Korean Recycling Project Update

ZincOx Resources plc("ZincOx" or "the Company")

7 December 2010

South Korean Recycling Project - Site Leased

ZincOx (AIM:ZOX) is pleased to announce that its wholly-owned subsidiary, ZincOx (Korea) Limited, has signed a 50 year lease for the site ("KRP Site") of its Korean Recycling Project ("KRP"). The Lease provides for a minimum rent-free period of five years provided that ZincOx completes the development of Phase 1 of the KRP within two years and the development of Phase 2 within four years. ZincOx expects to complete the developments within this timetable. Under certain conditions ZincOx will also be eligible for rent-free status beyond five years.

The KRP Site covers 9.26 hectares within the Cheonbuk General Industrial Complex, which is already environmentally permitted. The KRP Site is strategically located approximately 10km west of Pohang, in south-west South Korea. Pohang is one of South Korea's major steel producing centres, and will supply approximately 20% of KRP's feed requirements. It will also host potential customers for KRP's iron product, ZHBI. Pohang's port facilities already import coal and are well suited to any export of KRP's finished products. The KRP Site is also located close to the main Seoul-Busan motorway providing excellent road access for the transport of electric arc furnace dust ("EAFD") from steel mills elsewhere in South Korea.

The KRP will process EAFD, a waste generated throughout South Korea by steel recycling companies. ZincOx has 10 year supply contracts for 400,000 tonnes of EAFD per annum (23% zinc) which is currently disposed of in landfill sites at some cost to the steel recycling companies. ZincOx's phased development plan foresees the treatment of 200,000 tonnes of EAFD in Phase 1 to produce approximately 60,000tpa zinc oxide concentrate at 73% zinc and approximately 95,000 tonnes per annum of ZHBI, an intermediate iron product. In Phase 2 ZincOx plans to treat a further 200,000 tonnes of EAFD and produce annually a total of approximately 120,000 tonnes of zinc oxide concentrate and approximately 190,000 tonnes of ZHBI.

ZincOx expects to have offtake arrangements in place prior to commencement of construction of Phase 1 of the plant for the zinc oxide concentrate and for ZHBI, which could also be sold into the scrap spot market.

KRP has received strong support from the South Korean Government, as demonstrated by the designation of the KRP Site as a Foreign Investment Zone ("FIZ") and by its decision to allocate funds for the purchase of the KRP Site and its lease to ZincOx on advantageous terms. Foreign Investment Zone status also entitles KRP to certain tax privileges including an exemption from corporation tax for a period of five years.

The signing of the lease over the KRP Site enables ZincOx to push forward with its development timetable. Detailed engineering is now underway and the rotary hearth furnace and ancillary equipment purchased by ZincOx in the USA at the start of 2010 are now being dismantled in preparation for their shipment to South Korea. ZincOx expects the first production of zinc concentrate from the KRP in Q1 2012.

Commenting on the announcement, Andrew Woollett, ZincOx's Executive Chairman said: "The development of the KRP is beginning to gain significant momentum, and at the same time we are making good progress with our financing plans"

Corporate

As required by AIM Rule 17 and Schedule 2 Annex III, the Company has made updated disclosure on information relating to directors of the Company on its website at http://www.zincox.com/about/directors.asp

For information please contact:

 ZincOx Resources plcAndrew Woollett, Executive ChairmanPeter Wynter Bee, Managing Director+44 (0) 1276 450100

Nominated Adviser and BrokerAmbrian Partners LimitedAndrew Craig / Jen Boorer+44 (0) 20 7634 4700

Conduit PRCharlie Geller / Paul Youens+44 (0) 20 7429 6604