Trading Symbols

Trading Symbols TSXV: AFR Frankfurt: OWW

AFRICAN METALS CORPORATION RECEIVES NOTICE OF DEFAULT ON LOAN AGREEMENT FROM TRAXYS EUROPE _________________________________________________

June 10, 2016 - Vancouver, British Columbia, Canada African Metals Corporation (the “Company”) reports that it has been informed that its subsidiary in the Democratic Republic of Congo, Kundelungu Minerals, sprl (“KM”), will be given notice of an Event of Default by Traxys Europe S.A. (“Traxys”) with respect to the Loan Agreement between Traxys and KM, which demands full repayment of the principal amount of $US3,121,354 plus accrued interest in the amount of $US1,451,079 on June 30, 2016. The Company has not yet had confirmation from KM of receipt of the notice of Event of Default. As of this date, KM and the Company do not have sufficient cash resources to meet such a demand for payment.

The Company has previously reported that the Loan Agreement may be deemed in default in accordance with the terms of the Loan Agreement due to non-payment of installments since January 31, 2012. The Company is a guarantor of the loan and has pledged shares of certain of its key subsidiaries to Traxys to provide security for the loan under the terms of the loan agreement. The principal asset affected is the DNS plant held by KM. As the Company is a guarantor of the loan, it is possible that Traxys may pursue the Company’s interest in the Luisha South Project which is held by the Company’s subsidiary, Luisha Mining Enterprises, sprl.

The Company has and will continue negotiations regarding the reimbursement process with Traxys.

ON BEHALF OF THE BOARD OF DIRECTORS OF AFRICAN METALS CORPORATION

Kenneth B. de Graaf President and CEO, Director

“Kenneth B. de Graaf”

About African Metals Corporation.

African Metals Corporation [TSXV “AFR”] is a Canadian listed company focused on the discovery and development of copper and cobalt deposits in the world renowned Africa Copper Belt in the Democratic Republic of Congo (“DRC”). AFR through its 100% owned Canadian subsidiary, Chevalier Resources Inc. (“Chevalier”), holds a 75% interest in the Congolese subsidiary, Luisha Mining Enterprises sprl (“LME”). LME holds legal title to the 16.2 sq.km. small scale mining licence, PEPM 4881, called the Luisha South Project, located in the Katanga Province of the DRC.

AFR holds an option to increase its equity interest to 90% in LME, upon a Qualified Person defining a certain minimum Indicated Resource tonnage for contained copper and cobalt. AFR must also make certain milestone payments in a mixture of cash and shares to reach the milestone of a 90% interest.

The Luisha South Project is located 75 kilometres northwest of Lubumbashi, the capital of Katanga Province. The Luisha South Project contains an approximately three kilometre strike length of Roan Group sediments which are the hosting environment for Cu-Co mineralization in the DRC and Zambia. The project includes a small historical open pit mine and an associated low grade copper and cobalt mineralized stockpile. The Luisha South ore body was explored between 1923 and 1928 and an oxide deposit extracted in the 1940’s.

The results of reverse circulation and core drilling programs at the Luisha South Project in 2010 and 2011 by AFR allowed estimation of a NI 43-101 compliant Inferred Resource of 14.7 Million tonnes at 1.1% Cu (161,700 tonnes of contained copper) and 0.3% Co (44,100 tonnes of contained cobalt) using a 0.5% Cu cut-off.

The Qualified Person who has reviewed and approved the technical content contained in this release is Dr. Gerald Harper, P.Geo.(Ont).

Neither the TSX Venture Exchange nor its Regulatory Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

This press release includes certain forward-looking statements concerning the future performance of the Company’s business and operations as well as management’s objectives, strategies, beliefs and intentions. Forward-looking statements are often identifiable by the use of words such as “may”, “will”, “might”, “would”, “plan”, “believe”, “expect”, “anticipate”, “intend”, “estimate”, “scheduled”, “forecasts” and similar expressions or variations (including negative variations) of such words and phrases. Forward-looking statements are based on the current opinions and expectations of management, and are subject to a number of risks and uncertainties that may cause actual results, performance or achievements of the Company to be materially different from those currently anticipated by such statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, the possibility that future exploration results will not be consistent with the Company’s expectations, fluctuating commodity prices, delays in commencing the Company’s proposed drilling program, exploration costs varying significantly from estimates, the availability of financing, and other risks identified in the Company’s documents filed with the Canadian securities regulatory authorities at www.sedar.com. Any forward-looking statement speaks only of the date on which it is made, and except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement.