PERSEUS MINING LIMITED — Capital/Financing Update 2007

Jul 24, 2007

ASX/MEDIA RELEASE 24 July 2007

Resource Upgrade in Ghana Ayanfuri Gold Project

Highlights

• Maiden 360,000oz gold resource estimate announced for the Fetish deposit at Ayanfuri.
• There is significant potential to increase the Fetish resource in view of the limited drilling undertaken to date.
• Total resources at the Ayanfuri Project have increased 20 percent to 2.19Moz.
• Perseus's Ghana resources now at 3.00Moz and its global resources move to 3.62Moz.

Perseus Mining Limited (ASX: PRU) is pleased to announce the maiden 360,000 ounce gold resource estimate for the Fetish deposit at its Ayanfuri Project in Ghana, providing a 20 percent increase in resources for that project to 2.19million ounces.

The increase takes Perseus's total gold resources at the Ayanfuri and Grumesa projects in Ghana to 3.00 million ounces.

Fetish is one of eight gold deposits currently the focus of drilling at Ayanfuri. The Inferred resource is 7.59Mt at 1.5g/t Au, containing 360,000 ounces of gold using a 0.8g/t cut-off.

Fetish comprises two pervasively auriferous intrusive granite bodies and associated host sediment gold mineralisation within an area 550m long and 400m wide. The large, low grade eastern granite intrusive is up to 170m wide, while the western granitoid and host sediment mineralisation is about 40m wide and averages 1.6g/t Au. The Bokitsi sediment hosted deposit located at the western extremity was historically a relatively high grade producer, averaging in excess of 3g/t Au. The intrusive and sediment hosted deposits have previously been mined to a depth of 60m.

There is potential for significant additional resources at Fetish given the higher grade zones which remain open at depth and the fact that no drilling has been undertaken between Fetish and the nearby Esuajah South, Esuajah North and Chirawewa deposits.

The Fetish resource estimate is the sixth in the ongoing programme to upgrade resources for individual deposits at Ayanfuri and will be followed in August by a maiden resource estimate for the recently discovered AF-Gap zone.

Perseus Mining is continuing its busy explorations programme and has moved its global resources to 3.6Moz, and is targeting an increase to 5.0Moz by the end of 2007.

The Fetish Group resources have been divided between granite and higher grade meta-sediment hosted gold mineralisation.

Fetish GroupMineral Resource Estimate (Gold)
Granite Hosted
Inferred	Oxide and Transition			Sulphide			Total *
	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces
		Au	cont.		Au	cont.		Au	cont.
		g/t			g/t			g/t
>0.8g/t Au	611,000	1.2	23,500	4,524,000	1.3	193,600	5,135,000	1.3	217,200

* Rounding applied

Notes to the estimate are contained in the attached Appendix 1

Fetish GroupMineral Resource Estimate (Gold)
Meta-Sediment Hosted
Inferred	Oxide and Transition			Sulphide			Total *
	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces
		Au	cont.		Au	cont.		Au	cont.
		g/t			g/t			g/t
>0.8g/t Au	377,000	1.8	21,900	2,083,000	1.8	120,900	2,459,000	1.8	142,800

* Rounding applied

Notes to the estimate are contained in the attached Appendix 1

Background on Ayanfuri Gold Project

In March 2007 Perseus exercised an option to purchase a company which has rights to two mining leases and a prospecting licence at Ayanfuri (the "Ayanfuri Mine Licences"), and two reconnaissance licences covering a project area of 510.6sq km. The project is located 25-65kms south-west of Obuasi on the Ashanti Gold Belt in Ghana.

Perseus's second Ghanaian project, the 800,000oz Grumesa project, adjoins the Ayanfuri project area to the east. The Obuasi (Ashanti) gold mine, situated to the north-east, is one of Africa's premier producing gold mines, having to date produced in excess of 60 million ounces.

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 2-3Mtpa CIL plant operation at Ayanfuri and a heap leach operation at Perseus's nearby Grumesa project. Current gold resources for the Ayanfuri project are 376,000 ounces Indicated and 1,812,800 ounces Inferred from 7 of the 19 deposits previously mined.

Gold mineralisation at Ayanfuri occurs within a series of granitoid stocks which have intruded into a major deformation zone, and to a lesser extent within the enclosing sheared metasediments. Several shallow open cut mines were developed on the outcropping granitoid stocks towards the end of mining operations in 2001, but their depth potential was not tested at the time due to the low prevailing gold price.

Perseus is currently undertaking extensive drilling on the Ayanfuri project and expects to release resource upgrades on a regular basis.

The updated gold resources for Ayanfuri are set out in the table below.

		Indicated		Inferred
Deposit	Tonnes	g/t	Ounces		g/t	Ounces
		Au	Au	Tonnes	Au	Au
Esuajah North(1, 5)	5,381,000	1.2	205,900	8,160,000	1.3	327,800
Esuajah South(1, 4)	2,932,000	1.5	141,700	4,990,000	2.4	385,800
Abnabna-Fobinso(1,6)				10,940,000	1.4	502,800
Ataasi(2)	340,000	2.6	28,500	200,000	2.8	18,000
(2)Chirawewa				1,200,000	1.6	65,000
Dadieso(3,7)				2,720,000	1.8	153,400
Fetish(1,8)				7,594,000	1.5	360,000
Totals	8,953,000	1.4	376,100	35,804,000	1.6	1,812,800

Mineral Resources (Gold) - Ayanfuri Gold Project

Notes

1 Resource Evaluations May 2007 Estimate based on Perseus, Cluff and AGC drill data

2 Perseus Mining May 2006 Estimate based on Cluff and AGC drill data

3 Perseus Mining June 2007 Estimate based on Perseus and AGC drill data

4 Excludes low grade mineralisation of 4.4Mt at 1.0g/t Au

5 Excludes low grade mineralisation of 7.3Mt at 0.6g/t Au

6 Excludes low grade mineralisation of 1.3Mt at 0.7g/t Au

7 Excludes low grade mineralisation of 1.1Mt at 0.9g/t Au

8 Excludes low grade mineralisation of 4.1Mt at 0.7g/t Au

9 Rounding applied to totals;

Perseus Mining Limited was listed on the 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 is demonstrating the potential of its key projects in Ghana, Ivory Coast and the Kyrgyz Republic and now has a resource base of over 3.6 million ounces of gold. Results from ongoing drilling campaigns on these projects should result in further significant resource upgrades during the remainder of 2007.

To discuss any aspect of this announcement, please contact Richard Taylor at telephone +61 8 9240 6344 or mobile 0422 811 350 or email taylorr@perseusmining.com

For media enquiries please contact Jill Thomas or John Williams at Professional Public Relations on +61 8 9388 0944

Mark Calderwood Managing Director

The information in this report that relates to exploration results 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.

The information in this report that relates to mineral resources at the Fetish, Abnabna, Fobinso, Esuajah North and Esujah South deposits is based on resource estimates that have been compiled by Mr Paul Payne, who is a Principal of and a full time employee of Resource Evaluations Pty Ltd. Mr Payne is a Member of The Australasian Institute of Mining and Metallurgy and 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 Payne and Resource Evaluations Pty Ltd consent to the inclusion in this report of the matters based on their information in the form and context in which it appears. Mr Payne and Resource Evaluations Pty Ltd have not been involved in the preparation of any other part of this report.

Appendix 1 Notes on the Fetish resource estimate

• 1) The Mineral Resource estimate for the Fetish Gold Deposit of the Ayanfuri Gold Project was completed in July 2007 by Resource Evaluations Pty Ltd for Perseus Mining Ltd.

• 2) The Fetish deposit is located within altered Lower Proterozoic Biriman (2.17-2.18 billion years) granitoid and immediately adjacent sediments. The Fetish granitoid is continuous over 800m along strike and is up to 50m in width. It appears to be pervasively mineralised (0.1g/t to 2g/t) with higher grades associated with sheeted quartz veining.

• 3) The drill database contains 128 Reverse Circulation ("RC") drill holes totaling 7,962m and 10 diamond holes totaling 1,602m. Sample recovery is considered to have been to industry standard for both RC and diamond cored drilling.

• 4) Pre 2006 RC drilling was routinely analysed for gold using a 0.5 kg 24hr bulk cyanide leach method. 2006 to 2007 RC drill samples were analysed by 1kg 24hr bulk cyanide leach method with the tails of all samples with assays over 0.5g/t being assayed by fire assay. Only the recovered grades of the bulk cyanide leach method were used in the resource calculation. 2006 to 2007 diamond drill samples were analysed by 50g fire assay method. Standards, spikes, blanks and repeat samples have been randomly submitted during all drilling programs.

• 5) The relative position of all drill-hole collars is survey controlled with each hole being surveyed or related back to the original mine grid using a total station theodolite. Holes are considered to be accurate to within 1m horizontally and 0.5m vertically. The surface topography of the Fetish deposit used for resource modelling was generated using lattice gridding of survey data points and is considered to be sufficiently accurate for the generation of an Inferred Mineral Resource estimate. Bottom-of-hole single shot surveys were generally a systematic part of the process of deeper percussion drilling at the Fetish deposit. However, the surveys were limited to dip measurements only. Acid etch methodology was used to survey 2006 and 2007 diamond core holes. The down-hole sample location data for the Fetish prospect is considered adequate to allow for the estimation of an Inferred Mineral Resource.

• 6) The existing Fetish pits were defined using a final volume survey.

• 7) The Fetish resource area extends over a strike length of 800m from 4800mN to 5600mN and includes the 240m vertical interval from surface at 180mRL to -60mRL.

• 8) The resource estimate database includes assay and lithological data compiled on drilling, logging and assaying of the samples recovered from the 97 RC and 10 diamond holes within and projected across, the 800m of strike of the Fetish deposit*.* Drilling was carried out along north-south fences which were nominally spaced at 30-40 metre grid north intervals and at 10 to 30 metre centres. All drill-holes were inclined at between 25° and 60° at grid east and west azimuths. The gold values used for plotting and grade estimation was the first bulk cyanide leach determination or, in its absence, the first fire assay determination presented by the laboratory.

• 9) Bulk densities have been taken from 65 recently made determinations by PRU within the Fetish deposit and are supported by historical determination made during mining.

• 10) Wireframes were constructed using cross sectional interpretations based on geology or a 0.2g/t Au cut-off grade.

• 11) Samples within the wireframes were composited to even 2.0m intervals. A 15g/t high grade cut for gold values within the sediment hosted lodes was used while a 20g/t high grade cut was applied to gold values within the granite hosted lodes, based on statistical analysis.

• 12) A Surpac block model was used for the estimate with a block size of 20m NS x 20m EW x 10m vertical with sub-cells of 5m x 5m x 2.5m.

• 13) The main mineralised sediment lodes were interpolated using Ordinary Kriging (OK) grade with kriging parameters defined from directional variography. The estimate was run in 3 passes using an orientated search ellipse with a first pass radius of 65m, a second pass radius of 120m and a third and final pass of 200m. The majority of blocks were estimated in the first two passes.

• 14) The remainder of the resource was interpolated using Inverse Distance squared. Search ellipse parameters were based on individual lode geometry and were estimated using three passes. A first pass radius of 60 was with a second pass radius of 100m, a third and final pass radius of 200m filled the remainder of the blocks. The majority of the resource was filled in the first two passes.

• 15) The Mineral Resource was classified as Inferred as a consequence of drill density and the requirement for additional geological information.

• 16) No assumptions have been made about the mining and processing methods in the current resources estimation.