3rd Quarter Results

Serabi Mining plc ("Serabi" or "the Company")
                      Quarterly Investor Update

Serabi advises that it has today issued its investor newsletter for
the third quarter of 2007 ending 30 September 2007.

The full version of the quarterly update is attached to this release
and is also available from Serabi's offices: Cleary Court, 21-23 St
Swithins Lane, London EC4N 8AD or from the Company's website:
www.serabimining.com

The company has highlighted in its newsletter the following matters:


  * Continuing exploration success at Jardim do Ouro projects points
    to near-term production potential
  * Significant expansion of exploration programme underway following
    discovery of new mineralisation and breakthrough identification
    of key exploration tool
  * Quarterly production was 8,176 ounces gold equivalent with mine
    output and plant processing levels maintained at prior quarter
    rates
  * Introduction of new mining equipment set to lift development gold
    grades by up to 50%
  * Upgrade of CIP recovery circuit will improve overall gold
    recoveries by 2%
  * Appointment of new CEO at Serabi plc and Managing Director in
    Brazil strengthens management team ahead of growth plans



+-------------------------------------------------------------------+
|                  Palito - Operating Results (1)                   |
|-------------------------------------------------------------------|
|              |     |                2007                |  2006   |
|--------------+-----+------------------------------------+---------|
|              |     |   Q1   |   Q2   |   Q3   |   YTD   |   YTD   |
|--------------+-----+--------+--------+--------+---------+---------|
| Total Mined  |  t  | 55,251 | 61,567 | 56,903 | 173,721 | 109,232 |
| (per day)    |     | (614)  | (677)  | (619)  |  (506)  |  (400)  |
|--------------+-----+--------+--------+--------+---------+---------|
| Mined Ore    |  t  | 42,217 | 50,058 | 45,754 | 138,029 | 98,017  |
| (per day)    |     | (469)  | (550)  | (497)  |  (506)  |  (359)  |
|--------------+-----+--------+--------+--------+---------+---------|
| Milled       |  t  | 42,705 | 45,245 | 45,054 | 133,004 | 84,859  |
| (per day)    |     | (475)  | (497)  | (490)  |  (487)  |  (311)  |
|--------------+-----+--------+--------+--------+---------+---------|
| Head Grade   | g/t |  6.5   |  6.0   |  5.4   |   5.9   |   9.4   |
|--------------+-----+--------+--------+--------+---------+---------|
| Recovery     |  %  |  89.6  |  91.1  |  90.0  |  90.2   |  91.5   |
|--------------+-----+--------+--------+--------+---------+---------|
| Gold         | oz  | 8,044  | 7,888  | 7,021  | 22,953  | 23,518  |
|--------------+-----+--------+--------+--------+---------+---------|
| Copper       |  t  | 125.6  | 127.0  |  96.2  |  348.8  |  344.4  |
|--------------+-----+--------+--------+--------+---------+---------|
| Gold         |     |        |        |        |         |         |
| Equivalent   | oz  | 9,301  | 9,417  | 8,176  | 26,894  | 27,510  |
| (2)          |     |        |        |        |         |         |
+-------------------------------------------------------------------+



Much of the effort over the last quarter has been focused on the
completion of planning and implementation of exploration and
development programmes, which formed the basis for a share placement
completed in July that raised £12.5 million.

Evaluations of Ruari's Ridge, Palito West and Chico da Santa have
continued to produce good results. The development of an exploration
adit at Ruari's Ridge is underway with good mineralisation 200 metres
north west of the airstrip and Palito West is emerging as a more
significant feature than previously thought. The more recent
interpretations at the Chico da Santa prospect has confirmed the
presence of widespread, high-grade mineralisation within sufficient
proximity to enable access from the existing Palito Main Zone
operation. Further evaluation of these prospects will be undertaken
during the fourth quarter.

The highlight of exploration activity has been the successful use of
ground electromagnetic (EM) surveys undertaken at the Jardim do Ouro.
The technique has successfully delineated sulphide mineralisation
which at Palito is required for the occurrence of the copper-gold
deposits.

Confidence in this technique as an exploration tool is such that the
Company has contracted a helicopter-borne EM survey to be flown over
6,000 hectares of the Jardim do Ouro district. It is expected that
the survey will improve delineation of known deposits and identify a
number of other targets, which will then be followed up as part of a
25,000 metre drill programme.

Within the mining operations, grade dilution associated with the high
level of development activity has continued and is likely to impact
production until the end of the year. However, the introduction of
mini scoop-trams scheduled to be delivered at the end of the year is
expected to alleviate this issue.  An improvement in the grade of
development ore of some 2g/t is expected, which at current production
levels could add some 10,000 ounces to annual production.

The process plant continued to perform well and an upgrade to the CIP
gold recovery circuit is planned, which is expected to improve gold
recoveries by some 2% equivalent to 1,000 ounces per year at current
production levels.

Enquiries:

Serabi Mining plc

Graham Roberts          Tel: [phone]
Chairman                      Mobile: [phone]

Clive Line                    Tel: [phone]
Finance Director            Mobile: [phone]

Email: [e-mail]
Website: www.serabimining.com

Numis Securities Limited
John Harrison              Tel: [phone]
James Black                Tel: [phone]

Parkgreen Communications
Simon Robinson          Tel: [phone]

---END OF MESSAGE---




http://hugin.info/137617/R/1162608/226157.pdf