SRX.L Regulatory News (SRX)

Sierra Rutile Limited

("the Group" or "Sierra Rutile")

Sierra Rutile Begins Detailed Review of Agricultural Opportunities

London, UK, ● June 2012: Sierra Rutile Limited (AIM:SRX) has taken a significant step in its review of agricultural opportunities on its land with the appointment today of Charles Keiser as Chief Executive Officer of Agricultural Resources Group Limited, Sierra Rutile's wholly-owned subsidiary established for this purpose.

With over 55,000 hectares of land in its mining concessions, and given the region's ample rainfall, fertile soil, and location near the equator, Sierra Rutile believes that there is a compelling business case for an agribusiness that also provides substantial employment opportunities for the surrounding population. Charles will play a central role in identifying potential commercial agriculture opportunities and developing a viable agricultural business on the highly prospective agricultural land managed by Sierra Rutile in Sierra Leone. He will also be responsible for maximizing the effectiveness of the Group's existing land rehabilitation program.

Charles has spent his entire career in agribusiness, with 31 years working at Chiquita Brands International Inc, a global producer and distributor of bananas and other fruit produce. Prior to joining Sierra Rutile, Charles was Vice President Strategic Sourcing at Chiquita and was responsible for setting up and managing the company's sourcing strategy and business plan for new operations around the world. During his time at Chiquita, he has been involved in all aspects of agribusiness including sourcing, production and growing in Central and South America, the USA and the Philippines, and was a key member of Chiquita Brands Corporate Social Responsibility Committee.

Jan Castro, Chairman of Sierra Rutile, said:

"We see the appointment of Charles as CEO of our agriculture subsidiary as a major step in developing this area of the business. He brings with him a wealth of experience from all over the world. While we remain fully committed to delivering on our core objective of significant and consistent expansion in rutile production, a successful venture in agriculture has real potential to generate substantial additional revenues for the Group and maximise the value of our site in Sierra Leone, as well as provide significant employment in the local communities."

For further information please contact:

sierrarutile@kreabgavinanderson.com

Notes to Editors

About Sierra Rutile Limited

Sierra Rutile produces titanium feedstock industrial minerals (primarily rutile, with some associated ilmenite), as well as smaller quantities of zircon. Sierra Rutile's mine, located in the south west of Sierra Leone, is one of the largest natural rutile deposits in the world, with a JORC-Compliant Mineral Resource for measured, indicated and inferred resources for the Sierra Rutile mine of over 600 million tonnes (as at February 2011).

www.sierra-rutile.com