PERSEUS MINING LIMITED — Capital/Financing Update 2007

Jun 27, 2007

ASX/Media Release 28 June 2007

Resource Upgrade in Ghana Avanfuri Gold Project

Highlights

• Maiden resource estimate for Ayanfuri project's Dadieso deposit at 153,400oz of gold. $\bullet$
• This resource starts from surface, has a significant oxide section and remains open along strike and at depth.
• Ayanfuri Project total resources increase to 1.83Moz.
• Perseus Mining's Ghana resources now at 2.64Moz.

Perseus Mining Limited (ASX: PRU) is pleased to announce the maiden resource estimate for its Ayanfuri Project's Dadieso deposit at 153,400 ounces of gold.

This increases Perseus's resources for its Ghana gold projects, Ayanfuri and Grumesa, to 2.64 million ounces, with a nine percent increase for Avanfuri reserves to over 1.83 million ounces.

Dadieso is one of eight gold deposits currently the focus of drilling at Ayanfuri. Its Inferred resource is 2.72Mt at $1.8g/t$ containing 153,400 ounces of gold using a $1.2g/t$ cut off.

The gold mineralised zones at Dadieso remain open along strike and at depth. A 100m long by 80m deep by up to 50m wide portion of one of the Dadieso zones contains 55,000 ounces of gold and includes an intercept of $52m$ at $6.1g/t$ Au, highlighting the depth potential at Dadieso.

The resource is currently classified as Inferred but the Company expects to be able to reclassify much of it to Indicated status with limited additional drilling. Planned drilling will also follow up high-grade shoots with the view to extending the resource at depth.

The Dadieso resource estimate is the fifth in the ongoing programme to upgrade resources for individual deposits at Avanfuri and will be followed in July by a new maiden resource estimate for the Fetish deposit and the newly discovered AF-Gap deposit in August 2007.

Dadieso Deposit Section 9600S
Ayanfuri Gold Project, Ghana

Dadieso Deposits Mineral Resource Estimate (Gold)
Inferred	Oxide and Transition			Sulphide			Total *
	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces
		Αū g/t	cont.		Αū g/t	cont.		Аű g/t	cont.
$>1.2g/t$ Au	987,000	1.8	55.800	1,730,000	1.8	97,500	2,720,000	1.8	153,400

* Rounding applied

Notes to the estimate are contained in the attached Appendix 1

Background on Avanfuri 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 25-65 km 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 produced in excess of 60 million ounces.

The Avanfuri Mine Licences incorporate the Avanfuri 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 resources for the Ayanfuri project are 376,100 ounces Indicated and 1,452,800 ounces Inferred from 6 of the 19 deposits previously mined.

		Indicated		Inferred
Deposit	Tonnes	g/t	Ounces	Tonnes	g/t	Ounces
		Au	Au		Аu	Au
Esuajah North $\sqrt{(1, 5)}$	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
Chirawewa (2)				1,200,000	1.6	65,000
Dadieso (3,7)				2,720,000	1.8	153,400
Totals	8,953,000	1.4	376,100	28,210,000	1.6	1,452,800

Mineral Resources (Gold) - Ayanfuri Gold Project

Notes

Resource Evaluations May 2007 Estimate based on Perseus, Cluff and AGC drill data $\mathbf{1}$

Perseus Mining May 2006 Estimate based on Cluff and AGC drill data $\overline{2}$

Perseus Mining June 2007 Estimate based on Perseus and AGC drill data $\overline{3}$

Excludes low grade mineralisation of 4.4Mt at 1.0g/t Au $\mathbf{4}$

Excludes low grade mineralisation of 7.3Mt at $0.6a/t$ Au $\mathsf{S}$

6

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

$\overline{7}$ Excludes low grade mineralisation of 1.1Mt at 0.9g/t Au

$\mathbf{R}$ Rounding applied to totals; Gold mineralisation at Ayanfuri occurs within a series of granitoid stocks intruded along 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 Avanfuri project and expects to release upgrades on a regular basis.

Perseus Mining 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 3.2 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, Investor Relations, at taylorr@perseusmining.com or +61 8 9240 6344.

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

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Mark Calderwood Managing Director

The information in this report that relates to exploration results and resources and the Dadieso estimate 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.

Appendix 1 Notes on the Dadieso resource estimate

• 1) The Mineral Resource estimate for the Dadieso gold Deposit of the Ayanfuri gold project was completed in June 2007 by Perseus Mining Ltd.
• 2) The Dadieso deposit cluster is located within altered Lower Proterozoic Biriman (2.17-2.18 billion years) meta-sediments. At Dadieso a number of sub-parallel "shear zone' style deposits occur over an open strike of 1.1km and width of 300m. Only the 5 better-defined deposits have been included in the Resource estimate.
• 3) The drill database contains 144 Reverse Circulation ("RC") drill holes totaling 8,717m and one diamond hole of 200.25m. 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 and 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 and 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 Dadieso deposits used for resource modelling was generated using lattice gridding of survey data points and is considered to be sufficiently accurate for the generation of Indicated and Inferred Mineral Resource estimates. Bottom-of-hole single shot surveys were generally a systematic part of the process of deeper percussion drilling at the Dadieso deposits. 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 Dadieso deposits is considered adequate to allow for the estimation of Indicated and Inferred Mineral Resources.
• 6) The existing Dadieso pits were defined using a final volume survey plans and recent surveying.
• 7) The Dadieso resource area extends over a strike length of 660m from -9840mN to -9190mN and includes the 100m vertical interval from surface at 160mRL to -60mRL.
• 8) The resource estimate database includes assay and lithological data compiled on drilling, logging and assaying of the samples recovered from the 100 RC drillholes and one diamond hole, within and projected across, the 660m of strike of the Dadieso deposits. Drilling was carried out along east westerly fences, which were nominally spaced at 20 to 60 metre grid north intervals and at 10 to 40 metre centre. All drill-holes were inclined at between 45° and 70° at grid westerly and easterly 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 adopted from the historic Ayanfuri database comprising 115 bulk oxide samples and 61kg of sulphide diamond drill core. Bulk densities used range form 1.6 in oxide to 2.7 in fresh rock.
• 10) Wireframes were constructed using cross sectional interpretations based on a nominal $0.3g/t$ Au cutoff grade or minimum 6m down hole width.
• 11) Samples within the wireframes were composited to even 2.0m intervals. A $30g/t$ high grade cut was applied to gold values, based on statistical analysis.

• 12) A Mine Map block model was used for the estimate with a block size of 20m NS $x$ 5m EW $x$ 10m vertical.

• 13) Inverse distance squared (ID2) grade interpolation using orientated search ellipse was used to estimate block grades. The search limits were 20m (east) 100m (north) and 40m (vertical)

• 14) The Mineral Resource was classified as Inferred as a consequence of current drill density.
• 15) No assumptions have been made about the mining and processing methods in the current resources estimation.