Sirius Exploration

October 30, 2009 03:00 ET


For immediate release: 30 October 2009, 7AM
                                          SIRIUS EXPLORATION PLC
                             ("Sirius Exploration", "Sirius" or the "Company")
                                             CORPORATE UPDATE

The  Directors  of  Sirius Exploration Plc (AIM: SXX, OTC: SRUXY), the diversified mining  and  exploration
holding  company  focused  on  North America and Australia, are pleased to provide  Shareholders  with  the
following Corporate Update.

The  Directors  confirm that on 22 October 2009 an agreement was reached with CIC Mining Resources  Limited
(CNSX:RRR) ("CIC"), a leading China based royalty company listed on the Canadian Stock Exchange, to acquire
Sirius's 3% Net Working Interest (NWI) in the Bobai Bishop Tungsten Mine (the "Tungsten Interest") in China
(as previously announced on 11 November 2008).

The  Tungsten Interest is a relatively illiquid asset of the Company which is non-core. Under the terms  of
the  Agreement,  CIC  will  acquire the Tungsten Interest for 200,000 pre- IPO B  Class  shares  valued  at
US$2,470,000 in a CIC vehicle - to be called IMG Group ("IMG") - which CIC is intending to list on a  major
exchange  during  the  first  half of 2010. IMG will comprise of CIC's iron ore  interests  that  currently
include production in China and exploration assets in Africa and South America. CIC has already established
the  share capital for IMG by creating separate B Class CIC shares. Neither the Tungsten Interest  nor  IMG
are profit making at this stage.

Pursuant to the terms of the transaction Sirius is also acquiring an additional 100,000 CIC B Class  shares
in exchange for the issue of 6,000,000 Ordinary Shares of 0.25p ("Ordinary Shares") in Sirius at a price of
12.5p  per  Ordinary  Share, an effective price of US$0.2058 per Sirius share. In total  Sirius  will  hold
300,000 CIC B Class shares

Application  has  been made for the 6,000,000 new Ordinary Shares, representing 1.00% of Sirius's  enlarged
issued  share  capital  which will rank pari passu with the existing ordinary shares,  to  be  admitted  to
trading  on  AIM  and  trading  is expected to commence on 4 November 2009.  Following  completion  of  the
transaction, Sirius will have an issued share capital of 606,730,150 Ordinary Shares.

Richard Poulden, Chairman of Sirius, commented:

"The Board of Sirius believes IMG offers an efficient mechanism for exchanging our illiquid legacy tungsten
interests for shares in an attractive sector company with plans to IPO in the first half of 2010,  allowing
Sirius to focus on its salt and potash activities."


Enquiries welcomed, for further information please contact the Company:

Sirius Exploration Plc
Richard Poulden (Chairman)
 +971 556 232 672

Jonathan Harrison (Financial Director)
+44 78 7988 7755

Beaumont Cornish
Roland Cornish (Chairman)
Tel: 020 7628 3396

GTH Communications Limited
Toby Hall/Christian Pickel
+44 (0)20 7153 8039/8036


Contact Information

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