Bushveld Minerals Limited provided an operations update on its iron ore project in Limpopo Province, South Africa. Recent analytical results have discovered the presence of phosphate intersections for a zone above the P-Q Zone iron ore layer which are reported here, adding an additional commodity to the iron, titanium and vanadium products already being evaluated at the iron-ore project. Drilling assay results reveal a zone of phosphate mineralization between 8m and 61m thick in the hanging wall to the P-Q Zone; grades in this zone range between 2% and 5% P2O5; Phosphate zone is geologically and identifiably distinct from the main P-Q iron ore layer (which contains <0.07% P2O5) that comprises the company's main iron ore resource - there is a sharp transition from the upper contact of the P-Q magnetite layer into the phosphate zone; potential for extracting saleable phosphate would enhance economics of the project - ordinarily this zone would form part of the hanging-wall ‘waste' rock in the mining of the P-Q magnetite layers; Maiden phosphate JORC resource anticipated in the second quarter of 2013.

Results of phosphate zone drilling: assays of the hanging-wall to the P-Q Zone have revealed a broad area of phosphate (P2O5) mineralization above the P-Q Zone. The mineralization consists mainly of the minerals apatite, pyroxene and magnetite and is very similar to foskorite, the ore body being mined at the large phosphate deposit in Phalabora, South Africa. Like the magnetite layers below it, this phosphate zone is consistent along strike and down-dip, and ranges in thickness from 8m to over 60m and averages 31m, with grades of between 2% and 5% P2O5.

The zone represents considerable thickness, in which a higher grade zone could be relatively extracted and could make it a significant phosphate resource, which could be further upgraded by removal of disseminated magnetite in this zone through magnetic separation. Given that it constitutes the immediate hanging-wall of the P-Q magnetites and would be removed as waste rock as part of the mining operation, this phosphate mineralization could favorably influence the economics of the iron project, which remains the focus of the company's activities. The company is in the process of incorporating these results into a phosphate resource model and anticipates delineating a JORC resource as well as undertaking some metallurgical test work on the resource in the second quarter of 2013.