PERSEUS MINING LIMITED — Capital/Financing Update 2006

Nov 26, 2006

ASX/MEDIA RELEASE 27 November 2006

Impressive Drilling Results Continue Avanfuri Gold Project - Ghana Including 52m at 6.1g/t Au

Highlights

• The latest assay results from drilling on the Ayanfuri gold project in Ghana have significantly upgraded $\bullet$ the resource potential of the high-grade Dadieso prospect and the large Esuajah deposit.
• Limited drilling at Dadieso produced a best intercept of 52m at 6.1 $g/t$ Au from DKRC011, which $\bullet$ included a sub-intercept of $18m$ at $14.5 g/t$ Au. The same hole intercepted a second zone which returned an open ended intercept of $27m$ at $2.4 g/t$ Au.
• Drilling at Esuajah produced extensive open-ended intercepts including $83m$ at 2.1 g/t, $97m$ at 1.4 g/t, 78m at 1.3 g/t, 68m at 1.2 and 78m at 1.3 g/t Au. Sub-intercepts included 10m at 7.8 g/t, 22m at 2.7 $g/t$ , 14m at 2.8 g/t, 6m at 7.3 g/t and 6m at 3.9 g/t Au.
• Wide mineralised intersections from the Abnabna prospect included 102m at 1.4 g/t and 82m at 1.4g/t Au, with sub-intercepts including 22m at 2.0 g/t, 16m at 2.1 g/t and 50m at 1.9 g/t Au.

Perseus Mining (ASX:PRU) is pleased to announce that the latest assay results from drilling on the Avanfuri gold project, located near Obuasi (Ashanti) in Ghana, have significantly upgraded the resource potential of the project.

A further 4,000m of RC and 1,000m of diamond drilling have been completed on the Esuajah, Dadieso, Esuajah South, Fobinso, Abnabna, Fetish, and Chirawewa deposits, Assay results received to date from Esuaiah, Dadieso and Abnabna confirm the potential to substantially increase resources at Avanfuri by drilling below the existing defined resource areas, drilling other deposits for which resources are yet to be calculated, and testing the numerous exploration targets in this highly prospective Ashanti Belt setting.

These encouraging results follow on from the impressive drill results announced on 27 September and 24 October from the initial 3,500m RC program at the Ayanfuri gold project.

The existing 608,000 oz resource base at Ayanfuri (Indicated 268,000 oz, Inferred 340,000 oz) covers areas surrounding only four of the 23 historically mined pits. No resources have been estimated for the highgrade Dadieso prospect, the Fetish deposit, or the Fobinso deposit.

Further assay results are expected shortly from the continuing drilling program.

Esuaiah

The Esuaiah deposit comprises a granitoid intrusive approximately 400m long by 100m wide and enclosed by sheared metasediments. The deposit has been subject to shallow open cut mining, which has been partially backfilled. Estimated resources remaining after the mining operation comprise Indicated resources of 2.12 Mt at 1.4 g/t Au and Inferred resources of 2.3 Mt at 1.4 g/t Au. This mining and recent drilling has shown the granitoid stock to be pervasively altered and mineralized. RC drilling has intersected extensive widths of highly silica – sericite – pyrite altered and quartz veined granodiorite. Results from the recent RC drilling program are detailed below. The very wide intersections of gold mineralized granodiorite, extending beyond the limit of existing resources, confirm the bulk mining potential of Esuajah. Diamond drilling has commenced to test the depth potential to at least 200m. Perseus is targeting to double existing gold resources at Esuajah to 400,000 ounces.

