Griffin Mining Limited (“Griffin” or “the Company”) is pleased to publish its interim results for the six months ended 30th June 2007.

Highlights:

• Profit before tax of US$18.0 million (30 June 2006 US$9.0 million)

• Turnover US$26.4 million (30 June 2006 US$15.7 million)

• Ore processed 202,840 tonnes (30 June 2006 129,939 tonnes)

Financial and Trading:

Results for the six months ended 30th June 2007 show pre-tax profits of US$18,010,000, double that achieved in the six months to 30th June 2006 of US$9,006,000.

Turnover amounted to US$26,404,000 up from US$15,672,000 in the six months to 30th June 2006 with increased production and zinc concentrate prices. Despite a reduction in grade following the decision in late 2006 to lower the cut off grade to increase the resource base and enable more efficient extraction of ore, 10,983 tonnes of zinc metal in concentrate were produced compared with 8,630 in the six months to 30th June 2006, with increased throughput and improved recovery rates. Ore throughput has steadily increased during 2007 from 31,081 tonnes in January to 37,107 in June and has continued to increase during the upgrade of the processing facilities. With increased throughput operating costs per tonne of ore processed have fallen.

The upgrade of the processing plant is progressing with the expectation of the commissioning of a precious metals circuit for the production of a gold/silver/lead concentrate by the end of the year. This will allow Griffin to extract maximum value from any gold located within or below the current mined areas. Diamond drilling in the mine area this year has recorded a number of high grade gold intersections with good geological continuity.

With the benefit of the funds raised from the recent placing of shares with Citadel Equity Fund Limited, Griffin is pursuing a number of potential acquisitions and other mining opportunities in China. In view of this there is no interim dividend, however, the Company anticipates paying a final dividend.

Chairman’s Statement

“These results, for the first six months of 2007, represent an excellent result for shareholders and continues to reflect the continuing growth in the Company’s operations at Caijiaying. I look forward to more good news from both Caijiaying and the Company in the future.”

Griffin Mining Limited
Consolidated Income Statement

(expressed in thousands US dollars)

	6 months to 30/06/2007 Unaudited		6 months to 30/06/2006 Unaudited		Year to 31/12/2006 Audited
	$000		$000		$000
Revenue	26,404		15,672		42,802
Cost of sales	(5,020)		(4,416)		(8,516)
Gross Profit	21,384		11,256		34,286
Net operating expenses	(4,893)		(2,693)		(6,142)
Profit from operations	16,491		8,563		28,144
Foreign exchange gains	749		289		789
Finance income	770		154		612
Profit before tax	18,010		9,006		29,545
Income tax expense	-		(55)		(75)
Profit after tax attributable to equity share owners for the financial period	18,010		8,951		29,470
Basic earnings per share (cents)	9.34		4.87		16.02
Diluted earnings per share (cents)	9.24		4.71		15.45

Griffin Mining Limited
Consolidated Balance Sheet

(expressed in thousands US dollars)

	30/06/2007		30/06/2006		31/12/2006
	Unaudited		Unaudited		Audited
	$000		$000		$000
ASSETS
Non-current assets
Property, plant and equipment	36,189		27,952		32,087
Intangible assets – Exploration interests	706		803		842
	36,895		28,755		32,929
Current assets
Inventories	1,427		1,501		1,104
Other current assets	2,207		1,450		1,064
Available-for-sale financial assets	-		66		-
Cash and cash equivalents	48,397		14,024		34,081
	52,031		17,041		36,249
Total assets	88,926		45,796		69,178
EQUITY AND LIABILITIES
Equity attributable to equity holders of the parent
Share capital	1,933		1,839		1,841
Share premium	45,557		39,057		39,166
Contributing surplus	3,690		3,690		3,690
Share based payments	2,977		1,398		2,553
Other reserves	305		-		297
Foreign exchange reserve	1,180		340		479
Profit and loss reserve	28,615		(3,786)		16,432
Total equity	84,257		42,538		64,458
Non-current liabilities
Long-term provisions	394		375		384
Current liabilities
Trade and other payables	4,275		2,883		4,336
Total liabilities	4,669		3,258		4,720
Total equities and liabilities	88,926		45,796		69,178
Number of shares in issue	193,327,731		183,861,064		184,061,064
Attributable net asset value / total equity per share	$0.46		$0.23		$0.35

