TREK METALS LIMITED — Capital/Financing Update 2007

Aug 28, 2007

ASX Announcement 29 August 2007

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Three New Discoveries Highlight Zambian Prospectivity

• Rock chip sampling returns excellent results from three new prospects, including

• 31.50% lead, 11.93% copper and 212.4 g/t silver at Mwapula;

• 1.58% copper and 12.0 g/t silver at Iron Cap South; and

• 1.02% copper, 3.86 g/t gold and 21.4 g/t silver at Kamona.

• Seven drilling rigs continuing on priority projects

Zambezi Resources Limited (“Zambezi” or “the Company”) (AIM: ZRL, ASX: ZRL) today announces the discovery of three new mineralised prospects from its exploration pipeline (see Figure 1, Table 1).

At the Mwapula prospect from the polymetallic Mulofwe Dome project area, rock chip sampling and mapping has outlined an area of highly anomalous copper-lead mineralisation, including 11.93% copper, 31.50% lead and 212.4 g/t silver, and 1.55% copper, 8.33% lead and 115.8 g/t silver. The mineralisation occurs in quartz veins up to 1.5m in width, associated with malachite, galena, chalcocite and pyrite. The mineralised zone occurs within a 600m wide quartz-veined sheared corridor comprising predominantly quartzo-feldspathic schists and gneisses. The corridor trends north-west, and has been has been defined by mapping over a strike length of 2.4km to date. 97 rock chip samples have been collected from the area, with results received for 28 samples only to date.

At the Iron Cap South prospect from the Mulungushi project area, rock chip sampling and mapping has outlined an area of anomalous coppersilver mineralisation including 1.58% copper and 12.0 g/t silver, and 0.95% copper and 6.6 g/t silver. The mineralisation is associated with a malachite-rich outcrop occurring within chlorite sericite schist, amongst a sequence of quartzites, schists and gneisses. Further assay results are awaited.

At the Kamona prospect , also from the Mulungushi project area, rock chip sampling, soil sampling and mapping has outlined an area of anomalous copper-gold mineralisation, including 1.02% copper, 3.86 g/t gold and 21.4 g/t silver, and 3.26 g/t gold. At Kamona, a number of old prospecting pits, shafts and trenches are developed along two sub parallel quartz veins that occur about 50m apart and contain malachite, pyrite and subordinate amounts of chalcopyrite and bornite. The workings are confined to an 800m wide corridor of sericite-chlorite schists trending northwest over a strike length of 2.3km, and occur in a zone separating a granite mass to the north from metasediments to the south. Gold in soil geochemical anomalies have further extended this zone for another 2.7km to the southeast. Further rock chip and soil assay results are awaited.

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ARBN 124 462 826

Bermuda: Canon’s Court 22 Victoria Street Hamilton HM12

Australia: 17 Ord Street West Perth PO Box 1796 WA 6872 Tel: (+61-8) 9216 9000 Fax: (+61-8) 9216 9090

Zambia: Mwembeshi Resources Limited Plot 5777N Great East Road Kalundu Lusaka

Tel: (+26) (021) 1291 645 Fax: (+26) (021) 1292 411

Stock Exchange Listings: ASX: ZRL AIM: ZRL

Issued Capital: 187,985,279 ordinary shares 8,420,000 options

Directors: Non-Executive Chairman: Brian Rear Managing Director: Julian Ford Exploration Director: Geoff Johnson Non-Executive Director: Jeremy Wrathall Chief Financial Officer: Lloyd Flint

The results at these new discoveries demonstrate the prospectivity of Zambezi’s tenement package. The priority in these areas is to define future drill targets by carrying out geochemical sampling and geological prospecting this field season.

Elsewhere, Zambezi is continuing to focus on its priority copper-gold projects at Cheowa and Kangaluwi. Four rigs are currently drilling at Cheowa (Glencore earning 51%) and two rigs are drilling at Kangaluwi (100% owned). The bulk of Zambezi’s 100,000 metre drilling program for the 2007 field season will be conducted on these advanced copper-gold projects. Further results are expected from Cheowa in midSeptember, and first results are expected from Kangaluwi in early October.

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Figure 1: Rock Chip Assay Results from Newly Discovered Prospects

Table 1: Regional Exploration Projects – Selected Rock Chip Sample Assays

Coordinates N E	Coordinates N E	Au g/t	Cu %	Pb %	Ag g/t	As ppm	Bi ppm
Mwapula Prospect
8321628	710145	0.28	11.93	31.50	212.4	34	595
8321630	710123	0.05	1.55	8.33	115.8	65	789
8321628	710145	0.04	0.15	0.72	0.8	1559	1004
8321345	709741	1.40	<0.01	0.01	0.05	1063	0.5
Iron Cap South Prospect
8376360	702727	0.08	1.58	<0.01	12.0	10	6
8376360	702727	0.02	0.95	<0.01	6.6	3	2
8376349	702731	<0.01	0.69	<0.01	2.8	3	0.5
8376349	702731	0.07	0.65	<0.01	1.5	8	0.5
8376349	702731	<0.01	0.20	<0.01	0.2	7	0.5
Kamona	Prospect
8354066	660566	3.86	1.02	<0.01	21.4	80	11
8353439	662174	3.26	0.06	<0.01	0.6	32	206
8353458	662104	0.61	0.04	<0.01	0.2	99	6
8350022	661708	<0.01	0.16	0.02	1.1	4851	18
8350021	661713	<0.01	0.22	0.01	0.3	6435	12
8350019	661718	0.09	0.15	0.01	6.0	4483	15
8350012	661721	0.03	0.11	<0.01	7.2	2693	12

Coordinate system Arc50 UTM Zone 35S . For Mwapula and Kamona, results reported for samples returning >0.1% copper or >0.5 g/t gold. For Iron Cap South, results reported for samples returning >0.1% copper.

Downloads available from the Zambezi website at: www.zambeziresources.com

For more information contact:

Julian Ford, Managing Director Jeremy Wrathall, Non-Executive Director Zambezi Resources (Australia) Zambezi Resources (London) +61 (08) 9216 9000, +61 (0) 418 949 580 Mob: +44 7712 776 100

Fiona Owen Jane Stacey / Ed Portman Grant Thornton Corporate Finance Conduit PR +44 20 7383 5100 +44 20 7429 6666 / +44 7922 923306

Nicholas Read / Kate Bell Read Corporate +61 (08) 9388 1474, +61 (0) 419 929 046

The information in this release that relates to Exploration Results is based on information compiled by Exploration Director Geoffrey Johnson BSc (Hons), PhD, Grad Dip Env Sc. Dr Johnson is a full-time employee of Zambezi Resources, and a Fellow of the Australian Institute of Geoscientists. Dr Johnson is a Competent Person as defined in the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, and consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.