Runruno Resource Update

Metals Exploration PLC
02 November 2007

                             Metals Exploration PLC

                             Runruno Resource Update





02 November 2007



    RESOURCE UPGRADED TO INDICATED & INFERRED - 2Moz GOLD & 40Mlb MOLYBDENUM





Metals Exploration PLC ('the Company'), the natural resources exploration and
development company with assets in the Pacific Rim region, is pleased to report
that it has completed Phase 1 of an infill drilling programme and technical
review of the 100% controlled Runruno gold-molybdenum deposit in the
Philippines.



Phase 1 has resulted in a contained metal total at Runruno of 2.05 million
ounces of gold of which 0.409 million ounces is Indicated and 39.5 million
pounds of molybdenum of which 10 million pounds is Indicated. This is a slight
increase of 0.8% in total gold and significant increase of 14.8% in total
molybdenum from the previous estimation. The grade shown for the Indicated
section of the molybdenum resource has risen by over 60%.



The Company has estimated a JORC-compliant Indicated & Inferred Mineral Resource
of 28Mt at 2.27% gold per tonne (g/t) and a 0.06% grade of molybdenum,
comprising of:



•       Indicated Resource of 5.45Mt at 2.33 g/t gold & 0.09% molybdenum
•       Inferred Resource of 22.6Mt at 2.26 g/t gold  & 0.06% molybdenum





Jonathan Beardsworth, Chief Executive of Metals Exploration Plc, commented:



'We are pleased to have upgraded and increased resource status of the
gold-molybdenum deposit from Inferred to Indicated & Inferred further
demonstrating the potential of Runruno. The size of the gold resource was not
increased due to the recent drilling intersecting a non-mineralised dyke in an
area of limited drilling where we had previously inferred a resource. The high
molybdenum grades of 0.09% in the Indicated category and the move from Inferred
to Indicated has resulted in a 60% rise in the grade, which would make the
project a substantial producer of molybdenum in its own right.



As we now control 100% of Runruno, additional drilling has been planned, both
within the immediate resource area and the wider volcanic complex, where a
number of prospective targets have already identified. We have strong confidence
that the resource status will improve further and we expect to have drilling
results out by the end of Q1 2008.





ENQUIRIES:


Jonathan Beardsworth              Metals Exploration                      [phone]
                                                                          [phone]
Adrian Hadden                     Collins Stewart Europe Limited          [phone]
Charles Vivian                    Pelham Public Relations                 [phone]
Klara Kaczmarek                   Pelham Public Relations                 [phone]





RUNRUNO PROJECT



Drilling Programme



Since November 2005, the Company has drilled 76 diamond drill holes (12,345
metres) and 68 RC drillholes (9,700 metres) on a 100m x 100m grid spacing for
the total resource area and recently approximately 20% of that area was infill
drilled on a 50m x 25m grid spacing. The resource lies from surface to maximum
depth of 150 metres over a surface area of approximately 1,800 metres x 900
metres. The mineralisation envelope is predominantly 100 metres in thickness
with higher grade zones at the hangingwall and footwall margins.



The mineralisation remains open to the south and north and consequently the
Company believes the resource has the potential to increase further in size.



Resource Update



The resource was estimated by Company and consulting geologists using a
validated database, and computer modelling using Micromine. The revised
JORC-compliant Indicated & Inferred Mineral Resource was calculated from the
results of the Company's RC and diamond core drilling programmes since November
2005, (144 drillholes, 22,045 metres) combined with Greenwater's 2000-01 diamond
drill holes (4 drillholes, 568 metres) to arrive at a total combined Indicated
and Inferred Mineral Resource of 28.04 million tonnes at an average grade of
2.27 grams per tonne gold and 0.064% molybdenum.



An additional 91 drill holes for 13,794 metres have made added since the last
resource estimation was published in December 2006.



A summary of the resource estimations carried out for the Runruno deposit, since
the Company acquired the Runruno Project, is shown below in Table 1.



Table 1.     Runruno Deposit - Previous Mineral Resource Estimations - 2006.


Inferred         Tonnes           Gold                       Molybdenum
Resource                          g/t        ounces          %           pounds

11-May-06        23M              2.30       1.7M            0.07        34M
06-Dec-06        28.3M            2.23       2.03M           0.06        34.4M


The current resource statement, in compliance with the AIM Guidance for Mining
Companies, is shown below in Table 2.



Table 2.     Runruno Deposit - Gross Resources - 28 October 2007.


Resource           Tonnes             Gold                         Molybdenum
Category                              g/t         ounces           %            pounds

Indicated          5.455M             2.33        0.409M           0.089        10.765M
Inferred           22.58M             2.26        1.637M           0.058        28.771,M
TOTAL              28.04M             2.27        2.046M           0.064        39.536M



Notes:     1.    Metals Exploration currently holds 85% of the project, with an
                 option to purchase the remaining 15%. Therefore current net 
                 attributable resources is 85%.
           2.    No high/top cut off applied to gold grades - preliminary 
                 statistical analyses of gold assays indicate that there is 
                 negligible 'nugget effect'.
           3.    Cut off grade of 0.7g/t gold applied to the model.
           4.    No high/top cut or low cut off grades applied to molybdenum 
                 grades.
           5.    Average bulk density of 2.5.



Some assays are still outstanding and it is expected that the last of the assay
results will be received within the next three weeks, although they are not
expected to significantly affect the size and grade of the resource.



Discussion



The infill drilling programme was carried out over approximately 20% of the
resource area. In this area the resource conversion of the gold from Inferred to
Indicated was in the order of 100% of the Inferred Mineral Resource to Indicated
Mineral Resource category. This gives the Company confidence that future
conversion from Inferred to Indicated will be of the similar order.



During the later stages of this drilling programme the Company intersected a
cross-cutting phonolite dyke which effectively blanked out a major part of the
inferred extension to the current resource. As a result the overall tonnage of
the resource was unable to be increased significantly from the previous
resource. However the increase in the molybdenum content combined with the
increase in gold grade has effectively increased the resource by the equivalent
value of approximately 230,000 ounces of gold (at a $780/oz gold and $32.5/lb
molybdenum).



The more closely spaced drilling also highlighted several new structural
controls on the mineralisation. A structural review of the geology of the
deposit and its surrounds is being initiated, to assist in further drilling of
the resource and exploration of the wider area.



Other Activities



Higher than expected molybdenum grades in the Indicated Resource confirms that
the current metallurgical work attempting to increase the molybdenum recovery
rate are important and should continue. Recent metallurgical tests have shown a
recovery of 50% of contained molybdenum rising from an initial 35% recovery.



The Company is continuing with other activities such as metallurgical testwork,
social and environmental studies as part of a feasibility study into the
economics of the Runruno deposit. Results will be announced as they are received
from the Company's consultants.



There have been recent media articles regarding the Secretary of the Department
of Environment and Natural Resources reviewing mining companies activities and
their mining permits in the Nueva Vizcaya province. The Company's community
relations and environmental protection policies are of a high standard and the
local communities have given written resolutions giving their full support and
endorsement to the Company and to the development of the Runruno project. The
exploration permit is valid and we have no reason to believe that the permit
will be revoked.



Analytical Techniques



Gold           Gold analysis is by classical 'Screen Fire Assay' technique that 
               involves sieving a 900-1,000 gram sample to 200 mesh (75microns). 
               The entire oversize and duplicate undersize fractions are fire 
               assayed and the weighted average gold grade calculated. This is 
               one of the most appropriate methods for determining gold content 
               if there is a 'coarse gold' component to the mineralisation.



Molybdenum     The sample is dissolved in Aqua Regia (3:1 HCl:HNO3) and analysis
               is carried out by Inductively Coupled Plasma - Optical Emission 
               Spectrometry (ICP-OES) method.



Glossary of Terms



JORC         The Australasian Code for Reporting of Exploration Results, Mineral 
             Resources and Ore Reserves, 2004 (the 'JORC Code' or 'the Code'). 
             The Code sets out minimum standards, recommendations and guidelines 
             for Public Reporting in Australasia of Exploration Results, Mineral 
             Resources and Ore Reserves. The definitions in the JORC Code are 
             either identical to, or not materially different from, those 
             similar codes, guidelines and standards published and adopted by 
             the relevant professional bodies in Australia, Canada, South 
             Africa, USA, UK, Ireland and many countries in Europe.



Mineral Resource         is a concentration or occurrence of material of
                         intrinsic economic interest in or on the Earth's crust 
                         in such form, quality and quantity that there are 
                         reasonable prospects for eventual economic extraction.
                         The location, quantity, grade, geological 
                         characteristics and continuity of a Mineral Resource 
                         are known, estimated or interpreted from specific 
                         geological evidence and knowledge. Mineral Resources 
                         are sub-divided, in order of increasing geological 
                         confidence, into Inferred, Indicated and Measured
                         categories when reporting under JORC.



Inferred     Mineral Resource is that part of a Mineral Resource for which 
             tonnage, grade and mineral content can be estimated with a low 
             level of confidence. It is inferred from geological evidence and 
             assumed but not verified geological and/or grade continuity. It is 
             based on information gathered through appropriate techniques from 
             locations such as outcrops, trenches, pits, workings and drill 
             holes which may be limited or of uncertain quality and reliability.



Indicated    Mineral Resource is that part of a Mineral Resource for which
             tonnage, densities, shape, physical characteristics, grade and 
             mineral content can be estimated with a reasonable level of 
             confidence. It is based on exploration, sampling and testing 
             information gathered through appropriate techniques from locations 
             such as outcrops, trenches, pits, workings and drill holes. The 
             locations are too widely or inappropriately spaced to confirm
             geological and/or grade continuity but are spaced closely enough 
             for continuity to be assumed.



Measured     Mineral Resource is that part of a Mineral Resource for which
             tonnage, densities, shape, physical characteristics, grade and 
             mineral content can be estimated with a high level of confidence. 
             It is based on detailed and reliable exploration, sampling and 
             testing information gathered through appropriate techniques from 
             locations such as outcrops, trenches, pits, workings and drill 
             holes. The locations are spaced closely enough to confirm 
             geological and grade continuity.



Cut off Grade        The lowest grade, or quality, of mineralised material that
                     qualifies as economically mineable and available in a given 
                     deposit. May be defined on the basis of economic 
                     evaluation, or on physical or chemical attributes that 
                     define an acceptable product specification.



High/Top cut         The value assigned to individual samples shown to have a 
                     grade so high that they are not truly representative of the 
                     overall grade in the deposit. In a resource estimate these 
                     high values may also be referred to as being due to the 
                     'Nugget Effect'. They are downgraded to prevent over 
                     estimation of the total resource as they exert an undue 
                     statistical weight.



Au          chemical symbol for gold
Mo          chemical symbol for molybdenum
HCl         chemical symbol for Hydrochloric Acid            
HNO3        chemical symbol for Nitric Acid
g           gram
t           tonne (= 1 million grams)
g/t         grams per tonne, equivalent to parts per million (g/t Au = grams of 
            gold per tonne)
%           percent (1% = 10,000 parts per million)
lb          avoirdupois pound (= 453.59237 grams)
oz          troy ounce (= 31.103477 grams)
micron      A unit of length (= one thousandth of a millimetre or one millionth 
            of a metre).
200 mesh    the number of openings (200) in one linear inch of screen mesh
            (200 mesh approximately equals 75 microns)





QUALIFIED/COMPETENT PERSONS



Gary Powell (a Director of the Company) has been involved in the mining and
exploration industry for more than 23 years. He has a Bachelor of Applied
Science degree in geology and is a member of the Australasian Institute of
Mining and Metallurgy and the Australasian Institute of Geoscientists. He has
compiled, read and approved the technical disclosure in this regulatory
announcement.



The information in the report to which this statement is attached that relates
to Exploration Results, Mineral Resources or Ore Reserves is based on
information compiled by Mr Brian Lueck, who is a Member of the Association of
Professional Engineers and Geoscientists of British Columbia, Canada (Lic. No.
21298). Mr. Brian Lueck is employed as a technical consultant to the Company and
has sufficient experience which is relevant to the style of mineralisation and
type of deposit under consideration and to the activity which he is undertaking
to qualify as a Competent Person as defined in the 2004 Edition of the
'Australasian Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves'. Mr. Brian Lueck consents to the inclusion in the report of the
matters based on his information in the form and context in which it appears.


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