Drilling update - Positive drill intersections ...

SERABI MINING plc

                          ("Serabi" or "the Company")

      Drilling update - Positive drill intersections continue at Currutela

Serabi Mining plc (AIM:SRB, TSX:SBI and SBI.WT), the Brazilian focused gold
exploration Company, is pleased to announce further results from its ongoing
Phase 1 discovery drilling campaign from the Currutela prospect at the 100%
owned Jardim do Ouro project in the Tapajos region.

Assay results have been received for a further five completed holes on the
target. Drilling continues to intersect multiple zones of hydrothermally altered
granite, similar to previously reported Currutela intercepts (as announced on
13 June 2011) and to those hosting mineralisation at the Palito gold deposit
along strike.

A number of promising assays have been returned to date as set out in the table
below:



+------------------------------------------------------------------------------+
|                                      Hole                                    |
| Hole     East      North      RL     Depth   Dip/Azm  From    To   Width  Au |
|                                                                              |
|          (UTM)     (UTM)    (UTM)     (m)             (m)    (m)    (m)  g/t |
+------------------------------------------------------------------------------+
|PDD0467 635534.93 9300085.46 202.97  253.75   -51/211 100.03 101.23 1.20  1.84|
|                                                                              |
|                                                      127.08 127.58 0.50  0.72|
|                                                                              |
|                                                      166.00 166.88 0.88  1.23|
+------------------------------------------------------------------------------+
|PDD0468 635422.54 9300311.02  248.3  352.45   -51/208 284.32 285.25 0.93  1.01|
+------------------------------------------------------------------------------+
|PDD0469 635330.30 9300138.32 213.37   250.5   -58/027 209.07 210.27 1.20  6.39|
|                                                                              |
|                                                      216.76 217.61 0.85  1.66|
+------------------------------------------------------------------------------+
|PDD0471 635274.69 9300049.93 188.36   154.7   -59/026 39.21  40.21  1.00  0.50|
|                                                                              |
|                                                      55.85  56.88  1.03  5.10|
+------------------------------------------------------------------------------+
|PDD0472 635455.74 9299954.89 186.81    243    -60/030  No significant Assays  |
+------------------------------------------------------------------------------+



Assay intercepts are calculated based on a minimum weighted average grade of
0.5g/t Au using a 0.5g/t Au weighted average lower cut and a maximum internal
waste interval of 1.2m. All assays were completed by EcoTech Laboratory using a
30gm Fire Assay charge with an AAS analysis.

As reported by the Company in its announcement dated 23 May 2011, a re-
interpretation of the structural setting of the Palito deposit and near-mine
environment using re-processed aeromagnetic data has recently been completed.
Particular emphasis was placed on the fault and lineament architecture.  The
results were very encouraging and as a result of this review and with the
increased drilling capacity, drilling has now commenced to test the predicted
continuity of the Palito host structure's south-east strike towards the
Currutela prospect. The first drill hole is approximately 300m south-east along
strike from the south-east limit of the Palito Main Zone, and some 900m NW of
the closest Currutela drill hole PDD0469.

Mike Hodgson, Chief Executive, commented:

"We are delighted to follow up the first three drill-hole results into the
highly prospective Currutela target with a further five holes, three of which
have recorded successful intersections.. The drilling has continued to intersect
mineralisation which is very similar to that found at the Palito deposit,
approximately 2km to the north-west, which hosts a 650,000 gold equivalent ounce
mineral inventory.

We therefore look forward to the results from the remainder of the Currutela
drill programme, which will be forthcoming over the next month.  In addition to
drilling at Currutela, the recent re-processing of the aeromagnetic data has
revealed compelling results, with the structural zones that we believe could
host additional gold mineralisation.

With the recent introduction of a second rig on site, we are now drill testing
what appears to be the possible strike continuity of such a hosting structural
zone between the Palito Deposit and the Currutela target, 2km to the south-
east.  Results should be available later this month."

Figure 1:  Processed aeromagnetic data showing location of Palito deposit and
current discovery drill targets with interpreted structural corridor.



