Drilling Update

Drilling Update

Hambledon Mining PLC

Hambledon Mining plc

(“Hambledon” or “Company”)

15 May 2012

Update on underground mining and drilling results from Sekisovskoye project, Kazakhstan

Hambledon Mining Plc (AIM: HMB), the Kazakhstan gold mining and development company, continues to advance its underground mine and associated diamond drill programme to validate the geological resources at Sekisovskoye and today reports the results of further drilling in Quarter 2, 2012.

The results from the programme up to 13 May 2012 are set out below:

  • 114 holes drilled to date total over 13,250 metres drilled,
  • The main intersections since the last update include:
    • Hole 99 – 3m at 6.87g/t Au,
    • Hole 100 – 10m at 5.25g/t Au,
    • Hole 103 – 3m at 3.43g/t Au and 3m at 3.79g/t Au,
    • Hole 106 – 4m at 6.07g/t, Au 4m at 3.62g/t Au and 1m at 28.76g/t
    • Hole 107 – 3m at 6.36g/t Au,
    • Hole 113 –4m at 7.3g/t Au and 3m at 3.14g/t Au,
    • Hole 114 – 3m at 8.31g/t Au and 1m at 10.14g/t

The 114 drill holes have been completed in the upper levels of the underground ore zones and the results are consistent and in many areas exceed the previous geological and mineral resource modeling previously carried out.

The assays were carried out in the Altai Ken-Bayitu laboratory with independent verification to be undertaken by the Alex Stewart Group in Karabalta, Kyrgyzstan.

The ore body to be mined in 2012 is ore body number 11 where mining started in Q4, 2011. The drill results and mined grade (including dilution) compare favourably and provide robust confirmation of the geological model.

Appendix 1 - Sekisovskoye 2012 - Drill result summary as of 13 May 2012, holes 99 to 114.

â„– HOLE COORDINATES DEPTH GOLD MINERALIZATION_ore intervals
    X Y Z AZI DIP drilled core total FROM TO LENGTH AA-AKB LAB, AU, g/t
99 D-60 7296.51 6837.32 325.78 226 -54 151 151 151 86 87 1 2.7
                    101 102 1 2.6
                    108 109 1 1.22
                    111 114 3 6.87
                    119 120 1 1.54
                    122.5 123 0.5 1.38
                    132 133.5 1.5 1.42
100 D-59 7297.02 6840.42 325.369 226 -64 176 176 176 47 48 1 1.06
                    71 72 1 1.06
                    95 96 1 3.12
                    120 130 10 5.25
101 D-58 7297.18 6840.58 325.369 226 -71 195 195 195 14 15 1 1.06
                    38 39 1 1.58
                    138.6 140 1.4 4.67
102 D-156 7623.97 6682.35 325.3 226 -65 133.5 133.5 133.5 8 9 1 1.04
                    29 30 1 2.45
                    51 52 1 1.26
                    82 83 1 1.06
                    92 93 1 1.18
                    103 104 1 1.4
                    106 107 1 1.2
                    117 118 1 1.2
                    130 131 1 1.18
                    132 133 1 1.24
103 D-157 7623.54 6681.94 324.1 226.37 -53 172.5 172.5 172.5 24 25 1 1.14
                    30.05 31 0.95 2.48
                    42 45 3 3.43
                    50 53 3 3.79
                    56 58 2 2.02
                    70 72 2 4.06
                    74 75 1 2.04
                    79 80 1 1.42
                    106.9 108 1.1 1
                    111 112 1 1.8
                    114.7 119 4.3 1.27
104 D-158 7622.34 6680.8 324.1 226.37 -42 138 138 138 61 62 1 2.12
                    64 67 3 1.75
                    71 72 1 4.02
                    73 74 1 1.54
                    85 86 1 1.26
105 D-159 7622.96 6681.6 324.2 226.37 -31 106.3 106.3 106.3 20 21 1 1.96
                    23 24 1 1.26
                    25 26 1 2.38
                    28 29 1 1.12
                    50 51 1 1.38
                    55 56 1 11.06
                    89 91 2 1.03
106 D-155 7495.23 6753.11 324.82 226.37 -26 280.3 280.3 280.3 21 23 2 1.92
                    31 32 1 1.1
                    89 90 1 3.4
                    100 101 1 1.08
                    118 119 1 2.09
                    124 126 2 3.39
                    143 147 4 6.07
                    155 156 1 28.76
                    157 158 1 1.04
                    159 160 1 3.94
                    223 224 1 2.62
                    227 231 4 3.62
                    233 234 1 3.58
                    238 239 1 5.54
                           
