Hambledon Mining plc, the AIM-listed gold mining and processing company operating in Kazakhstan, is pleased to report its first export of gold from Sekisovskoye and the positive results of the study into the underground resource.

Highlights:

Sekisovskoye

·32.3 kilogrammes of dore, containing 8.2 kilogrammes of gold, has been exported and sold

·All aspects of the processing plant operating well

·Study confirms economic viability of underground mining

·Combined annual output (open pit and underground) of around 100,000 ounces per year expected

·Underground mining potential of 2.9 million tonnes at 4.70 g/t (433,000 ounces) based on all resource categories

Ognevka

·Production initially disappointing but outlook positive

Metallurgical recoveries and resulting concentrate grades from the treatment of clinkers at Ognevka have been poor, and only limited output of saleable material has been produced. This was initially attributed to over-activity of the magnetiser and the already fine-ground physical properties of the clinkers. However, the results of initial modifications to correct these defects were disappointing. Further testwork has since been carried out to see why the initial testwork results are not being replicated and this has lead to further modifications, involving a further gravity-table separation of the carbon using the existing shaking tables. These modifications have now been installed and are being commissioned, though it will take some time before commissioning will be completed and the results known.

TOO Ognevka has obtained the documents proving ownership of some 1.65 million tonnes of pegmatite tailings from previous operations, containing good grades of lithium, niobium, tantalum and other high value metals. Until testwork has been carried out, it is not possible to be certain of economic recoverability and the Company has therefore decided not to place this resource on its statement of estimated resources.

In the event that the testwork shows the pegmatite operation to be feasible, the decision will then be made whether to convert the process plant back into pegmatite treatment or to create a second product line, for which there is already adequate space within the factory building.

Hambledon Mining plc is an AIM-listed gold mining and exploration company, which
is operating the Sekisovskoye gold mine and the Ognevka processing plant, both
of which are close to Ust Kamenogorsk in East Kazakhstan.

At Sekisovskoye, the Company is mining from an open pit and has constructed an
850,000 tonnes per year treatment plant. Production from the open pit will
average over 40,000 ounces per annum. As soon as steady production has been
achieved, the Company plans to develop the much larger underground resource that
is expected to lead to a combined production rate of around 100,000 ounces per
year.

The Ognevka processing plant is producing concentrates containing gold, silver,
copper, iron and coke from the re-treatment of zinc smelter residues. – Edited Press Release