Gold Exploration Update - Blackrock, Ethiopia

Stratex International Plc / Index: AIM / Epic: STI / Sector: Mining

4 May 2011

Stratex International plc

Bonanza Grades and Wide Zones of Gold Mineralisation from Black Water Zone, Blackrock Project, Afar Epithermal Province

Stratex International plc ('Stratex' or 'the Company')is pleased to announce positive gold results from systematic rock sampling at the Black Water zone within its 100% owned Blackrock Exclusive Exploration Licence ('Blackrock EEL') in the prospective Afar epithermal gold province of eastern Ethiopia.

Highlights

·; First bonanza gold grades from outcrop samples

·; Surface rock-chip samples returned up to 60.4 g/t gold ('Au') from Nesbitt and 34.6 g/t Au from Oasis vein systems at Blackrock EEL

·; Channel-chip sampling of Theodore target returned best grades of 25 metres at 1.15 g/t Au and 15.2 metres at 1.28 g/t Au

·; Channel-chip sampling of Nesbitt target returned best values of 6.1 metres grading 1.01 g/t Au and 0.5 metres at 38.3 g/t Au

·; 31.5% of samples assayed 1 g/t Au or greater

·; Wide zones of gold identified on Theodore, Nesbitt and Oasis vein systems over 4.57 km combined strike within the previously discovered 14 km of outcropping veins over the Black Water and Magdala zones of Blackrock EEL

·; Sampling continues on numerous other veins/structures

David Hall, Executive Director for East Africa said, "These first samples of outcrop at the Black Water zone have returned bonanza grades, i.e. greater than 30 grams per tonne gold, and wide zones of gold mineralisation up to 25 metres in width, further highlighting the potential for major multiple gold mineralisation at this exciting discovery where four key zones have been identified to date. This fact is of considerable significance for the economic potential of all the discoveries in Stratex's newly defined Afar Epithermal Province.

"With this in mind, our exploration programme at Blackrock will continue at pace as we focus on advancing the Stanley, Nesbitt, Oasis, Theodore and Baker targets to a drill ready status.

"We also eagerly await the results from a 3,000 metre drill programme at our Megenta gold project in Ethiopia, where we believe there is a potential to intersect, at depth, similar multi-gram gold grades."

Further Information

The Black Water zone, one of four defined to date over 15 kms, was prioritised for detailed mapping and sampling following encouraging early-stage results (see press release 13 April 2011) and five substantial NW-SE-striking vein systems have now been identified - Stanley, Nesbitt, Oasis, Theodore and Baker (south-west to north-east). The Theodore vein system has been traced for a distance of 1,600 metres and the other systems are between 700 metres and 1,100 metres in length. To date, three of these, Theodore, Oasis, and Nesbitt, have been systematically channel-chip-sampled, although scree cover and poor outcrop especially on Oasis and Stanley meant that continuous sampling was not always possible. Importantly, of the 339 samples collected to date, 107 returned values of greater than 1 g/t Au and 276 (81%) assayed greater than 0.1 g/t Au. Only three samples returned non-detectable gold. The results announced here are for the initial 339 rock samples covering ~4.57 km of the previously announced 14 km of outcropping veins in the Black Water and Magdala zones.

Significant values included:

Theodore Vein System

·; 15.4 metres grading 0.96 g/t Au including 5.4m @ 1.34 g/t Au (Channel 3)

·; 25 metres @ 1.15 g/t Au, including 2 metres @ 7.4 g/t Au (Channel 6)

·; 15.5 metres grading 0.6 g/t Au including 2.45m @ 1.71 (Channel 8)

·; 15.2 metres @ 1.28 g/t Au, including 0.2 metres at 31.4 g/t Au (un-cut), 0.5m at 3.47 g/t Au and 1.2m at 4.57 g/t Au (Channel 9)

·; 8.0 metres grading 1.38 g/t Au (Channel 10)

Nesbitt Vein System

·; 6.1 metres @ 1.01 g/t Au (Channel 22)

·; 5.1 metres @ 0.96 g/t Au (Channel 23)

·; 3.2 metres @ 1.71 g/t Au (Channel 24)

·; Selective grab sample 8 centimetres @ 60.4 g/t Au

·; Selective grab sample 0.5 metres @ 38.3 g/t Au

·; Selective grab sample 0.1 metres @ 9.73 g/t Au

Oasis Vein System

·; 8.5 metres grading 0.64 g/t Au (Channel 13)

·; Selective grab sample of banded vein 0.3 metres @ 34.6 g/t Au

Stanley Vein System

·; Selective grab 40 cm vein @ 2.72 g/t Au

·; Selective grab 40 cm vein @ 4.1 g/t |Au

·; Selective grab 1.0 metre vein @ 2.36 g/t Au

Initial indications are that the 1,600 metre-long Theodore vein system is a relatively wide zone (up to 25 metres) and of moderate grade whereas the Nesbitt and Oasis vein systems are more likely to be characterised by bonanza gold grades within discrete ore shoots although the distribution and continuity of the gold-bearing zones need to be fully evaluated by drilling.

