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2019-07-08

Beowulf: Almedalen 2019 and Future Plans for the Kallak Iron Ore Project

Beowulf Mining plc

("Beowulf" or the "Company")

Almedalen 2019 and Future Plans for the Kallak Iron Ore Project

Beowulf (AIM: BEM; Spotlight: BEO), the Nordic focused mineral
exploration and development company, provides an update on the CEO's
attendance at the Almedalen Political Week ("Almedalen") which takes
place every year in Visby, Sweden. Almedalen provides a unique arena
for Swedish decision-makers in politics, government agencies,
business, and NGOs to meet, build relationships, discuss, and debate.

During Almedalen the CEO discussed Jokkmokk's economic situation, the
SEK 28 million cuts announced by Jokkmokks Kommun to balance its
budget and the local and regional support for the Kallak Iron Ore
Project ("Kallak ") from Jokkmokks Kommun, Jokkmokks Allmänning,
local entrepreneurs, the Mayor of Luleå and leaders in Region
Norrbotten. The CEO therefore explained the role that Kallak would
play in transforming Jokkmokk's economic future, to one that is
`thriving, diversified and sustainable' and lives beyond mining.

Additionally, the CEO received a number of questions regarding what
Beowulf's plans would be should the Company be awarded an
Exploitation Concession (the "Concession") for Kallak. In response to
these queries the CEO shared the Company's immediate plans for
Kallak, should the Concession be awarded, and described the Company's
ambition to build a modern, sustainable and innovative mining
operation.

In order to keep all shareholders up to date, the Company has outlined
the CEO's responses to these queries below.

Plans for Kallak

· The Company has an immediate three-step plan for advancing the
Kallak project, in the event the Swedish Government awards the
Concession:

1.

In October 2017, the Company initiated the Study to consolidate the
technical work carried out on the Kallak project, since the Company
first started its investigations in 2010, and to develop the roadmap
for advancing Kallak to pre-feasibility stage.

The planned Study was curtailed, because of the continued delays in
processing the Kallak application, with SRK Consulting (UK) Limited
completing an audit of the geological database and model, and
validation of the Kallak mineral resource estimate.

Focus areas of the Study will be:

· the assessment of logistics, transport options from the mine to
the Inlandsbanan (alternative methods and power supplies) and routes,
with specific emphasis on the interaction with reindeer herding
activities;

· market opportunities for Kallak's production, including a
potential `super' high-grade magnetite concentrate', over 71 per cent
iron content with low deleterious elements (silica, alumina,
phosphorous and sulphur), and what `value add' processing steps might
be possible at Kallak;

· the partnerships, organisational structures and programmes that
are needed to prepare a workforce in readiness for mine construction
and operation; and

·

Jokkmokk and the north of Sweden have a long tradition of
entrepreneurship, and the Company has already discussed with Luleå
University of Technology opportunities to work together, using Kallak
as a `live' case study, as part of the national strategic innovation
programme for the Swedish Mining and Metal Producing Industry, SIP
STRIM, which is part of a joint investment in strategic innovation
areas (SIP) by Vinnova, Formas and the Swedish Energy Agency.

1.

As has previously been stated by the Company, the Kallak project is
not just about a mine. Kallak is the asset on Jokkmokk's doorstep
that can give the town a `thriving, diversified and sustainable'
economy that lives beyond mining.

The Company's ambition is to develop a `smart and sustainable mine',
and at the same time to work in partnership with Jokkmokks Kommun and
contribute to the development of Jokkmokk into a `smart and
sustainable city', creating the conditions for people to live and
work in the town.

1.

The Company has been a supporter of OECD initiatives over the last 18
months, including the OECD's Rural Policy Review 'Linking the
Indigenous Sami People with Regional Development in Sweden', and the
Company intends to use the OECD's recommendations in the development
of Kallak.

One of the OECD's findings was that there is insufficient support for
Sami entrepreneurs. The Company has an established Collaboration
Agreement (the "Agreement") with Jokkmokks Allmänning, the main
purpose of the which is to invest funds and support the development
of small-medium enterprises ("SMEs") in Jokkmokk. To date, the
Company has invested SEK 500,000, and has recently committed a
further SEK 300,000 in the event the Concession is awarded.

The Agreement provides a template for setting-up a similar agreement
with Sami communities, that supports the development of Sami SMEs.

Kurt Budge, Chief Executive Officer of Beowulf, commented:

"Following a successful AGM in London on 29 June, I headed to
Almedalen last week.

"It is my fourth Almedalen and being there demonstrates Beowulf's
commitment to doing business in Sweden and making a positive
contribution to Swedish society, locally in Jokkmokk, regionally in
Norrbotten and as part of the world leading mining sector in Sweden.

"Whereas, on previous visits I have focused on explaining the
protracted permitting process for Kallak, this year, in response to a
number of queries, I have been presenting the Company's plans should
the Concession be granted, against the backdrop of iron ore prices
reaching five year highs during the last week. From a technical
perspective, the completion of a Scoping Study, and from a societal
perspective, the creation of formal partnerships and agreements with
Jokkmokks Kommun and Sami reindeer herding communities.

"Kallak is the foundation asset of Beowulf and has been in development
for 10 years. During my time as CEO, it has enabled us to continue to
raise capital from equity markets and to diversify into new
geographies and commodities, but it remains our flagship asset, one
that we are firmly committed to developing in partnership with the
community in Jokkmokk.

"On many occasions, the Company has stated its ambition to build the
most modern, sustainable and innovative mining project, but equally
exciting is to contribute to the economic resurgence of Jokkmokk.

"The Company's investment in Kallak is aligned to the Government's
`January Agreement' from this year, in which the Government made the
commitment that all rural areas across Sweden should be able to
develop, to build and equip railways, roads and housing so that
people can live, live and work throughout the Sweden.

"While not wanting to rely on imports of metals and minerals from
countries that might have lower standards of environmental, health
and safety performance, and lack transparency, Sweden has seen no
greenfield mines started in more than a decade.

"Kallak would showcase the best of Swedish design, engineering and
innovation, be developed in partnership with the community, including
the Sami, safeguarding reindeer herding, their livelihoods and
culture.

"The Company has done the work required to be granted a Concession. We
hope that the Government is satisfied that is the case, and that the
patience shown by our supporters in Jokkmokk and Norrbotten, and our
62 per cent Swedish and 38 per cent UK long-standing individual
shareholders is rewarded.

"I look forward to keeping the market updated on further
developments."

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https://news.cision.com/se/beowulf/r/almedalen-2019-and-future-plans-for...
https://mb.cision.com/Main/11673/2859086/1074634.pdf

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