Kingsrose estimates mineral resources at Talang Santo project

Australian mining firm Kingsrose Mining Limited said the drilling at its newly discovered Talang Santo Prospect (KRM 85%) has advanced enough to enable a maiden Mineral Resource Estimate to be completed.

Following is the table of the results of the drilling:

Classification	Tonnes	Au g/t	Ag g/t	Au. Eq. g/t	Au. Eq. Oz
Measured	0	0	0	0	0
Indicated	0	0	0	0	0
Inferred	879,000	5.89	14.63	6.22	175.735
Total	879,000	5.89	14.63	6.22	175.735
Notes: -The figures quoted represent the geological resource. No 'modifying factors' have been applied as per the 2004 edition of the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code). -For the Talang Santo resource estimation, the geology model was formed via the incorporation of data from geological logging of drillhole data. The geology model was constructed by qualified PTNM geologists. -Estimation took the form of an inverse distanced cubed interpolation to limit the effect of localised high-grade intersections -Gold equivalent values (Au. Eq.) assume 1 g/t Au is equivalent to 45 g/t Ag. The ratios used in gold equivalent calculations have evolved based on current (06-09-11) metal pricing and do not include any consideration of metallurgical recovery. -The Classified Mineral Resource is reported above a 2.5 g/t Au. Eq. cut-off grade ?

At this stage the level of data within the model is relatively sparse. Given the dimensions of the three veins, and the nature of the geology in the Talang Santo area it is thought appropriate to classify the entire resource as Inferred at this time pending closer spaced drilling and development sampling.

Note that small discrepancies have occurred due to rounding.

Kingsrose has previously advised an update of its Mineral Resource Estimate as at 30 June 2011 and now incorporates the Talang Santo estimate into this estimate. A summary table of the consolidated Mineral Resource estimate is tabulated:

Way Linggo Project (KRM 85%) - Total Mineral Resource Estimate Summary:

JORC Category	Vein ID	Tonnage	Gold Grade	Silver Grade	Gold Ounces	Silver Ounces
Measured	Way Linggo	467,400	12.44	166.8	186,940	2,506,500
Indicated	Way Linggo	182,800	6.09	84.5	35,790	496,600
Inferred	Way Linggo	60,200	3.77	38.1	7,300	73,700
?	Way Linggo Sub Total	710,000	10.24	135.6	230,030	3,076,800
Inferred	Talang Santo	879,000	5.89	14.6	166,400	413,000
GRAND TOTAL	?	1,589,000	78.89	68.66	396,430	3,489,800

?This is a great result for Kingsrose. Talang Santo is a new virgin discovery and will become a second mine for the Company. To reach this point only nine months after the first drilling at the prospect is a great achievement,? said Kingsrose Managing Director, Chris Start.

He said in keeping with the group?s ability to develop small mines, an exploration adit has been established and the cross-cut is expected to hit the upper levels of the ore in about a week. The civils and headframe for an underlay shaft is now also established and shaft sinking has commenced.

?We expect the trial mining will rapidly progress to a second mining centre feeding ore to our Way Linggo plant approximately 7km due south,? he added.

Due to complications with the effective drilling of the epithermal veins that results from their fractured nature and association with various stages of alteration and clays, Kingsrose believes the most effective way to validate results and confirm grades is by trial mining.

Consequently, in rapid time Kingsrose has established an adit into the upper parts of the outcropping vein system. A cross-cut is expected to reach the orebody in about a week and commence ore driving the upper part of the ore system.

In addition, the civils and a headframe have been established and the sinking of a shaft to access the deeper parts of the orebody has commenced. (romel)