                           
                           
107 SKV5 7311.22 6903.51 327.477 50.48 26 66 66 66 2 5 3 6.36
                    7 8 1 3.84
108 SKV6 7311 6903.15 328.25 24.87 40 52.1 52.1 52.1 2 4 2 1.51
109 SKV7 7311.04 6902.98 328.714 60.79 54 42.2 42.2 42.2 4 6 2 1.15
110 SKV8       226.37 16 65.3 65.3 65.3 0 3 3 1.28
                    4 5 1 2.3
                    14 15 1 1.88
                    18 19 1 3.56
                    22 23 1 2.48
                    46 47 1 1.5
                    50 51 1 1.4
111 D-154 7495.24 6753.12 325.012 226.37 -15 222 222 222 19 20 1 1
                    21 22 1 1.2
                    100 101 1 4.08
                    103 104 1 1.58
                    111 112 1 4.84
                    121 122 1 1
                    124 125 1 2.98
                    151 152 1 1.99
112 D-141A       226.37 -67 40.9 40.9 40.9 14 16 2 2.68
                    19 20 1 3.06
113 D-71       226.37 -71 160.5 160.5 160.5 23 25 2 1.71
                    41 47 6 2.3
                    102 103 1 2.9
                    112 115 3 2.87
                    118 122 4 7.3
                    125 128 3 3.14
                    135 136 1 1.06
                    138 139 1 1.4
114 D-73       226.37 -29 114 114 114 18 19 1 2.9
                    30 31 1 10.14
                    50 54 4 1.23
                    79 80 1 1.58
                    87 90 3 8.31
                    92 94 2 3.53
                    99 100 1 1.26
                    101 102 1 1.68
                    104 105 1 3

Underground Mining

During April, a further 6,400t at of underground ore with head grade 3.12g/t Au was treated in the processing plant and underground mining activity is now achieving tonnages in line with management expectations.

The underground mining continues to advance according to plan with the 326mrl and 316mrl stopes being mined at present and development work for the 306mrl stope is ongoing. All works are being undertaken by the mining contractor who has recently expanded the underground fleet to include additional load haul dump machines and trucks.

Construction work for the main high voltage substation for the next mining block and associated dewatering station are well advanced. The installation of rope guides in the 320mrl shaft completes the fit-out of this shaft which is now fully functional for man-riding, material handling and as a means of second egress along with the decline.

The intersection of the transport decline at 320mrl and the associated ventilation system is now complete and will provide the necessary ventilation to start bulk scale mining. A review of the ground conditions and associated hydro-geology is scheduled for July 2012 such that trials of bulk mining can start in Q3 2012. Supervision of the ground investigation and trial mining will be done by Golders Associates UK and Canada.

The main mine fans and air heating house is progressing according to schedule and is expected to be commissioned in advance of the Kazakhstan winter so that operations are in full compliance with local laws and underground operations are able to continue without any effect of the harsh winter climate.

Ognevka

On 20 April 2012 the Company advised shareholders that the bankruptcy proceedings for Ognevka had been completed and Hambledon had received payment of US$1.2 million as fulfilment of the proceeds to be paid to the creditors. Since then, it has received further payments of US$420,000 relating to the bankruptcy process, making total proceeds received by the Company of $1.62 million.

Qualified Person

Information in this report relating to the diamond drilling results is based on data reviewed by Timothy Daffern, BEng, MBA, FIMMM, FAusIMM, MCIM, CEng, Chartered Mining Engineer, Chief Executive Officer of Hambledon Mining plc. Timothy Daffern has in excess of 24 years’ experience in mineral project development and evaluation including exploration and is a Qualified Person under the AIM Rules.

ENQUIRIES:

HAMBLEDON MINING:

Telephone +44 (0)207 233 1462

Charles Zorab

FAIRFAX I.S. PLC (NOMAD AND BROKER):

Telephone +44 (0)207 598 5368

Ewan Leggat/Katy Birkin

TAVISTOCK COMMUNICATIONS:

Telephone +44 (0)207 920 3150

Ed Portman/Jos Simson

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