Figure 2:  Processed aeromagnetic data (on larger scale) showing location of
interpreted structural corridor, Palito and Currutela drilling locations and
planned drill hole for strike extension.

[Links to view the above diagrams can be accessed at the end of this
announcement]

Enquiries:



 Serabi Mining plc

 Michael Hodgson                   Tel: [phone]

 Chief Executive                   Mobile: [phone]



 Clive Line                        Tel: [phone]

 Finance Director                  Mobile: [phone]



 Email: [e-mail]

 Website:  www.serabimining.com



 Beaumont Cornish Limited

 Nominated Adviser

 Roland Cornish                    Tel: [phone]

 Michael Cornish                   Tel: [phone]



 Fox-Davies Capital Ltd

 UK Broker

 Simon Leathers                    Tel: [phone]

 Jonathan Evans                    Tel: [phone]



 Farm Street Communications

 Public Relations

 Simon Robinson                    Tel: [phone]



 Fig House Communications

 Investor Relations

 Rebecca Greco                     Tel: [phone]




Copies of this release are available from the Company's website at
www.serabimining.com


Forward-looking statements

This press release contains forward-looking statements. All statements, other
than of historical fact, that address activities, events or developments that
the Company believes, expects or anticipates will or may occur in the future
(including, without limitation, statements regarding the estimation of mineral
resources, exploration results, potential mineralization, potential mineral
resources and mineral reserves) are forward-looking statements. Forward-looking
statements are often identifiable by the use of words such as "anticipate",
"believe", "plan", may", "could", "would", "might" or "will", "estimates",
"expect", "intend", "budget", "scheduled", "forecasts" and similar expressions
or variations (including negative variations) of such words and phrases.
Forward-looking statements are subject to a number of risks and uncertainties,
many of differ materially from those discussed in the forward-looking
statements. Factors that could cause actual results or events to differ
materially from current expectations include, among other things, without
limitation, failure to establish estimated mineral resources, the possibility
that future exploration results will not be consistent with the Company's
expectations, the price of gold and other risks identified in the Company's most
recent annual information form filed with the Canadian securities regulatory
authorities on SEDAR.com. Any forward-looking statement speaks only as of the
date on which it is made and, except as may be required by applicable securities
laws, the Company disclaims any intent or obligation to update any forward-
looking statement.


Qualified Persons Statement

The information contained within this announcement has been reviewed and
verified by Michael Hodgson, CEO of the Company.   Mr Hodgson is an Economic
Geologist by training with over 25 years' experience in the mining industry.  He
holds a BSc (Hons) Geology, University of London, a MSc Mining Geology,
University of Leicester and is a Fellow of the Institute of Materials, Minerals
and Mining and a Chartered Engineer of the Engineering Council of UK,
recognizing him as both a Qualified Person for the purposes of Canadian National
Instrument 43-101 and by the AIM Guidance Note on Mining. Oil and Gas Companies
dated March 2006.


Quality Assurance and Quality Control Procedures Disclosure

The Company has implemented and maintains a Serabi quality assurance/quality
control (QA/QC) protocol at its JDO Project as defined in its "NI 43-101
Technical Report for the Jardim Do Ouro Project, Para State, Brazil" dated 22
December 2010.  This ensures best industry practice in sampling and analysis of
exploration and resource definition samples.  The insertion of field duplicates,
certified standards and blank samples into the sample stream form part of the
Serabi procedure (these act as an independent check on contamination, precision
and accuracy in the analytical laboratory).

Assay results are reported once rigorous QAQC procedures have been approved

Neither the Toronto Stock Exchange, nor any other securities regulatory
authority, has approved or disapproved of the contents of this news release.

ENDS






Fig 1 - Interpreted Structural Corridor: 


http://hugin.info/137617/R/1529703/465195.jpg

Fig 2 - Interpreted Structure showing drill locations: 


http://hugin.info/137617/R/1529703/465200.jpg




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Source: Serabi Mining plc via Thomson Reuters ONE

[HUG#1529703]