International Ferro Metals Limited - Update on Business Recuse Process

19 May 2016

                                                                                                                International Ferro Metals Limited

(“IFL” or the “Company”)

Update on Business Rescue Process

As previously announced by the Company on 24 March 2016,  the amended business rescue plan in respect of its South African subsidiary, International Ferro Metals (SA) (Pty) Limited ("IFMSA"), has been approved by creditors. Conditional sale agreements have been entered into with Samancor Chrome Limited (“Samancor”). The conditions are being fulfilled and are expected to be completed by the calendar year end. IFL confirms that the sale agreement to dispose of the equity of Sky Chrome Proprietary Limited has been signed. Completion of the equity sale is also subject to a number of conditions precedent being fulfilled, including that the Sale of Business Agreement and Sale of Mining Right Agreement (both part of the amended business rescue plan) have been implemented. Based on the latest distribution schedule it is now clear that there will be no distribution to shareholders at the conclusion of this process.

The Company is still not in a position to release its financial results for the year ended 30 June 2015 and interim accounts to 31 December 2015 and its shares remain suspended.

Further announcements in relation to the business rescue process will be released in due course.

- ENDS-

For further information please visit www.ifml.com or contact:

International Ferro Metals Limited             Tel: [phone]

Chris Jordaan, Chief Executive Officer

About International Ferro Metals:

International Ferro Metals produces ferrochrome, the essential ingredient in stainless steel, from its integrated chromite mine and ferrochrome processing operations in South Africa.  International Ferro Metals is listed on the London Stock Exchange under the symbol IFL.

Forward Looking Statements

This announcement contains certain forward looking statements which by nature, contain risk and uncertainty because they relate to future events and depend on circumstances that occur in the future.  There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward looking statements.

Copyright y 19 PR Newswire