NCCL.L Regulatory News (NCCL)

News Release

Share Option Grants

31 January 2014: Following completion of a number of key development milestones during 2013 on or ahead of schedule, Ncondezi Energy Limited ("Ncondezi" or the "Company") (AIM: NCCL) announces that on 30 January 2014, as part of the Company's management incentive scheme, the Company granted share options in respect of 5,700,000 shares in the Company to its executive senior management team and contracted personnel. Of the total share options granted, 3,375,000 options have been awarded in lieu of an annual bonus payment for 2013 and vest on the date of grant; 2,250,000 with a zero strike price and 1,125,000 at an exercise price of UK£0.065 per share. The remaining 2,325,000 options will vest, subject to achieving financial close of the Company's 300MW Power Plant Project ('Financial Close'), at an exercise price of UK£0.065 per share. The new share awards represent 3.14% of the Company's current issued share capital.

Directors' Options

Of the share awards set out above, in recognition of the project milestones achieved to date and in lieu of annual bonus payment, Paul Venter, the Company's CEO has been granted 1,125,000 share options that vest on the date of grant at a zero exercise price. In addition Mr Venter has been granted share options in respect of a further 1,125,000 shares that vest subject to Financial Close at an exercise price of UK£0.065 per share.

Enquiries:

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

Ncondezi Energy owns 100% of the Ncondezi Project which is strategically located in the power generating hub of the country, the Tete Province in northern Mozambique. The Company is developing an integrated thermal coal mine and power plant in phases of 300MW phases, up to 1,800MW. Commissioning is planned for 2017, followed by commercial operations in H1 2018. The first 300MW phase is targeting domestic consumption in Mozambique using reinforced existing transmission capacity to meet current demand.