MTN Cameroon

The licence authorises MTN Cameroon to set up and run a 900 MHz national mobile GSM cellular telephony network within the geographical territory of Cameroon. The licence was granted on 15 February 2000 and is valid for a period of 15 years, renewable for 10 years thereafter. The Group paid an initial licence fee of CFA40,4 billion and an annual licence fee based on 1% of network revenue as defined in the licence agreement for the first two years and 2% on network revenue from the third year onwards. Furthermore, an advance payment of CFA 200 000 per year, is payable for microwave usage until a general formula of calculation is adopted with the Regulatory Board.

MTN Nigeria

The licence authorises MTN Nigeria to provide and operate a 900 and 1800 MHz second generation digital mobile service within the geographical territory of Nigeria. The licence was granted on 9 February 2001 and is valid for a period of 15 years, renewable for five years thereafter. The Group paid an initial licence fee of US$285 million and in addition, pays an annual licence fee based on 2,5% of assessed net revenue as defined in the licence.

MTN Rwanda

The licence authorises MTN Rwanda to construct, maintain and operate a 900, 1800 and 1900 MHz (including cellular public pay telephones) GSM telecommunication network within the geographical territory of Rwanda. The licence was granted on 2 April 1998 and is valid for 10 years and may be terminated thereafter with a two-year written notice period. The Group paid an initial licence fee of US$200 000 and in addition, pays an annual licence fee based on 3% (December 2005: 3%) of network revenue as defined in the licence. Furthermore a frequency fee of US$2 000 per 1 MHz granted and an annual spectrum fee of US$50 000 are payable.

MTN Uganda

The licence authorises MTN Uganda to construct, maintain and operate a 900 and 1800 MHz national second generation digital mobile radio telephony service within the geographical territory of Uganda. The licence was granted on 15 April 1998 and is valid for a period of 20 years. The Group paid an initial licence fee of US$5,8 million and an annual spectrum fee of 1% of network revenue is payable as a contribution to the Rural Communications Development Fund.

Irancell

The licence authorises Irancell to construct and operate a GSM-standard mobile radiocommunication network for the purpose of providing a full range of licensed services within the Islamic Republic of Iran. The licence was granted on 27 November 2005 and has a validity period of up to 15 years with two renewable periods of five years each.

An initial licence fee of Euro 300 million was paid. An annual spectrum fee of 0,25% of revenue, an annual universal service fee of 3% of revenue and other fixed fees, all totalling in aggregate, not more than 5% of revenue are payable in each contractual year of the licence. In addition, Irancell is required to pay 28,1% of revenue in each contractual year, with a minimum guaranteed amount, which is based upon 80% of 28,1% of the revenue amount included in the business plan, subject to certain conditions being met, on an annual basis.

Scancom Ghana

The licence authorises Areeba Ghana to construct, maintain and operate a telecommunications network using 900 MHz and 1800 MHz frequencies within the region of Ghana. Active coverage is required in all regions by 2011. This licence was effective 2 December 2004 for a period of 15 years, renewable for another 10 years with three months’ notice. A once-off licence fee of US$22,5 million was paid with an annual regulatory fee of US$750 000. An annual fee of 1% of revenue is payable to the Ghana Investment Fund for Telecommunications due on 15 April every year. No exclusivity clause exists, and a maximum of two new licences may be awarded during this term.

Areeba Cyprus

The licence authorises Areeba Cyprus to construct and operate a 900 MHz and 1800 MHz GSM and 3G/UMTS network and requires 50% GSM geographical coverage by year two, and 60% 3G/UMTS coverage by year ten. The licence period commenced in December 2003 for a period of 20 years, renewable. An exclusivity clause is applicable, which lasts until the earlier of 25% market share or five years.

Areeba Benin

The licence authorises Areeba Benin to construct and operate a 900 MHz and 1800 MHz GSM network to cover 100% of the population in six years. The effective date of the licence is 11 June 1999 which was renegotiated to 23 August 2004. It is applicable for 10 years and is renewable thereafter. No exclusivity clause exists.

Areeba Afghanistan

The licence authorises Areeba Afghanistan to construct and operate a 900 MHz and 1800 MHz GSM network to have 80% geographical coverage within the first year of the commencement date. The licence agreement is effective from October 2005 and is applicable for 15 years and is renewable thereafter for an additional 10 years. No exclusivity clause exists.

Areeba Guinea Bissau

The licence authorises Areeba Guinea Bissau to construct and operate a 900 MHz GSM network to cover 100% of the population. The licence agreement is effective from December 2003 and is applicable for 10 years and renewable thereafter. No exclusivity clause exists.

Areeba Guinea Republic

The licence authorises Areeba Guinea Republic to construct and operate a 900 MHz and 1800 MHz GSM network to cover all cities with a population of over 100 000 within one year of commercial launch and cities with a population less than 100 000 within two years of the former. The licence agreement is effective from August 2005 and is applicable for thirteen years, renewable thereafter for five years.There will be a maximum of four operators in total up to 2010.

Lonestar Liberia

The licence authorises Lonestar Liberia to construct and operate a GSM network. There is no minimum coverage clause. The licence agreement is effective from December 1999 and is applicable for 15 years. No exclusivity clause exists.

Areeba Sudan

The licence authorises Areeba Sudan to construct and operate a 900 MHz and 1800 MHz GSM and UMTS network and requires coverage of large cities and main roads within four years of the commencement date. The licence agreement is effective from October 2004 and is applicable for 15 years, renewable thereafter.

Areeba Syria

This licence permits Areeba Syria to build, manage, operate and invest in a GSM network in the Syrian region on both 900 MHz and 1800 MHz frequencies, capable of servicing 850 000 users. The licence duration is 15 years renewable for another three years at the discretion of the Syrian licensing authority, effective from June 2002. Coverage of 95% of the population is required within four to six years. After the duration of the contract, ownership of the operation will be transferred to the Syrian authorities at no cost.

Upfront licence fees of US$20 million and US$15 million for 900 MHz and 1800 MHz respectively were applicable. An annual “Frequency Protection Fee” of US$50 000 or SP2,5 million per 1 MHz for transmission and reception within the band range of 900 MHz or 1800 MHz is payable. Revenue share costs are also payable by Areeba on a monthly basis within 15 days after month end. These being 30% of revenue for the first three years of the licence agreement, 40% for the next three years and 50% for the years thereafter. A 60% revenue share would be applicable if the licence term is renewed. The exclusivity clause states that a maximum of two operators will be allowed for a period of eight years.

Spacetel Yemen

The licence authorises Spacetel Yemen to construct and operate a GSM network and requires coverage of the main cities and roads within three years. The licence agreement is effective from July 2000 and is applicable for 15 years, renewable thereafter. There is a four year exclusivity clause after which licence parity will apply after five years.

MTN Zambia

The licence authorises MTN Zambia to set up and run a cellular service within the designated bandwidth of 890 – 960 MHz band within the geographical territory of Zambia. The licence was granted on 23 September 1995 and is valid for a period of 15 years, renewable every five years thereafter. An initial licence fee of US$40 000 was paid to acquire the licence and the annual operating licence fees payable are 5% of the assessed new annual revenue. Annual spectrum fees are also payable in respect of transmission.

MTN Côte d’Ivoire

The licence authorises Loteny Telecom to construct, maintain and operate a 900 MHz and 1800 MHz GSM telecommunication network within the geographical territory of Côte d’Ivoire. The licence was granted on 21 December 2001 and is valid for 15 years. An initial licence fee of CFA40 000 million was determined, which is payable from 2001 to 2007.

MTN Congo-Brazzaville

The licence authorises MTN Congo B to construct, maintain and operate a 900 MHz and 1800 MHz GSM telecommunication network within the geographical territory of the Republic of Congo. The licence consists of a mobile licence granted on 15 October 1999 and an international gateway licence granted on 2 February 2005, valid for 15 years. The Group paid an initial licence fee of FCFA365 million for the mobile licence and FCFA250 million for the international gateway licence. The annual licence fee is based on 3% of local and 6% of international traffic. Furthermore, a frequency management fee of FCFA100 million, frequency usage fee of FCFA162,2 million and a number licence fee of FCFA 60 million is payable annually. The payment for renewal is set at FCFA2,2 billion.

Mascom Wireless Botswana

The licence authorises Mascom Wireless Botswana to construct, operate and maintain GSM telecommunication systems within the geographical area of Botswana. The licence was granted on 17 February 1998 and is valid for a period of 15 years. The licence may be renewed upon expiry of the licence period provided that the licensee shall apply for such renewal no more than three years but not less than two years prior to the date of expiry. An initial licence fee of BWP1 million was paid to acquire the licence. In addition to the initial licence fee, the licensee is also liable to pay fees for a radio licence, system licence and service licence in advance on an annual basis. A revenue fee of 3% is also payable quarterly based on net turnover, as defined in the licence, reported in each quarter.

MTN Swaziland

The licence authorises MTN Swaziland to provide and operate a 900 MHz GSM network within the geographical area of Swaziland. The licence was granted on 31 July 1998 and is valid for a period of 10 years, renewable for 10 years thereafter. The Group pays annual spectrum fees of E20 000 per channel used (with a minimum of E600 000) and a licence fee of 5% of audited net operational income as defined in the licence.

MTN South Africa

The licence authorises MTN South Africa to construct, maintain and use a 900 MHz GSM national mobile cellular telecommunication service within the geographical area of South Africa. The licence was granted on 29 October 1993 and is valid for a period of 15 years from I June 1994, automatically renewable on mutatis mutandis the same terms and conditions, subject to certain provisions. The Group paid an initial fee of R100 million and pays an annual licence fee based on 5% of net operating income as defined in the licence. In January 2005 MTN was granted the right to maintain and use the 1800 MHz GSM spectrum as well as maintain and operate an UMTS (3G) network under the existing cellular network licence with the proviso that certain additional universal service obligations are met.