Sable Mining Africa Regulatory News (SBLM)

Sable Mining Africa Ltd / Index: AIM / Epic: SBLM / Sector: Natural Resources

11 November 2013

Sable Mining Africa Limited ('Sable Mining' or 'the Company')

JORC Code compliant Resource Increase at Nimba Iron Ore Project

Sable Mining Africa Limited, the AIM listed exploration company, is pleased to announce a 32% increase in its JORC Code compliant resource at the Nimba Iron Ore Project in south-east Guinea ('Nimba' or 'the Project') following expansion exploration drilling. This further underpins Nimba's potential as one of the most commercially attractive iron ore development assets globally.

Overview

· 32% tonnage increase in JORC Code compliant Mineral Resource at Nimba to 178.4Mt, up from 135.5Mt announced in September 2013

· Revised resource at an in-situ grade of 59% iron ('Fe') estimated at a Fe cut-off of 40% from two additional lines of drilling on prospects Plateau 2 and Plateau 3

· Significant step towards proving up total exploration target of 200Mt

· Drilling programme underway on an area previously inaccessible on Plateau 3 due to rainy season

· Pre-Feasibility Study close to completion

· £17 million fundraising provides sufficient funds to complete Bankable Feasibility Study in 2014

· 160 hole infill drilling programme underway with objective of converting a portion of the Resource into the Measured category - underpinning a maiden Reserve targeting an initial production phase of 7 to 10 years

· New programme of metallurgical test holes being implemented with the objective of securing enough sample to do sinter testwork and progress the marketing study

Sable Mining CEO Andrew Groves said, "This updated Resource statement represents an important step towards the ongoing delineation of our 200Mt exploration target, and once again highlights the quality and tonnage at Nimba, underpinning its position as one of West Africa's premier iron ore projects. We have now commenced a further drilling campaign focussed on upgrading the resource confidence to Measured ahead of the publication of a maiden Reserve for the Project.

"With a Pre-Feasibility Study anticipated to be complete by the end of Q4 2013, we are focussed on fast-tracking Nimba into a high tonnage, high grade and low capital cost iron ore project in the near term."

Table 1: Updated Resource Estimate at 40% Fe Cut-off

The technical team is also looking at multiple %Fe cut-off scenarios to determine which one will produce the optimal combination of tonnes and grade for a premium DSO ore.

Further Information

Xstract Mining Consultants, an Australia-based consultancy group and wholly-owned subsidiary of engineering services company Calibre Group, which has significant expertise in iron ore, conducted the Updated Resource Estimate for Nimba.

The updated JORC code compliant resource estimate was conducted including Plateau 2 north (P2N), Plateau 2 south (P2S) and Plateau 3 (P3) of Nimba. The deposit consists of detrital iron mineralisation known as 'canga' that has been deposited in palaeochannels adjacent to the Mount Nimba mountain range.

Sable Mining has drilled 276 diamond drillholes in and around the current P2N, P2S and P3 areas. The majority of the drillholes are orientated vertically (202) while the remaining are inclined (74). The average depth drilled is 20.9 metres. The total length currently drilled is 5,775.2 metres. The drillholes are located along drill lines orientated north-easterly. The spacing of the drill lines and drillholes along the lines results in drilling grids of 400 metres by 400 metres, 200 metres by 200 metres and 100 metres by 100 metres.

Prior to November 2012, drillhole samples were prepared by ALS Bamako and analysed at ALS Ireland by XRF methods. After this date samples were prepared by ALS Bamako but analysed using XRF methods by Ultra Trace in Perth. The pre-November 2012 LOI results displayed a bias due to handling procedures at ALS Ireland and the pulps of these samples were re-assayed by Ultra Trace in Perth. The QAQC analyses show a marked improvement in accuracy and precision since the changeover.

The mineral resource estimate was completed in Datamine software using a three dimensional block model (parent block size of 100 metres by 100 metres by 6 metres in the X, Y and Z directions respectively). A full suite of Fe elements were estimated into the blocks using ordinary kriging from 1 metre composited drillhole samples. The estimation was restricted by project and domain code, while the search was restricted to the search ellipse and a maximum of five samples per drillhole. The search distance was based on the general semi-variogram range and the direction was dictated by the anisotropy evident in the semi-variogram fan. Statistical and spatial comparison of the block model grades to the drillhole samples shows strong similarities but a slight smoothing of the model has occurred due to drillhole spacing. The tonnage of each block has been adjusted by a factor that reflects the estimated proportion of cavities for each parent block, based on areas where such cavities have been recorded.

The Mineral Resource Statement has been compiled in the accordance with the guidelines defined in the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (The JORC Code, 2004 Edition).

The information in this announcement that relates to Mineral Exploration results and Mineral Resources, together with any related assessments and interpretations have been reviewed by a qualified geologist. Kevin Lowe, Principal Consultant Geologist at Xstract Mining Consultants Pty Ltd 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 qualified person as defined by the AIM Note for Mining and Oil & Gas Companies.

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For further information please visit www.sablemining.com or contact: