Results of Scoping Study

Embargoed: 0700hrs 16 May 2011

Pathfinder Minerals Plc

("Pathfinder Minerals" or the "Company")

Results of Scoping Study

Pathfinder Minerals (AIM: PFP), the natural resources company with licences over areas containing heavy minerals sands in Mozambique, is pleased to announce the results of a Scoping Study to develop the Company's Moebase and Naburi Mineral Sands deposits (the "Project") on the Indian Ocean coast of Mozambique.

Summary

·; Historic mineral resource estimate of 2.02 billion tonnes with 3.55% heavy mineral content

- areas within Moebase deposit showing average heavy mineral content of 4.7%

- some areas with deposit showing heavy mineral content as high as 9.1%

·; Estimated mineral content split: ilmenite - 93.4%; rutile - 1.74%; zircon - 4.78%

·; Estimated Annual production:

- ilmenite: 1,245,000 tonnes per annum (tpa)

- rutile: 24,000 tpa

- zircon: 65,000 tpa

·; Estimated gross revenues from production: $246,493,000 per annum based on commodity pricing of:

- ilmenite: $125 per tonne

- rutile: $677 per tonne

- zircon: $1,148 per tonne

The Company notes that commodity prices used in the Scoping Study are considerably below market forecasts for each product which, if realised at the date of production, would result in a significant enhancement in the project economics

·; Estimated Run of Mine Production: 47 million tpa

·; Estimated mine life: 30 years

·; Estimated direct capital cost: $533 million

·; Estimated Internal Rate of Return (IRR): 18.8%

·; Estimated Net Present Value (at 10% discount rate): $529 million

The Scoping Study, which has been carried out by engineering consultants URS/Scott Wilson, was based on historic BHP Billiton geological and engineering information. The capital and operating costs of the Project are based on a run of mine production rate of 47 million tonnes per annum and a final product stream of 1,245,000 tpa of ilmenite, 24,000 tpa of rutile and 65,000 tpa of zircon employing a conservative pricing model of $125 per tonne of ilmenite, $677 per tonne of rutile and $1,148 per tonne of zircon.

Pathfinder Minerals intends to undertake a confirmatory drilling and metallurgical test work programme to allow conversion of the historic mineral resource into a current estimate. This will enhance the Company's understanding of the mineral resource potential, the process flowsheet, final product qualities and confirm the prospect of economically producing saleable product streams.

Nick Trew, Chief Executive, commented:

"We are highly encouraged by the report which further underpins our belief in the significant potential of our heavy minerals sands deposits in Mozambique. The Scoping Study illustrates an attractive opportunity, even when employing a highly conservative commodity pricing model which does not reflect present day realised prices. Management further believes that the ilmenite, rutile and zircon products will be realising significantly higher prices in the coming years as a result of supply deficit, year on year demand increases and limited known new sources of supply.

We look forward to progressing a drilling and metallurgical test work programme in the near future, thereby moving us closer towards the construction phase of a highly efficient mining operation."

Enquiries:

Pathfinder Minerals Plc

Nick Trew, Chief Executive

Tel. +44 (0)20 7399 4371

Daniel Stewart & Company Plc

Oliver Rigby or James Thomas

Tel: +44 (0)20 7776 6550

M: Communications

Ben Simons or Maria Souvorov

Tel: +44 (0)20 7920 2340 /2327

David JF Smith, C.Eng, Director of Operations, Mining for URS/Scott Wilson, as the competent person under the JORC 2004 Code, has reviewed this statement.

Notes to Editors

About Pathfinder Minerals

Pathfinder Minerals, through a wholly owned subsidiary, has a 100% interest in licences covering approximately 32,000 hectares of land on the Indian Ocean coast of the Zambezia province of Mozambique, known to contain the heavy minerals, ilmenite, rutile and zircon.

The licences, formerly held by BHP Billiton, are over land located on and near the Indian Ocean coast of Mozambique. Historical reported mineral resources on the property are estimated at 2.02 billion tonnes with a 3.55% total heavy mineral content, which is equivalent to approximately 71.7 million tonnes of contained heavy minerals. Confirmatory drilling and metallurgical test work will be required to upgrade the classification of the mineral resources.

Exploration work conducted on the licences from the mid-1980s through to 2002 has identified significant mineralisation. Bulk sampling and metallurgical test work conducted in support of prefeasibility and feasibility studies in the mid-1990s indicates that valuable heavy minerals can be recovered using conventional dredge mining, wet concentration and dry mineral separation processes.

The Company is undertaking a detailed feasibility study with a view to developing a mine for commercial extraction.

Heavy Minerals Sands

The more valuable components of a heavy mineral sands deposit include the titanium oxide minerals ilmenite and rutile, and in addition, zircon. Ilmenite and rutile are used to produce titanium dioxide pigment used in the production of paint, paper, plastic, textiles, rubber and pharmaceutical products. Zircons are commercially mined for the metal zirconium and are used for abrasive and insulating purposes.

About URS/Scott Wilson

Scott Wilson is part of URS Corporation. With its headquarters in San Francisco, URS is a leading provider of engineering, construction and technical services for public agencies and private sector companies around the world. Scott Wilson is a global integrated design and engineering consultancy for the built and natural environments. With a worldwide network of offices, Scott Wilson offers Strategic Consultancy and multi-disciplinary professional services in the Railways, Buildings & Infrastructure, Environment & Natural Resources and Roads Sectors.