Release: Sumatra Copper & Gold: Tembang project update

(July 12, 2010)--The Directors of Sumatra Copper and Gold plc are pleased to advise of a material intercept returned from the current Tembang project drilling programn(South Sumatra).

Core from hole RDD10070 from the Belinau area of the Tembang project has returned an assay result of:

? 1.95 metres @ 81.92 g/t Au and 208.1 g/t Ag from 170 metres

The result from hole RDD10070 extends the ore shoot to the south and at depth.

Managing Director, Jocelyn WaIler, comments: ?The 5,000 metre drilling program just completed at Tembang has been very successful. To cap this off the latest bonanza drill intercepts at Belinau demonstrate the upside potential of the ore shoots at depth and along strike. Plans are now well advanced for a follow-up 10,000 metre drilling program.?

Tembang Drilling Update
The Tembang project is located approximately 120 kilometres north-northeast of Bengkulu in South Sumatra province. Tembang is a large intermediate-sulphidation epithermal deposit comprising gold-silver bearing quartz veins hosted by Tertiary volcanics. The Company has rights to two IUPs totalling an area of some 850 km2 over and around the former Rawas mine that operated between 1997 and 2000.

A 5,000 metre drilling program, designed to test the down dip extensions of the higher grade vein systems at Buluh, Bujang, Nun and Belinau has now been completed. This program has been highly successful in delineating two major mineralised shoots at both Belinau and Berenai.

At Nuri, RDD10068 intersected 27 metres @ 0.57 g/t Au in waste dumps from surface before intersecting a thick zone of both halo (9.30 metres @ 0.79 g/t Au and 19.8 g/t Ag) and vein (6.9 metres @ 1.08 g/t Au and 21.6 g/t Ag). Although the vein is moderate grade this is still encou raging as a significant width of veining is still evident at depth.

The Company is now in advanced planning for a further 10,000 metre drilling program to explore and define these higher grade shoots underneath what appears to be a lower grade cap. These holes hold the promise to multiply the resource potential of Tembang several times. (end of release)