Although still at an early stage, this relatively limited sampling programme has confirmed the presence of multiple low-sulphidation epithermal gold veins, some of which are characterised by the presence of very high gold grades. In addition to the confirmation of the Black Water zone as a significant discovery containing multiple mineralised veins and structures, the Company believes that the Black Water sampling results provide considerable prospectivity for the identification of further gold-bearing veins elsewhere in the four zones identified to date within the Blackrock EEL (Calcite, Discovery, Black Water and Magdala).

Given the excellent exposure throughout the licence area, it is anticipated that the Blackrock prospects can be fast-tracked through to drill-ready status before the end of the year. The regional infrastructure is being rapidly upgraded by mining majors such as BHP Billiton which are conducting significant potash programmes. In line with this, major camps, new roads and associated infrastructure are currently being established.

In the meantime, drilling of the Company's first project in the Afar, Megenta, will commence shortly, funded by the joint-venture partnership with Thani Ashanti, an AngloGold Ashanti alliance.

Afar Epithermal District

Stratex first discovered the Megenta prospect in October 2009. Subsequently Stratex has made further epithermal discoveries in Ethiopia and Djibouti now confirming the Afar Epithermal Province as a new gold district, and the Board is confident that results to date continue to highlight the similarities between the Afar Epithermal Provinces and the Deseado Massif region in Patagonia, Argentina. Stratex's total land package in the Afar region, including Blackrock, now stands at 3,853sq km.

For more information on the Company's Blackrock project, including location map, please see http://www.stratexinternational.com/operations/exploration/ethiopia-djibouti/blackrock.aspx 

Sampling, assaying, and QA/QC

Stratex's sampling of outcropping rocks conforms to industry-wide good practice, with chain of custody being observed for all samples. Analysis is undertaken by ALS Chemex at its laboratories in Rosia Montana, Romania and Vancouver, Canada. Sample preparation and fire assay analysis for gold is undertaken at the Romania laboratory and ICP-MS assay analysis for multi-element geochemistry is undertaken at Vancouver. The Company maintains QA/QC on all analytical work via the use of certified reference materials, field and laboratory duplicates, and blank samples in addition to monitoring of internal laboratory check-analyses.

Executive Director David J. Hall, Fellow SEG and EuroGeol is a Competent Person as defined by various international instruments and takes responsibility for the release of this information.

** ENDS * *

For further information please visit www.stratexinternational.com, email [email protected], or contact:

Turkey Portfolio

In Turkey, Stratex's prime objective is to move into gold production through its partnership with its Turkish partner NTF, with initial production targeted at its Inlice project by H1 2012 and at Altıntepe by 2013, subject to outcome of scoping and feasibility studies. The Company also remains focussed on discovering and developing new projects through low-cost exploration, adding maximum value prior to optioning/joint venturing or selling on to a dedicated mining company.

·; Total resources stand at 1.31 million oz of gold (combined oxide and sulphide gold) and approximately 3.2 million oz of silver, on a JV-inclusive basis

·; Partnership with NTF, a technically capable and well-financed Turkish company, to rapidly develop the 542,318 oz oxide gold resources present at the Inlice and Altıntepe projects

·; An option/joint venture agreement with Centerra Exploration B.V., a wholly owned subsidiary of Centerra Gold Inc., to explore and develop the Öksüt project, a high-sulphidation gold discovery located in Central Anatolia

·; An option/joint venture agreement over the Hasancelebi project, a high-sulphidation gold project in central Turkey with Teck Madencilik Sanayi Ticaret A.S., a Turkish subsidiary of Teck Resources Limited of Canada, a major shareholder in Stratex

·; An option/joint venture agreement with private Turkish company Aydeniz Group to explore and develop the Muratdere porphyry copper-gold-molybdenum deposit in western Turkey

Stratex East Africa Ltd ('SEA') - Ethiopia and Djibouti Portfolio

·; 4.93% shareholding in PLUS-quoted exploration company Sheba Exploration (UK) plc ('Sheba')

·; A joint venture with Sheba to (i) earn-in to an initial 60% of the prospective 37 sq km Shehagne gold project in Ethiopia, and (ii) explore targets in northern Ethiopia on a 70:30 joint venture basis

·; Berahale and Gademsa EELs cover a combined area of 1,225 sq km in northern and central Ethiopia respectively and are prospective for gold and base metals

·; 3,853 sq km land position over new epithermal gold discovery and multiple related gold targets in the Afar Depression of eastern Ethiopia and Djibouti

·; Stratex International has signed a binding Heads of Agreement with Thani Ashanti, an AngloGold Ashanti Limited joint venture company, to fast-track development of first 11 prospects identified within the Afar Depression (collectively the 'Afar Project'). Thani Ashanti can earn 51% of the Afar Project by spending US$3 million on exploration and development over two years.