Final Results

Regency Mines PLC
24 December 2007



                               Regency Mines plc

                          ('Regency' or the 'Company')

               Final results announcement year ended 30 June 2007



Dated: 24 December 2007



Chairman's statement

Dear Shareholders,

Summary

The Company reports the following developments during the year to 30 June 2007:

  • Increased emphasis on exploration of the Company's lateritic nickel
    property in Papua New Guinea
  • Share price increase from 1.62p to 6.875p
  • £715,260 before expenses raised from two share placings, in August 2006 at
    1.875p and in April 2007 at 1.75p
  • Exploration early in the year at the Bundarra copper/gold project in
    Queensland

Exploration

The Company continued in the year ending 30 June 2007 to focus on nickel and
copper exploration.

Early in the year a second exploration programme of the Bundarra project in
Queensland was undertaken with Rotary Air Blast (RAB) drilling of 107 holes.
Copper intersections up to 1.37% and gold up to 0.66 g/t were encountered but
the steeper topography in areas close to the granite/hornfels contact and the
limited penetration of the RAB drilling means that the company will have to
follow up with a more extensive programme, entailing track and drillsite
preparation and a deeper RC drill programme, before any significant results are
obtained.

A preliminary exploration programme on the 75% interest in a large lateritic
nickel licence acquired just before the beginning of the year, covering the
Mambare plateau in Papua New Guinea, was undertaken and produced extremely
promising results. These results, together with the rising nickel price, and the
perceived possibility of early cash flows from export of unprocessed limonitic
ore from the upper part of the deposit, meant that we decided to give priority
to further exploration of Mambare, rather than immediate follow-up of the
Bundarra results.

An infrastructure study was carried out on Mambare and on the road and port
facilities in the area. The study gave initial confirmation of the
practicability of a trucking and shipping operation.

Exploration work on site got under way slowly as the Company wanted initially to
carry out ground penetrating radar work on a portion of the licence, which was
delayed by the contractor being held up on a previous job. Eventually, rather
than waiting for the delayed contractor, the Company brought three drills on
site to start the drill programme. Despite some initial issues with maintenance
and supply, which were exacerbated by the  election taking place in the country,
drilling got under way.

Red Rock Resources Plc

The Company maintains its substantial interest in the AIM-quoted Red Rock
Resources Plc ('Red Rock'). By the end of the year its shareholding in Red Rock,
of 103,250,000 shares, had been diluted to below 50%  (45.8%) as a result of
placings of new shares by Red Rock.

Post-balance sheet events

A further issue of stock on 12 September 2007 at 3.5p per share strengthened the
Company's balance sheet by raising £585,000 before expenses.

Exploration at Mambare continued, with over 40 drillholes completed by the
hydraulic auger drill and wacker drill, and with samples being sent weekly/
fortnightly to Jakarta for analysis. Even with a hydraulic unit fitted, the
auger drill proved to have very limited penetration, failing even to penetrate
the limonite layer completely and not reaching the saprolite layer. The wacker
drill has proved to provide better penetration..

In November an unexpected and unprecedented event occurred, which seems certain
to delay any prospect of trucking ore for direct shipment from the project area
to Oro Bay. Tropical cyclone Guba hit Oro Province (where the project is
located) hard and on 20 November the Papua New Guinea Government declared a
state of emergency. Other areas were less severely affected, and the project
area itself was, by comparison with lowland and coastal areas, less damaged,
meaning that work was able to restart on site once the cyclone had passed.
However the roads east, which lead to the provincial capital at Popondetta, and
from there on to Oro Bay, were badly affected with most bridges being washed
away.

Following discussions during the year with a number of Chinese mining groups,
the Company announced on 22 November 2007 that it had entered into a 'Memorandum
of Investment and Co-operation' with an Asia-based investment group which could
lead to a substantial investment in the Company and the Mambare project.

The agreement is subject to contract and receipt of regulatory approvals. The
Company envisages that these will be completed within three months.

The Company also announced in November an investment in 9,375,000 new shares in
AIM-quoted Alba Mineral Resources Plc ('Alba'), amounting to 10.65% of Alba's
issued share capital. One of the Company's shareholders, Starvest Plc, made an
equal sized investment to that of the Company. The issue price was 1.6p,
compared with a price in the market of 2.25p, and at the issue price Alba was
valued at only £1m. Alba holds, among other interests, several sulphide nickel
licences in Scotland and Sweden that are of particular interest. Alba had
recently entered into a JV over the Scottish licences with Inco Europe Limited,
a wholly owned subsidiary of the major nickel producer Inco Limited ('Inco').
However, when Inco was taken over by the Brazilian mining company Companhia Vale
do Rio Doce, the JV arrangement was cancelled.

Future prospects

Metals demand will continue to be strong  as demand from rapidly developing
economies, such as China and India, continues This provides a favourable
backdrop for all our activities, and our perception of the growing future
importance of China as a commodity buyer and investor makes us ever more
determined to create and develop long-term partnerships in China. We will
continue to devote considerable time and effort to accomplishing this goal.

The Company remains excited by the prospects at Mambare, and will continue
exploration. A man-portable diamond rig is expected on site soon. Samples will
be sent for metallurgical testing in China shortly. In January the Company has
contracted for the much-delayed ground penetrating radar programme to begin, on
prepared lines, in the south-west of the license area.

Regency will review and report on progress in and prospects for repairing the
typhoon damage early in the New Year.

We will work towards an early conclusion of the planned investment in the
Mambare project, which would allow an accelerated and intensive exploration
programme to begin.

Exploration is planned on the Company's nickel sulphide licences in Western
Australia.

Options for further work at Bundarra are being reviewed.

Prices of iron ore and manganese have been strengthening and are expected to
remain strong in 2008. Red Rock's prime exploration assets in these commodities
in regions that are now the focus of strong investment interest make this
strategic investment likely to continue to be the core component of Regency's
investment strategy.

Regency will also attempt to crystallise value for its zinc assets held through
Range Mines Limited and will discuss with Alba Mineral Resources Plc, in which
it is now a substantial shareholder, ways in which the groups can co-operate to
maximise the value of Alba's assets and in particular its nickel portfolio.

Andrew Bell

Chairman

21 December 2007





The following are extracts from the financial statements for the year ended 30
June 2007 which were approved by the Board of Directors on 21 December 2007
audited by Chapman Davis LLP.



Consolidated profit and loss account
for the year ended 30 June 2007


                                                                 Year ended           Year ended
                                                               30 June 2007         30 June 2006
                                                                          £                    £


Turnover                                                             57,786              234,384
Cost of sales                                                        29,511               44,200
Gross profit                                                         28,275              190,184
Exploration costs                                                 (289,384)             (89,815)
Administrative expenses                                           (451,864)            (276,506)
Currency (loss)/gain                                                  (204)                   90
Operating (loss)                                                  (713,177)            (176,047)
Interest receivable                                                   2,034                6,625
Interest payable                                                    (3,787)                 (31)
Share of associates' loss for the year                             (27,335)                    -
(Loss) on ordinary activities before taxation                     (742,265)            (169,453)
Taxation                                                                  -              (6,250)
(Loss) on ordinary activities after taxation                      (742,265)            (175,703)
Minority interests                                                   94,301               69,882
Retained (loss) for the period attributable to                    (647,964)            (105,821)
Shareholders of the Company


Loss per share - basic                                         (0.45) pence         (0.08) pence





Statement of recognised gains and losses
For the year ended 30 June 2007


                                                                 Year ended           Year ended
                                                               30 June 2007         30 June 2006
                                                                          £                    £


Deficit on revaluation of current asset                             (5,821)                    -
investments
Unrealised profit on deemed disposal of Red Rock                    252,462                    -
Resources plc and subsidiary
Profit recognised directly to equity                                246,641                    -
Loss for the financial period                                     (647,964)            (105,821)
Total recognised losses for the year                              (401,323)            (105,821)





Consolidated balance sheet
As at 30 June 2007


                                               30 June 2007                30 June 2006
                                                      £                          £


Fixed assets

Tangible assets                                               15,958                          -

Goodwill                                                      45,000                     45,000
                                                              60,958                     45,000
Current assets

Debtors                                      191,421                      105,422

Cash at bank                                 188,771                      230,076

Current asset investments                    420,753                       48,540

Exploration properties                       631,443                    1,657,142
                                           1,432,388                    2,041,180
Creditors - amounts due within              (61,198)                     (80,941)
one year
Net current assets                                         1,371,190                  1,960,239
Total assets less current                                  1,432,148                  2,005,239
liabilities
Share capital and reserves

Called-up share capital                      170,226                      129,897

Share premium account                      1,726,815                    1,079,947

Profit and loss account                    (851,675)                    (203,711)

Share based payment reserve                  112,992                            -

Revaluation reserve                          246,641                            -

Consolidation reserve                            689                      550,156
Equity shareholders' funds                                 1,405,688                  1,556,289


Minority Interests                                            26,460                    448,950
                                                           1,432,148                  2,005,239







Company balance sheet
As at 30 June 2007


                                                    30 June 2007              30 June 2006
                                                           £                         £
Fixed assets

Tangible fixed assets                                14,196                         -
                                                                   14,196                       -
Current assets

Debtors                                             376,443                   189,023

Cash at bank                                        130,225                   100,368

Current asset investments                           545,253                   380,049

Exploration properties                              523,503                   612,843
                                                  1,575,424                 1,282,283
Creditors - amounts due within one                 (36,818)                  (46,958)
year
Net current assets                                              1,538,606               1,235,325
Total assets less current liabilities                           1,552,802               1,235,325

Share capital and reserves

Called-up share capital                             170,226                   129,897

Share premium account                             1,726,815                 1,079,947

Profit and loss account                           (451,410)                    25,481

Share based payment reserve                         112,992                         -

Revaluation reserve                                 (5,821)                         -


Equity shareholders' funds                                      1,552,802               1,235,325







Consolidated cash flow statement
for the year ended 30 June 2007


                                                                 Year ended            Year ended
                                                               30 June 2007          30 June 2006
                                                                          £                     £


Net cash outflow from operating activities                        (498,166)             (333,707)
Returns on investment and servicing of finance                      (1,753)                 6,594
Corporation tax paid                                                (6,029)
Capital expenditure and investment                                (322,929)             (195,012)
Cash outflow before financing                                      (828,877             (522,125)
Financing                                                           787,572               597,867
(Decrease)/increase in cash in the year                            (41,305)                75,742



The financial information set out above does not constitute statutory accounts
as defined in section 240 of the Companies Act 1985.



The balance sheet at 30 June 2007, the profit and loss account, and the cash
flow statement for the year then ended have been extracted from the Company's
statutory financial statements upon which the auditor's opinion is unqualified
and does not include any statement under Section 237 of the Companies Act 1985.

Copies of the report and financial statements will be posted to Shareholders
before 31 December 2007 and will be available for a period of one month
thereafter from the Company Secretary at 115 Eastbourne Mews, Paddington London
W2 6LQ

Alternatively, the report may be downloaded from the Company's website,
www.regency-mines.com

Enquiries:


Andrew Bell                0207 402 4580       Regency Mines Plc              Chairman

John Simpson               020 7512 0191       Blomfield Corporate Finance    Nominated Adviser
                                               Ltd

Ron Marshman / John        020 7628 5518       City of London PR Limited      Public Relations
Greenhalgh




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