore Project is attempting to benefit from the illegal expropriation of Sundance’s iron ore ass