Exploration update

SERABI MINING plc ("Serabi" or "the Company)
     Exploration results indicate new mining potential at Palito


Serabi Mining plc (AIM:SRB) announces ongoing exploration success  at
the Ruari's Ridge and Chico do  Santo projects, which now provides  a
basis for  detailed evaluation  and  preliminary mining  to  commence
during the second half of the year, with the potential for full scale
mining to start in 2008.


  * Drill and trench intersections at Ruari's Ridge confirm the
    presence of a major new  mineralized zone, consisting of multiple
    veins that Serabi expects will form the basis of a new mining
    area
  * Results at Ruari's Ridge extends the inferred strike extension of
    high-grade gold/copper mineralisation by 300m to 950m strike and
    vertically by 100m to 300 metres
  * Extent and number of mineralised structures increases at the
    Chico do Santo project, with improved potential to establish a
    satellite mine in this area
  * A detailed evaluation programme will now commence at both
    projects with the objective of commencing full-scale mining in
    2008


With  increasing  facilities  coming  into  place,  exploration   and
evaluation has been escalating during the past year across the Jardim
do Ouro district,  the area immediately  adjacent to Serabi's  Palito
gold mine.  Resulting from this ongoing drill and trench results from
the Ruari's Ridge and Chico do Santo projects now indicate both  have
good potential  to be  developed  as satellite  mines at  the  Palito
operation.

Ruari's Ridge

Located approximately  500m  south-west  of  the  underground  mining
operation established on the  Palito Main Zone (PMZ)  mineralisation,
the  Ruari's  Ridge  project  was  originally  defined  by  a  strong
gold-in-soil  geochemical  anomaly,  situated  on  the  flank  of   a
significant magnetic  geophysical  high;  it  is  noteworthy  that  a
similar geochemical anomaly has been identified just over 100m to the
south-east but  is  yet to  be  tested.   Preliminary  drill  results
reported in the Company's Exploration  Updates of 13 September,  2006
and 26 March, 2007, identified sub-parallel zones of gold and  copper
mineralisation extending over 600m strike and 200m down dip.  Initial
Phase-2 follow-up drill and trench  results now confirm the  presence
of  at  least  three  or  four  sub-parallel  zones  of   gold-copper
mineralisation which has  extended the inferred  strike extension  of
high-grade gold/copper mineralisation to  950m along strike and  300m
vertically.

Trenching has revealed regular intercepts of gossaniferous (1)  veins
along the  central portion  of the  main soil  geochemistry  anomaly,
confirming  continuity  of  mineralisation  over  400m  strike.    In
addition, the occurrence of  a further gossaniferous altered  outcrop
returning more  than  13  g/t  gold some  400m  south-east  of  these
trenches and  directly along  strike, indicates  a potential  surface
exposure of 800m.

Furthermore, positive  drill  intersections 150m  north-west  of  the
gossaniferous trenches, is thought to indicate a further extension of
the same mineralisation,  indicating a cumulative  total of at  least
950m of inferred strike extent of the Ruari's Ridge mineralisation.


The  results   from  diamond   drilling  also   indicate   high-grade
mineralization persists to  300m vertically  beneath the  mineralised
trench intercepts,  compared with  200m previously  indicated.   This
drilling also shows that parallel zones of high-grade  mineralization
exists in the  central part of  the strike, with  up to 3  additional
zones identified parallel to the main zone.


(1) Gossan: mass  of weathered material  resulting from oxidation  by
percolating waters of outcrops of sulphide mineral deposits





To date  a total  of 26  drill holes  have been  completed along  the
Ruari's Ridge prospect, with a  number of results still  outstanding.
This drilling is predominately composed of diamond core drilling  and
some percussion  drill  holes, for  a  total of  approximately  5,600
metres.

Previously Serabi reported the first  6 diamond drill holes into  the
northern portion of  the prospect (PDD  255, 258, 261,  264, 271  and
289-partial) In  addition  to these  a  further 20  holes  have  been
completed or are in progress. Results have been collated for 13 holes
with complete assays pending on 7 holes.

Significant new drilling intercepts include:


