Mambare Nickel Laterite Project Drilling Results

RNS Number : 3055Y

Regency Mines PLC

28 February 2012

Regency Mines PLC

28 February 2012

Regency Mines plc ("Regency"), the mining exploration and mineral investment company with interests in nickel and other minerals in Western Australia, Queensland, Papua New Guinea and Pakistan is pleased to announce continued positive assay results from recent drilling at the Mambare Nickel Laterite Project in Papua New Guinea.

Continued good thicknesses and grades returned from holes located on the northernmost drill line of Area 1 (MAM-KK-0060, 0081, 0084, 0091, 0092) indicate that mineralization continues north beyond the current drilling area across the plateau, which is encouraging for future exploration.

Positive thicknesses and grades were noted in results from all three areas. Other highlights from the Plateau (Area 1) include 22.25m at 1.07% Nickel from 7.00m including 9.08m at 1.53% Nickel from 20.17m in MAM-KK-0096. Highlights from the North Ridge Extension (Area 2) include MAM-KK-0077A showing 31.15m at 1.12% Nickel from 10.00m depth, including 2.30m at 2.10% Nickel from 28.10m. Good results from the North Ridge Infill (Area 3) include 22.69m at 1.38% Nickel from 11.61m, including 5.05m at 2.23% from 24.55m in MAM-KK-0080.

The highest grades recorded in individual assays were 3.03% Nickel over a 0.20m interval from 23.36m in MAM-KK-0100, and 2.93% Nickel over a 0.80m interval from 10.60m in MAM-KK-0084, with both holes located in Area 1.

Key results from this batch of sample assays are summarized below:

Mambare Area 1 - Plateau
	Location		Intersection (m)			Grade
Hole ID	Easting	Northing	From	To	Interval	%Ni	%Co
MAM-KK-0060	582199	9029996	6.25	25.60	19.35	1.10	0.13
including			21.25	25.60	4.35	1.57	0.13
MAM-KK-0081	581776	9030000	12.25	20.00	7.75	0.79	0.19
MAM-KK-0084	581296	9030010	7.00	13.57	6.57	1.35	0.05
including			10.60	13.57	2.97	1.95	0.07
			10.60	11.40	0.80	2.93	0.06
MAM-KK-0091	582416	9030005	5.60	18.30	12.70	1.07	0.13
MAM-KK-0092	582602	9030004	7.50	11.00	3.50	0.80	0.07
and			13.60	17.10	3.50	0.89	0.04
and			22.30	26.15	3.85	1.07	0.15
MAM-KK-0096	582217	9029800	7.00	29.25	22.25	1.07	0.07
including			20.17	29.25	9.08	1.53	0.06
MAM-KK-0100	582407	9029390	8.30	26.85	18.55	1.03	0.13
including			22.40	26.85	4.45	1.85	0.05
			23.36	23.56	0.20	3.03	0.05
MAM-KK-0124	581600	9029000	13.60	26.00	12.40	1.00	0.28
including			20.30	26.00	5.70	1.28	0.46

Mambare Area 2 - North Ridge Extension
	Location		Intersection (m)			Grade
Hole ID	Easting	Northing	From	To	Interval	%Ni	%Co
MAM-KK-0073	582012	9027163	8.00	26.65	17.65	1.18	0.04
including			12.20	15.52	3.32	1.39	0.08
and			16.52	20.35	3.83	2.16	0.04
including			16.52	17.70	1.18	2.67	0.04
MAM-KK-0074	582212	9027162	5.25	12.75	7.50	0.88	0.05
and			17.75	22.55	4.80	1.41	0.20
and			24.65	27.80	3.15	1.87	0.14
MAM-KK-0074A	582312	9027162	15.20	18.10	2.90	1.04	0.07
and			24.60	26.50	1.90	0.84	0.08
and			28.55	38.00	9.45	1.01	0.12
MAM-KK-0075	581913	9027556	10.50	13.12	2.62	1.28	0.04
MAM-KK-0077	582124	9027566	2.30	13.50	11.20	1.10	0.11
including			9.00	13.50	4.50	1.49	0.16
MAM-KK-0077A	582124	9027606	10.00	41.15	31.15	1.12	0.06
including			28.10	35.00	6.90	1.74	0.05
			28.10	30.40	2.30	2.10	0.07

Mambare Area 3 - North Ridge Infill
	Location		Intersection (m)			Grade
Hole ID	Easting	Northing	From	To	Interval	%Ni	%Co
MAM-KK-0064	582311	9025565	1.3	3.72	2.42	0.92	0.07
and			6.3	19.8	13.5	1.19	0.07
MAM-KK-0065	582207	9025569	8.05	26.90	18.85	1.01	0.06
including			14.55	18.1	3.55	1.44	0.09
MAM-KK-0066	582096	9025579	6.35	14.40	8.05	0.76	0.04
MAM-KK-0068	582505	9025164	15.00	26.00	11.00	1.13	0.09
MAM-KK-0069	582401	9025162	2.44	14.2	11.76	0.98	0.05
MAM-KK-0080	582126	9026265	11.61	34.4	22.69	1.38	0.06
including			24.55	29.60	5.05	2.23	0.04

These results were derived from 661 samples from 26 drill holes, with 20 of these drill holes including assayed intervals with Nickel grades above 1%, and 23 with assayed intervals over 0.70% Nickel. Of the 661 samples tested, 318 were above 0.7% Nickel, including 173 above 1% Nickel. The weighted average grade for all samples is 0.74% Nickel and 0.07% Cobalt. A table of the drilling results is given in the appendix to this announcement.

Sample testing was conducted by Intertek Jakarta, based on 1m samples of NQ core. Assay results are presented on a dry basis. Average grades are calculated by weighted average.

Exploration at the Mambare Nickel Laterite Project is being undertaken by the 50:50 Joint Venture with Sydney based Direct Nickel Pty Ltd. All drilling in the current campaign was completed in December 2011, and further assay results are expected in the coming days.

Figure 1 - Mambare 2011 Completed Holes and Test Pits

http://www.rns-pdf.londonstockexchange.com/rns/3055Y_-2012-2-28.pdf

Figure 2 - Area 1 (Plateau) Completed 2011 Drill Holes

http://www.rns-pdf.londonstockexchange.com/rns/3055Y_1-2012-2-28.pdf

Figure 3 - Area 2 (North Ridge Extension) Completed 2011 Drill Holes

http://www.rns-pdf.londonstockexchange.com/rns/3055Y_2-2012-2-28.pdf

Figure 4 - Area 3 (North Ridge Infill) Completed 2011 Drill Holes

http://www.rns-pdf.londonstockexchange.com/rns/3055Y_3-2012-2-28.pdf

The information in this announcement that relates to Exploration Results is based on information reviewed and audited by Mr. Ian Warden who is a Member of the Australasian Institute of Mining and Metallurgy. Mr. Warden is employed by Direct Nickel Pty Ltd and acts as the Project Manager for the Mambare Joint Venture. He has sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration to qualify as a Qualified Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves", and as a Qualified Person within the meaning of AIM's Note for Mining and Oil & Gas Companies of June 2009. Mr. Warden has consented to the inclusion of the information in the form and context in which it appears.

For further information contact:

Andrew Bell	0207 402 4580 or 07766 474849	Regency Mines plc	Chairman

Sandra Spencer	0207 402 4580 or 07757 660 798	Regency Mines plc	Public and Investor Relations

Phil Davies/David Porter	020 7444 0800	Religare Capital Markets	Nominated Adviser

Nick Emerson	01483 413500	Simple Investments Ltd	Broker