Griffin Mining Limited (“Griffin” or the “Company”) is pleased to announce the latest exploration results from its Caijiaying Mine and adjacent ground.

Drill intercepts of high-grade gold have been obtained in the mine area at Zone III as well as significant regional exploration results which suggest a second multi-metal mine is likely to be established at Zone II, 1.2 kilometers to the south of the Caijiaying Mine.

These results coincide with the planned start of production of gold, silver and lead from the Caijiaying processing plant upgrade due for completion before the year’s end.

Best intercepts from Zone III included:

• 12.45 metres at 7.45% Zinc and 8.55 g/t Gold

• 12.35 metres at 8.31% Zinc and 6.15 g/t Gold

• 31.7 metres at 6.2% Zinc and 6.07 g/t Gold

• 4.3 metres at 17.54% Zinc and 20.65 g/t Gold

Best intercepts from Zone II included:

• 47.54 metres at 7.68% Zinc

• 28.25 metres at 9.20% Zinc

• 22.25 metres at 9.19% Zinc

• 12.6 metres at 9.15% Zinc

Zone III Mine Resource Extension Drilling

Diamond drilling aimed at extending known resources at the Caijiaying Mine continues to find new discoveries. In particular, a number of high-grade gold intersections have been recorded from zinc lodes beneath the current mining level in the western part of the deposit. Better intersections in recent drill holes include:

Many of the ore zones show good geological continuity and remain open along strike and down-dip.  The mine schedule will be altered to enable further drilling in these areas to determine the full extent of the gold zones and to ensure that the precious metals circuit of the process plant is fully commissioned before treating such high gold grades.

Regional Exploration

Excellent drilling results have also been received from the ongoing underground drilling program at Zone II, located approximately 1.5 kilometres south of the Caijiaying Mine.

Thirty-seven holes of the 50-hole program have been completed, with ore-grade results received from thirty-six of those holes. The high grade results of lead and silver should be noted. Following completion of the program, a maiden resource estimate will be completed to enable development decisions to be made. Better intersections (above 5% Zn + Pb and a 1% lower cut-off) are shown:

High-grade Drilling Results - Zone II

Hole	From metres	To Metres	To Metres	Zn %	Pb %	Ag g/t	Au g/t
UGFOX-002	40.72	45.90	5.18	5.11	3.99	106	1.07
UGFOX-004	87.20	90.50	3.30	5.36	-	-	-
“	142.54	145.87	3.33	0.95	7.38	246	0.79
UGFOX-007	119.55	122.60	3.05	5.92	-	-	-
UGFOX-013	28.55	36.10	8.45	1.08	4.2	94	-
“	93.00	115.25	22.25	9.19	-	-	-
UGFOX-014	28.68	34.50	5.82	8.38	4.32	92	1.21
“	103.20	113.10	9.90	11.71	-	-	-
UGFOX-018	144.70	156.30	12.60	9.15	1.37	51	0.66
UGFOX-022	101.95	105.67	3.72	5.14	-	-	-
UGFOX-031A	51.82	55.22	3.40	4.44	1.94	51	1.22
“	134.01	181.55	47.54	7.68	0.61	28	0.21
“	134.01	140.70	6.69	12.07	0.31	18	0.17
UGFOX-032	143.30	171.55	28.25	9.20	1.38	33	0.31

Griffin has also completed an 11 hole surface diamond drilling program which tested targets defined in a 2006 IP geophysical program south of the Caijiaying Mine between Zones II and III, and targets based on historical drill holes. Ore-grade mineralization has been discovered at one IP target and one drill hole target.

2007 Surface Drilling Results - Zone II – III

The IP target is situated just 300 metres south of the Caijiaying mine access decline (Holes DDCJY-006 & 009), which provides an opportunity for rapid development of this area. Follow-up exploration is planned by branching off the decline to enable underground drill testing. The mineralization is thought to be an extension of a Zone III orebody displaced by faulting.

Drill hole DDCJY-011 is located 230 metres northeast of Zone II where historic Chinese drilling intersected some broad zones of lower grade mineralization. Essentially, this target is a northern extension of the Zone II mineralisation which was too far away for the current underground program to reach.

Both successful targets are currently being followed up by a further surface diamond drilling program as a pre-cursor to extending underground access for detailed drill outs.

The technical data contained in this disclosure has been compiled and approved by Mr. Timothy Blyth, Ass Dip (Geology), MAusIMM. Mr. Blyth is a full time employee of Hebei Hua Ao Mining Industry Company Ltd, and is the Operations Manager at the Caijiaying Zinc Mine. He is a geologist with 24 years relevant experience in the mining industry. Mr. Blyth is a member of the Australasian Institute of Mining and Metallurgy and qualifies as a Competent Person as defined in the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (The JORC Code).

Chairman Mladen Ninkov commented “The successful results from both the northern and southern ends of the valley, south of the Caijiaying Mine in Zone III, provides further proof to the Company’s long held belief that Zone II and Zone III will eventually be proven to be one continuous orebody.  Taken in conjunction with the outstanding gold results from the Caijiaying Mine area, it begins to show the true size of the Caijiaying mineralized system and the potential for further increasing the Caijiaying Mine’s production of zinc, gold, silver, lead and other by-products.  I am so pleased for the loyal shareholders of the Company”