+-------------------------------------------------------------------+
|                 |         |        |           | Au     |         |
|      Hole       |  From   |   To   | Interval  |  (g/t  | Cu      |
|                 |   (m)   |  (m)   |    (m)    |  Au)   |   (%)   |
|-----------------+---------+--------+-----------+--------+---------|
|                 |  42.50  | 43.57  |   1.07    |  1.90  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 |  76.20  | 76.73  |   0.53    |  3.07  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 | 235.42  | 235.92 |   0.50    |  1.04  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 | 254.27  | 254.94 |   0.67    | 45.74  |  0.46   |
|     PDD0289     |---------+--------+-----------+--------+---------|
|                 | 309.75  | 310.58 |   0.83    |  1.49  |  0.02   |
|                 |---------+--------+-----------+--------+---------|
|                 | 313.18  | 313.78 |   0.60    |  3.77  |  0.06   |
|                 |---------+--------+-----------+--------+---------|
|                 | 397.15  | 397.70 |   0.55    | 50.99  |  2.70   |
|                 |---------+--------+-----------+--------+---------|
|                 | 402.75  | 404.35 |   1.60    |  3.45  |  0.14   |
|-----------------+---------+--------+-----------+--------+---------|
|                 |  39.85  | 40.34  |   0.49    |  5.38  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 |  44.80  | 45.61  |   0.81    |  1.26  |  1.40   |
|     PDD0294     |---------+--------+-----------+--------+---------|
|                 |  46.87  | 48.05  |   1.18    |  2.03  |  0.07   |
|                 |---------+--------+-----------+--------+---------|
|                 | 211.84  | 212.39 |   0.55    | 43.04  |  2.21   |
|-----------------+---------+--------+-----------+--------+---------|
| PDD0307*        |  76.4   | 77.02  |   0.62    |  3.64  |  0.77   |
|-----------------+---------+--------+-----------+--------+---------|
| PDD0309         |  34.87  | 35.50  |   0.63    |  1.62  |  0.04   |
|-----------------+---------+--------+-----------+--------+---------|
|                 | 106.58  | 107.36 |   0.78    |  2.40  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 | 174.98  | 175.82 |   0.84    |  1.62  |  0.01   |
|    PDD0311**    |---------+--------+-----------+--------+---------|
|                 | 189.00  | 189.62 |   0.62    |  2.61  |  0.03   |
|                 |---------+--------+-----------+--------+---------|
|                 | 266.21  | 267.14 |   0.93    |  2.47  |  0.01   |
|-----------------+---------+--------+-----------+--------+---------|
| PDD0313**       |  57.85  | 59.45  |   1.60    |  5.92  |  0.06   |
|-----------------+---------+--------+-----------+--------+---------|
|                 |  58.75  | 59.45  |   0.70    | 12.81  |  0.09   |
|    Including    |---------+--------+-----------+--------+---------|
|                 |  82.24  | 83.89  |   1.65    |  1.62  |  0.06   |
|-----------------+---------+--------+-----------+--------+---------|
| RRRB01**        |   26    |   28   |   2.00    | 10.92  |  0.03   |
|-----------------+---------+--------+-----------+--------+---------|
| RRRB02**        |   31    |   36   |     5     |  2.33  |   NS    |
|-----------------+---------+--------+-----------+--------+---------|
| Including       |   32    |   34   |     2     |  4.24  |   NS    |
+-------------------------------------------------------------------+


(*) ¿ core assays from Palito Mine Laboratory only, ¿ core sample
results are pending from SGSGeosol Laboratory in Belo Horizonte
(**) Partial results for hole received

Significant trench sampling intercepts include:



+-------------------------------------------------------------------+
|      Hole       |              | Au    (g/t |                     |
|                 | Interval (m) |    Au)     |                     |
|-----------------+--------------+------------+---------------------|
|                 |              |            | including 0.45m @   |
|                 |              |            | 45.89g/t and 0.9m @ |
|      TC-27      |     17.2     |    3.23    | 12.93g/t            |
|-----------------+--------------+------------+---------------------|
|                 |              |            | including 3.65m @   |
|      TC-28      |     11.4     |    6.00    | 16.83g/t            |
|-----------------+--------------+------------+---------------------|
|      TC-29      |     2.40     |    1.64    |                     |
|-----------------+--------------+------------+---------------------|
|                 |     1.20     |    1.32    |                     |
|                 |--------------+------------+---------------------|
|      TC-30      |     0.90     |    2.67    |                     |
|                 |--------------+------------+---------------------|
|                 |              |            | including 0.7m @    |
|                 |     3.75     |    1.02    | 2.96g/t             |
+-------------------------------------------------------------------+


Trench samples have been assayed at the Palito Mine Laboratory only.

Results from a further four trenches are pending.


          Please see attached link to Ruari's Ridge - Plan

     Please see attached link to Ruari's Ridge - Section 20640 N


Chico do Santo

Situated some 300m  north-east of  the current PMZ  mine, very  early
exploration identified three mineralised structures running  parallel
to the PMZ  associated with  old garimpeiro workings.   Drilling  has
continued, with a further 8 holes  completed for a total of 1,130m.
In addition,  preliminary  interpretation  of  a  recently  completed
ground  electromagnetic  geophysics  survey  (EM)  has  enhanced  the
understanding of the Chico do  Santo prospect. Significantly two  (2)
more potentially mineralised structures  have been defined using  the
survey, bringing  the  total  to  five  (5)  potentially  mineralised
structures.     Furthermore,   results   now   indicate   that   such
mineralisation could  extend  to within  just  100m of  the  existing
underground mine at Palito.

Using the  new information  and with  a better  understanding of  the
structures at  Chico do  Santo, the  new interpretation  will  enable
Serabi to better target drilling on the prospect.

