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  Stock Exchange Announcement

 

Date:	20 January 2009
On behalf of:	Target Resources plc

Target Resources plc ('Target' or the 'Company')

Operations update

Target Resources plc (AIM:TGT), the alluvial diamond and gold mining company operating in Sierra Leone, makes the following announcement to the market:

Mining operations are progressing well and the Company is close to achieving its targeted throughput rates. However, due to yields being initially lower than anticipated, and the world market diamond price falling significantly, the Company is as yet unable to cover its overheads.

In light of the above, the Company is looking to secure further funding and has held initial discussions with Tiffany & Co, its principal lender, who have not yet decided what level of funding, if any, they are able to commit. 

A further announcement will be made when appropriate.

- ENDS -

Enquiries:

Target Resources plc	020 7258 2300
Yair Ziv, Finance Director	www.target-resources.co.uk
Nominated Adviser and Broker
Arbuthnot Securities	020 7012 2000
John Prior
Ed Burbidge

About Target 

• Target is an alluvial diamond mining and exploration company operating in Sierra Leone.

• Target is among the first large scale mining ventures to be established in Sierra Leone since the end of the civil war in 2002.

• The Company has 4,263 acres (17.25 Sq km) under mining leases in the rich diamond and gold area of Kono, which is recognised as the most productive area for diamond mining in Sierra Leone.

• The Company has Exclusive Prospecting Licences for Gold, covering 520 sq km in the Alluvial Gold area in the Tonkolili district and for Diamonds, covering 254 sq km in Kenema District, known for its 'fancy' diamonds.

  

Target Resources Plc 

16th Floor,  Marble Arch Tower, 55 Bryanston Street London, W1H 7AA 

Tel +44 (0)20 7258 2300, Fax +44 (0)20 7258 2321 

Email:  info@target-resources.co.uk

Web: www.target-resources.co.uk

Registered in England and Wales, Company No 5566717

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