Hole	North	East	Depth	Incl.	Azm.	From	To	Width	Au
	(m)	(m)	(m)	$^{\circ}$	$\binom{6}{2}$	(m)	(m)	(m)	g/t
AKRC 022	7160	2400	105	$-60$	270	8	$105*$	97	1.4
					incl.	$10,$	16	6	7.3
					and	70	76	6	2.6
					and	90	102	6	2.9
AKRC 023	7200	2380	101	$-60$	270	19#	$101*$	82	$0.7,$
					incl.	26	32	6	2.7
AKRC 024	7200	2420	100	$-60$	270	8 F	$100*$	92	1.0
					incl.	$10,$	16	6	$2.0,$
					and	44	50	6	3.9
					and	70	76	6	$1.7,$
					and	82	$\bf 88$	6	$2.2,$
AKRC 025	7200	2460	101	$-60$	270	20#	98	$78,$	$1.3,$
					incl.	24	38	$\overline{14}$	$2.0,$
					and	62	82	20	2.1
AKRC 026	7160	2480	100	$-60$	270	24#	92	68	1.2
					incl.	$28,$	38	10	$2.2,$
					and	46	58	12	2.3
AKRC 027	7240	2400	100	$-60$	270	15#	$100*$	85	$1.0,$
					incl.	15	$22,$	$\gamma$	2.6
					and	44	60	16	1.6
AKRC 028	7240	2370	100	$-60$	270	14#	56	42	$1.2,$
					incl.	26	36	$10,$	$2.0,$
					and	52	56	$\overline{4}$	$2.0,$
AKRC 029	7320	2360	100	$-60$	270	12#	$100*$	88	0.9
					incl.	12	24	12	2.5
					and	68	76	8	1.6
AKRC 030	7280	2380	100	$-60$	270	13#	96	83	2.1
					incl.	$28,$	30	$\overline{2}$	13.3
					and	54	64	10	$7.8,$
					and	94	96	$\overline{2}$	5.9
AKRC 031	7400	2360	100	$-60$	270	20	$100*$	$80,$	$\mathop{\rm L{1}}$
					incl.	22	36	$\overline{14}$	$2.8,$
					and	56	64	8	2.5
					and	84	86	$\overline{2}$	$2.8,$
AKRC032	7280	2460	89	$-60$	270	50	68	18	0.9
AKRC 033	7320	2430	100	$-60$	270	22	$100*$	78	$0.8,$
					incl.	34	52	18	1.2
					and	96	$100*$	$\overline{4}$	$3.4,$
AKRC 034	7240	2450	100	$-60$	270	22#	$100*$	78	1.3
					incl.	22#	44	22	$2.7,$
					and	72	82	10	$1.8,$
AKRC 035	7440	2430	100	$-60-$	270	16	$20,$	$\overline{4}$	$1.4,$
						30	46	16	0.9

Table 1: Drill Intercepts - Esuajah Deposit - Ayanfuri Gold Project

Hole	North(m)	East(m)	Depth(m)	Incl.	Azm.	From(m)	Tо(m)	Width(m)	Αug/t
AKRC 036	7280	2420	100	-60	270	14	100	86	0.9
					incl.	18	46	18	1.2
					and	62	66	4	1.9
AKRC 037	7400	2400	107	-55	270	11	107	96	0.7
					incl.	18	22	4	2.1
					and	56	60	4	2.3
					and	66	70	4	1.9

Table 1: Drill Intercepts – Esuajah Deposit – Ayanfuri Gold Project (continued)

$#$ Depth in which sampling commenced due to drill holes commencing in back fill.

* denotes ended in mineralisation.

All samples were assayed by 1kg bottle roll cyanide leach (only leach recovered grades reported).

Dadieso

At Dadieso, gold mineralization is hosted by both an intrusive granitoid stock and surrounding phyllitic metasediments. A very shallow open cut was developed at the prospect in the closing stages of the previous mining operation, but exploration of the prospect was very limited. Initial work suggests extensive silicasericite alteration is associated with several generations of abundant quartz veining. Although the geometry of the gold mineralized structures or lodes is not well understood at this stage, most of the lodes appear to be steeply dipping. Assay results for the latest round of RC drilling at the prospect are shown below. Of particular note is drill hole DKRC011, which intersected 52 metres at 6.1 g/t Au from 10m down hole, including a high grade sub-intercept of 18m at 14.5 $g/t$ Au from 22m down hole. Further drilling is planned for this prospect, including the central zone, where access has been delayed due to wet ground conditions. This central zone has been the main focus of small-scale artisanal mining of eluvials and backfill from previous mining operations.

		Table 2: Drill Intercepts – Dadieso Prospect – Ayanfuri Gold Project

Hole	North(m)	East(m)	Depth(m)	Incl.$^{\circ}$	Azm.$^{\circ}$	From(m)	Tо(m)	Width(m)	Aug/t
DKRC009	-9680	$-330$	80	-50	270	$\overline{2}$	14	$12 ,$	1.7
					incl.	10	14	4	3.7
						30	40	10	2.7
DKRC010	-9640	$-413$	96	-50	90	32	34	2	4.2
						82	96*	14	2.5
DKRC011	$-9600$	$-412$	101	$-50$	90	10	62	52	6.1
					incl.	22	40	18	14.5
						68	70	2	1.4
						74	$101*$	27	2.4
DKRC012	$-9500$	$-390$	100	-50	90	26	36	10	1.9
						70	76	6	0.9
DKRC013	$-9500$	$-270$	80	-50	270	6	22	16	0.8
					incl.	8	12	4	1.6

* denotes ended in mineralisation.

All samples were assayed by 1kg bottle roll cyanide leach (only leach recovered grades reported, though based on tail assay results, leach recoveries are very high for all prospects drilled at Ayanfuri to date).

Dadieso Deposit Section 9600S

Abnabna

The Abnabna deposit is a granitoid lode 250m long and on average 70m wide. Limited oxide material totalling 0.3Mt at 1.7g/t Au was mined from a shallow pit. Remaining Indicated sulphide resources are estimated by Perseus as 1.56Mt at 1.7g/t Au and Inferred resources are estimated as 2Mt at 1.6g/t Au. A seven hole RC drilling program to investigate the strike and depth potential at Abnabna was completed as a follow-up to two previously reported holes which ended in mineralisation. The two previous holes intercepted 88m at 2.1g/t Au, including 52m at 3.0g/t Au, and 100m at 1.7g/t Au. Assay results from this recent program are detailed below. Several gold mineralized intersections were obtained, including an openended intersection of 102m at 1.4 $g/t$ Au from 58m with sub-intercepts including 10m at 1.9 $g/t$ and 8m at 3.0 $g/t$ Au, from hole ABRC 006. The Company is targeting to treble existing gold resources in the Abnabna - Fobinso area to at least 500,000 ounces.

Hole	North(m)	East(m)	Depth(m)	Incl.$^{\circ}$	Azm.$^{\circ}$	From(m)	To(m)	Width(m)	Aug/t
ABRC 003	13700	25970	150	$-50$	180	ΑP
ABRC 004	13700	25890	59#	-50	180	56	59*	3	2.4
ABRC 005	13659	25815	160	$-50$	180	42	104	62	0.8
					incl.	62	86	24	1.3
						134	156	22	2.0
					incl.	138	148	10 °	3.3
ABRC 006	13705	25890	160	$-50$	180	58	$160*$	102	1.4
					incl.	58	68	10	1.9
					and	80	88	8	3.0
					and	100	116	16	2.1
ABRC 007	13692	25855	147	$-70$	180	96	118	20	0.7
						136	142	6	0.6
ABRC 008	13701	25930	122	$-70$	180	40	$122*$	82	1.4
					incl.	72	122	50	1.9
ABRC 009	13510	25810	120	$-45$	360	12	$120*$	108	0.8
					incl.	12	20	8	2.3
					and	66	74	8	2.0

Table 2: Drill Intercepts - Abnabna Deposit - Ayanfuri Gold Project

* denotes ended in mineralisation.

denotes hole abandoned

AP denotes assays pending

All samples were assayed by 1kg bottle roll cyanide leach (only leach recovered grades reported).

Assay results for RC drilling at several other prospects at Ayanfuri are expected shortly, as are assays for initial diamond drilling. Drilling is continuing at the Ayanfuri project and is expected to recommence at the nearby Grumesa project.

Detailed soil sampling has commenced on the under-explored 3km long Esuajah trend, which includes the Esuaiah and the Esuaiah South deposits, several historic soil anomalies, and several anomalous drill holes requiring follow up.

Background on Ayanfuri

In May 2006 Perseus acquired an option to purchase a company which had rights to two mining leases, a prospecting licence at Ayanfuri (the "Ayanfuri Mine Licences"), a reconnaissance licence and a reconnaissance licence application covering a project area of 510.6sq km. The project is located 25-65 kms south west of Obuasi on the Ashanti Gold Belt in Ghana. Perseus's Grumesa project adjoins the optioned project area to the east. The Obuasi (Ashanti) gold mine, lying to the north-east, is one of Africa's premier mines, having produced in excess of 60 million ounces of gold, and is still being mined.

The Ayanfuri Mine Licences incorporate the Ayanfuri mine, which produced 306,400 ounces of gold from multiple open pits and an oxide ore heap leaching circuit between 1994 and 2001.

Feasibility studies are being conducted for a 2Mtpa CIL plant operation at Ayanfuri and a heap leach operation at Perseus's nearby Grumesa project.

At Ayanfuri, gold mineralization occurs within a series of granitoid stocks intruded along a major deformation zone, and to a lesser extent within the enclosing sheared metasediments (refer to figure below) Several shallow open cut mines were developed on the outcropping granitoid stocks, but exploration and mining was limited as a consequence of the low gold price prevailing during the 1994-2001 period.

To. discuss any aspect of this announcement, please contact Mark Calderwood af. calderwoodm@perseusmining.com

For media enquiries please contact Tiffany Winch-Buist or John Williams at Professional Public Relations on +61 8 9388 0944

Mark Calderwood Managing Director

Perseus Mining listed on ASX in September 2004 to explore and develop several advanced gold projects located in West Africa and Central Asia.

Perseus has experienced staff working in regions which host numerous "World Class" gold deposits, but which remain amongst the least explored by modern techniques.

Perseus has demonstrated the exploration potential of its key projects in Ghana, Ivory Coast and the Kyrgyz Republic and has reported increases its resource base to over 2 million ounces of gold in September 2006.

Aggressive, ongoing drilling campaigns on projects in Ghana, Ivory Coast and the Kyrgyz Republic should result in further significant resource upgrades by Perseus.

The information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Mark Calderwood, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Calderwood is a Director and full-time employee of the Company. Mr Calderwood 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 Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Calderwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.