Significant new drilling intercepts include:


+-------------------------------------------------------------------+
|                 |         |        |           | Au     |         |
|      Hole       |  From   |   To   | Interval  |  (g/t  | Cu      |
|                 |   (m)   |  (m)   |    (m)    |  Au)   |   (%)   |
|-----------------+---------+--------+-----------+--------+---------|
|     PDD0292     |  45.03  | 45.64  |   0.61    |  1.41  |  0.01   |
|-----------------+---------+--------+-----------+--------+---------|
|                 | 118.25  | 119.25 |   1.00    |  1.33  |  0.03   |
|     PDD0293     |---------+--------+-----------+--------+---------|
|                 | 143.96  | 144.54 |   0.58    |  1.19  |  0.06   |
|-----------------+---------+--------+-----------+--------+---------|
|                 | 126.03  | 126.55 |   0.52    | 21.47  |   1.1   |
|     PDD0296     |---------+--------+-----------+--------+---------|
|                 | 135.63  | 137.26 |   1.63    | 25.76  |  1.23   |
|-----------------+---------+--------+-----------+--------+---------|
|                 |  63.28  | 64.20  |   0.92    |  1.67  |  0.02   |
|    PDD0303*     |---------+--------+-----------+--------+---------|
|                 |  73.81  | 74.37  |   0.56    |  7.35  |  0.33   |
|-----------------+---------+--------+-----------+--------+---------|
|    PDD0308*     | 136.45  | 137.00 |   0.55    | 10.82  |  1.53   |
|-----------------+---------+--------+-----------+--------+---------|
|                 |  2.00   |  4.00  |   2.00    |  0.76  |  0.02   |
|    RC-CS-08ª    |---------+--------+-----------+--------+---------|
|                 |  8.00   | 12.00  |   4.00    |  0.91  |  0.02   |
|-----------------+---------+--------+-----------+--------+---------|
| RC-CS-10ª       |  3.00   |  5.00  |   2.00    |  0.55  |  0.01   |
|-----------------+---------+--------+-----------+--------+---------|
|    RC-CS-11ª    |  56.00  | 61.00  |   5.00    |  1.02  |  0.01   |
|-----------------+---------+--------+-----------+--------+---------|
|    RC-CS-12ª    |  55.00  | 58.00  |   3.00    | 25.07  |  1.44   |
+-------------------------------------------------------------------+


(*) ¿ core assays from Palito Mine Laboratory only, ¿ core sample
results are pending from SGSGeosol Laboratory in Belo Horizonte
(ª) RC assays from Palito Mine Laboratory only


    Please see attached link to Chico do Santo - Section 20100 N

Commenting on the  results, Graham  Roberts, the  Chairman of  Serabi
said:

"The results from  both projects  are very exciting  and confirm  the
wider potential of the district  from which the Palito operation  can
be expanded.    As  a  completely  new  discovery  Ruari's  Ridge  is
particularly meaningful, being previously unknown and unworked by the
garimpeiros, with major  implications for such  potential across  the
rest of the Jardim do Ouro district.

The challenge is now twofold. First, to fully evaluate and  hopefully
bring to production  both these  projects as satellite  mines of  the
Palito operation.  In this regard we are fortunate as the  topography
at  Ruaris'  Ridge  will  enable  quick  underground  access  to  the
mineralisation; such development  will also provide  a platform  from
which to better exploit the nearby Palito West deposit.  Secondly, in
order to ensure we arrive at  the best long-term plan for the  Palito
Operation, it is important to understand better and quantify the full
potential of the district from which more significant expansion might
be achieved in the future.  In  this regard we will now escalate  the
pace of exploration and evaluation in the area."



Technical and geological information in this report has been read and
approved by Serabi's  Chief Geologist, Mr  Chris Spurway. Mr  Spurway
BSc (Honours) is a graduate of  the University of Sydney in  Geology.
He is a  member of the  AusIMM and has  worked for over  16 years  in
mineral exploration including three years in Brazil.







Enquiries

Serabi Mining plc

Graham Roberts                  Tel: [phone]
Chairman                        Mobile: [phone]

Clive Line                      Tel: [phone]
Finance Director                Mobile: [phone]

Email: [e-mail]
Website:  www.serabimining.com

Numis Securities Limited
John Harrison                   Tel: [phone]
James Black                     Tel: [phone]

Parkgreen Communications
Clare Irvine                    Tel: [phone]
Shannon Wiseman                 Tel: [phone]



Notes to Editors

The  Tapajos  region  of  northern  Brazil  encompasses  an  area  of
approximately 100,000  km²,  primarily situated  in  south-west  Para
State.  It has a significant history of alluvial gold production with
estimated gold  production of  some 30  million ounces  having  being
recovered, primarily from artisanal workings.

Present in the Tapajos  since 1999, Serabi  has established the  only
'hard rock' mine in the region to date at its Palito gold mine, which
produced 39,197  ounces  of  gold equivalent  in  2006.    Commercial
production was achieved last October  at Palito, with cash costs  for
the fourth  quarter  of 2006  reported  at  $252 per  ounce  of  gold
equivalent.

Serabi already has a significant exploration programme focused on the
Tapajos region, owns and operates four surface drilling rigs and  has
its own assay laboratory.

---END OF MESSAGE---




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