Amara Mining Regulatory News (AMA)

18 July 2013 AIM:AMA / TSX:AMZ

Amara Mining plc

("Amara" or "the Company")

GRANTING OF MINING LICENCE FOR SEGA GOLD PROJECT

Amara Mining plc, the dual AIM and TSX-listed West African focused gold mining company, is pleased to announce that it has been granted the Mining Licence for its Sega Gold Project ("Sega" or "the Project") in Burkina Faso, 20km to the north of its Kalsaka Gold Mine ("Kalsaka").

The Project is now fully permitted, significantly de-risking the integration of Kalsaka and Sega. Bringing Sega into production is expected to ensure that Amara continues to generate cash flow until at least 2015 based on Sega's current Mineral Resources, as demonstrated in the Preliminary Economic Assessment.

As announced on 21 May 2013, Amara was granted the Environmental Permit for Sega following the acceptance of Amara's Resettlement Action Plan by the Burkina Faso Government. Prior to this on 30 April 2013, the Company received the Environmental and Construction permits for the haul road to connect Kalsaka and Sega and work on the haul road is progressing on track.

Mining is expected to commence at Sega during Q3 2013 as planned, with the installation of the crushing circuit at Sega due to begin shortly. This is anticipated to strengthen Amara's production profile due to the higher head grade of the Sega resources (2.5Mt at 2.0g/t for 163,000 ounces) compared to the remaining Kalsaka reserves (0.9Mt at 1.4g/t for 38,000 ounces). Amara maintains its production guidance of 50,000-60,000 ounces in 2013.

Peter Spivey, Chief Executive Officer of Amara, commented:

"I am delighted that Sega is now fully permitted, just 14 months after we completed its acquisition. The receipt of the Mining Licence de-risks the project significantly and we are on track to begin production at Sega in Q3 2013. While market conditions remain challenging, Amara continues to deliver on its promises, with our cash flow from Burkina Faso underpinning our growth strategy."

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About Amara Mining plc

Amara (formerly Cluff Gold) is a gold developer-producer with assets in West Africa. The Company generates significant cash flow through its Kalsaka gold mine in Burkina Faso, where the production profile has been enhanced by the recent acquisition of the neighbouring Sega project. Amara remains focused on its objective of becoming a mid-tier producer through the development of its Baomahun project in Sierra Leone and its Yaoure project in Côte d'Ivoire. With its experience of bringing new mines into production and a project pipeline spanning three countries, Amara aims to further increase its production profile with its highly prospective exploration work across all assets.

This report includes certain "forward-looking information" within the meaning of applicable Canadian securities legislation.

All statements other than statements of historical fact included in this report, including, without limitation, the positioning of the Company for future success, statements regarding exploration, production estimates and future objectives of Amara, are forward-looking information that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Amara's expectations include, among others, risks related to international operations, expected time for the construction of the road , the, expected time for the commencement of mining at Sega, changes in project parameters as plans continue to be refined as well as the future price of gold. Although Amara has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Amara does not undertake to update any forward-looking statements that are included herein, except in accordance with applicable securities laws.

Peter Brown is a "Qualified Person" within the definition of National Instrument 43-101 and has verified the data disclosed in this release and reviewed and approved the information contained within this announcement. Dr Brown (MIMMM) is the Group Exploration Manager.