KEFI MINERALS PLC - Exploration Update

HoleNo.           From    Interval      g/tAu  g/tAg(>20)       Zone
                                                                    
JDQ 7            25.4m        1.6m      9.01*       200.5       [MV]
                                                                    
                 42.4m        7.1m      5.85*       59.61           
                                                                    
JDQ 12           74.0m        3.4m       1.69           -         MV
                                                                    
JDQ 13       (Pending)                                            MV
                                                                    
JDQ 15           56.0m        6.0m       1.00           -         WZ
                                                                    
JDQ 16           17.0m        1.0m       2.01           -         WZ
                                                                    
                 31.2m        1.0m       1.10           -           
                                                                    
                 40.0m       13.0m       1.17           -           
                                                                    
JDQ 17           15.5m        3.2m       1.08           -         MV
                                                                    
JDQ 18           34.4m       13.0m       1.29           -         MV
                                                                    
                 58.5m        2.2m       4.77           -           
                                                                    
JDQ 19           20.0m        4.0m       2.69        38.5         WZ
                                                                    
JQD 21           18.5m        6.2m       2.57        25.5         MV
                                                                    
JQD 23           20.0m        1.3m       7.17       100.2         MV
                                                                    
JQD 24           33.9m        7.0m       6.13           -         MV
                                                                    
JQD 26           29.2m        3.8m       5.46           -         MV
                                                                    
JQD 27           45.0m      30.00m       0.60           -         MV

* Au grades previously reported

TRENCHES

Trench No.   Interval      g/t Au        Zone
                                             
JQT 57          13.0m        1.07          MV
                                             
JQT 58          15.0m        4.67          MV
                                             
JQT 59          16.0m        0.77          MV
                                             
JQT 60           3.0m        6.59          SZ
                                             
JQT 69           3.0m        3.67          SZ
                                             
JQT 84           1.7m        4.25          SZ
                                             
JQT 87          20.6m        1.89          WZ
                                             
JQT 89          11.3m        1.34          WZ

Drilling is continuing over all 3 zones. The latest drill holes completed have extended the Main Vein a further 75-100m south of previous drilling.

A dyke unit with disseminated and fractures filled with pyrite has been intersected in the Western and Main Vein zones, with low grade of 0.3 to 1.0g/t Au in up to 30m widths. This is an unexpected style of mineralisation and is different from quartz vein style.

Drilling is underway in the Southern Zone, testing the encouranging trench results included above.

SELIB NORTH

IP (induced polarisation and resistivity) and SP (Self Potential) survey was completed around the Camel Hill prospect at Selib North and surrounding area. A total of 11 sections spaced 100m apart, for a total of 12.7km line over a 1.2km2 area has been acquired.

The IP and SP survey was designed to identify sulphide-bearing (pyrite) north-south, southeast dykes, which host the gold mineralisation identified by recent trenching, with a best result of 17m at 3.43g/t Au, and diamond drilling best intersection of 11m at 3.11g/t Au.

Interpretation of IP and SP data was carried out in conjunction with other data sets, which included multi-element geochemistry of rock chip samples, Landsat ETM+, ASTER, Cluster Analysis of the IP data and direct measurements of the IP and resistivity parameters of mineralised and unmineralised drill core.

The resulting model of the physical properties has been successful and allowed to reconstruct the three-dimensional geometry and distribution of several lithological and alteration types.

A further 2 new target zones have been identified from preliminary processing and interpretation of the geophysical data. The 3 target zones are: i) beneath the previous shallow drilling at Camel Hill; ii) coincident with major North South trending faults in the centre of the survey area; and iii) in a high chargeability zone in the Southeast of the survey area.

A follow-up RC/diamond drill programme is being designed to test both the IP anomalies and zones along strike intersected by previous drilling. Drilling is expected to start in late December 2012.

Jeff Rayner , Managing Director of KEFI Minerals, commented:

"Drill results from Jibal Qutman continue to support high grade gold in quartz veins, surrounded by lower grade quartz stringer zone and in separate zones of stacked flat lying veins in the west and south of the prospsect. At Selib North, drilling will test the targets already identified from ongoing interpretation of recently acquired geophysical surveys."

KEFI Minerals' Strategic Plan in the Kingdom of Saudi Arabia

İn 2009, KEFI Minerals formed the Gold and Minerals Joint Venture ("G&M") in Saudi Arabia with local Saudi partner Abdul Rahman Saad Al-Rashid & Sons Company Limited ("ARTAR"), to explore for gold and associated metals in the Arabian Shield. To date, the G&M has conducted preliminary regional reconnaissance and lodged 23 Exploration Licence Applications (ELAs), of which 4 have been granted.

The ELAs were initially applied for and granted to ARTAR. Incorporation of G&M is now complete and granted Licences will be transferred into G&M in due course.

The Kingdom of Saudi Arabia has instituted policies to encourage minerals exploration and development and KEFI Minerals supports this priority by serving as the technical partner within G&M. ARTAR also serves this Government policy as the major partner in G&M, which is one of the early movers in the modern resurgence of the Kingdom's minerals sector.

                                    -Ends-                                     

Enquiries

                                                                               

KEFI Minerals

Jeffrey Rayner +90 533 928 1913

Fox-Davies Capital

Simon Leathers +44 203 463 5010

Bishopsgate Communications

Nick Rome +44 20 7562 3395

References in this announcement to exploration results and potential have been approved for release by Mr. Jeffrey Rayner. Mr Rayner is a geologist and has more than 25 years' relevant experience in the field of activity concerned. He is a Member of the Australasian Institute of Mining and Metallurgy (AusIMM) and has consented to the inclusion of the material in the form and context in which it appears.

Further information on KEFI Minerals is available at www.kefi-minerals.com