Griffin Mining Limited
Consolidated Statement of Changes in Equity

	Share	Share	Contributing	Share	Other	Foreign	Profit
	Capital	Premium	surplus	Based	Reserves	Exchange	and loss	Total
				Payments		Reserve	Reserve
	$000	$000	$000	$000	$000	$000	$000	$000
At 31 December 2005	1,838	39,040	3,690	842	-	215	(12,740)	32,885
Exchange differences on translating foreign operations	-	-	-	-	-	125	-	125
Net income recognised directly in equity	-	-	-	-	-	125	-	125
Profit for the 6 months	-	-	-	-	-	-	8,951	8,951
Total recognised income and expenses in the 6 months	-	-	-	-	-	125	8,951	9,076
Movement in fair value of financial assets	-	-	-	-	-	-	3	3
Issue of share capital	1	17	-	-	-	-	-	18
Cost of share based payments	-	-	-	556	-	-	-	556
At 30 June 2006	1,839	39,057	3,690	1,398	-	340	(3,786)	42,538
Exchange differences on translating foreign operations	-	-	-	-	-	139	-	139
Net income recognised directly in equity	-	-	-	-	-	139	-	139
Profit for the 6 months	-	-	-	-	-	-	20,519	20,519
Total recognised income and expenses in the year	-	-	-	-	-	139	20,519	20,658
Transfer	-	-	-	-	297	-	(297)	-
Issue of share capital	2	109	-	-	-	-	-	111
Cost of share based payments			-	1,155	-	-	-	1,155
Movement in fair value of financial assets	-	-	-	-	-	-	(4)	(4)
At 31 December 2006	1,841	39,166	3,690	2,553	297	479	16,432	64,458
Exchange differences on translating foreign operations	-	-	-	-	8	701	-	709
Net income recognised directly in equity	-	-	-	-	8	701	-	709
Retained Profit for the 6 months	-	-	-	-	-	-	18,010	18,010
Total recognised income and expenses in the 6 months	-	-	-	-	8	701	18,010	18,010
Dividend paid	-	-	-	-	-	-	(5,827)	(5,827)
Transfer	-	1,042	-	(1,042)	-	-	-	-
Issue of share capital	92	5,349	-	-	-	-	-	5,441
Cost of share based payments	-	-	-	1,466	-	-	-	1,466
At 30 June 2007	1,933	45,557	3,690	2,977	305	1,180	28,615	84,257

Griffin Mining Limited
Consolidated Cash Flow Statement

(expressed in thousands US dollars)

	6 months to 30/06/2007 Unaudited		6 months to 30/06/2006 Unaudited		Year to 31/12/2006 Audited
	$000		$000		$000
Net cash flows from operating activities
Profit before taxation	18,010		9,006		29,545
Foreign exchange (gains)	(749)		(289)		(789)
Taxation paid	-		(55)		(75)
Finance income	(770)		(154)		(612)
Adjustment in respect of share based payments	1,466		556		1,711
Depreciation, depletion and amortisation	659		1,022		890
(Increase) / decrease in inventories	(324)		119		516
(Increase) in other current assets	(1,143)		(503)		(117)
(Decrease) / increase in trade and other payables	(61)		(642)		811
Net cash inflow from operating activities	17,088		9,060		31,880
Cash flows from investing activities
Interest received	770		154		612
Receipts on sale of investments	-		-		63
Payments to acquire intangible fixed assets	-		(382)		(414)
Payments to acquire tangible fixed assets – mineral interests	(2,852)		(689)		(2,829)
Payments to acquire tangible fixed assets – plant and equipment	(642)		(1,065)		(2,504)
Payments to acquire tangible fixed assets – other	-		(3)		(9)
Net cash (outflow) from investing activities	(2,724)		(1,985)		(5,081)
Cash flows from financing activities
Issue of ordinary share capital	5,441		18		129
Dividend paid	(5,827)		-		-
	(386)		18		129
Increase in cash and cash equivalents	13,978		7,093		26,928
Cash and cash equivalents at beginning of the period	34,081		6,663		6,663
Effects of exchange rate changes	338		268		490
Cash and cash equivalents at end of the period	48,397		14,024		34,081

Griffin Mining Limited
Notes to the Interim Statement

1. This statement has been prepared using accounting policies and presentation consistent with those applied in the preparation of the accounts of the Company for the year ended 31 December 2006.

2. Copies of this interim report are being sent to all registered shareholders. Additional copies are available from the Company’s London office, 60 St James’s Street, London, SW1A 1LE.

3. The summary accounts set out above do not constitute statutory accounts as defined by Section 84 of the Bermuda Companies Act 1981 or Section 240 of the UK Companies Act 1985. The summarised consolidated balance sheet at 31 December 2006 and the summarised consolidated income statement, consolidated statement of changes in equity and the summarised consolidated cash flow statement for the year then ended have been extracted from the Group’s 2006 statutory financial statements upon which the auditors’ opinion is unqualified.

4. A dividend of 3 cents per ordinary share in issue at 9 May 2007 of 193,327,731, was paid on 6 June 2007.

5. The calculation of the basic earnings per share is based on the earnings attributable to ordinary shareholders divided by the weighted average number of shares in issue during the period. The calculation of diluted earnings per share is based on the basic earnings per share on the assumed conversion of all dilutive options and other dilutive potential ordinary shares. Reconciliation of the earnings and weighted average number of shares used in the calculations are set out below: