Pallas Green Project Update

PALLAS GREEN PROJECT MID YEAR UPDATE

Dublin, 3 August 2011 - Minco Plc (AIM-"MIO"), the Irish exploration and development company, reports on drill results and a resource update received from Xstrata Zinc, the Joint Venture Manager of the Pallas Green project, Co. Limerick for the first half of 2011.

139 Holes Drilled in Six Months

During the six months ended June 30, 2011, 139 holes were completed or underway, for a total of 47,149 metres, with 21 rigs currently drilling on the project site.

Approximately eighty-five percent of the drilling in the first half of 2011 (approximately 121 holes) has been classified by Minco, using normal industry accepted terminology, as infill or definition drilling designed to increase confidence in the existing resource and to permit the reclassification of resources from inferred to indicated categories.

Twenty-two holes out of approximately 121 holes in the infill and immediate step-out drilling around the Tobermalug and NWX zones returned economically significant mineralised values. The results of the infill/definition drilling are generally in line with Minco's expectations.

One hundred metre spaced peripheral and infill drilling continues to enhance and enlarge the Knockroe zone, where eleven drill holes in 2011 returned significant mineralized values. The Knockroe zone, located approximately 2,000 metres to the southwest of the Tobermalug deposit, and which has a northeast-southwest strike length of 700 metres and a width of 300 metres, has emerged as a separate zone of sulphide mineralization but forming part of the overall resource base for the Caherconlish area deposits.

Significant drilling results

Xstrata has provided Minco with the results of the significant drill intersections from the holes drilled in the first half of 2011. Xstrata reported that significant drill intersections were encountered in 33 of the 121 holes drilled. The results from remaining holes are not considered material. Minco classifies 22 of the significant holes as infill/definition drilling in the Tobermalug and NWX areas and 11 as exploration, principally in the Knockroe area. All of the significant results are shown on the attached table. Some of these results have previously been released by Minco as denoted in the table.

Comment

Commenting on the drill results, Terence McKillen, Minco's Chief Executive, said: "The drilling results in the Knockroe area continue to support Minco's belief that this zone could be a significant contributor to the overall resource base of the Caherconlish area zinc deposits. It also strengthens Minco's belief that additional step-out drilling at this time is more beneficial to the project than infill/definition drilling which does not have the potential to significantly impact the in situ resource and project economics."

New Resource Update

Xstrata has provided Minco with an updated undiluted, in situ inferred resource for the Caherconlish area as of April 30th 2011 (not JORC compliant), which indicates an increase of 1.9 million tonnes and 1.4 million tonnes respectively in the 4% zinc and 6% zinc cutoff in situ resource, and with reductions of 2.2% and 3.3%, respectively in the undiluted (zinc plus lead) resource grade, over the previous resource estimates prepared by Xstrata as of December 31, 2010 and published in February 2011 (see Minco press release dated 25 February, 2011).

The update indicates that as of April 30, 2011, the overall inferred resource, at the 6% cut-off, has increased by about 1.4 million tonnes and with a reduction in the zinc grade from 8.96% Zn to 8.73%Zn. Minco has separately estimated that the drilling on the Knockroe zone has added approximately 4 million tonnes to the inferred resource (not JORC compliant), essentially doubling the Knockroe resource since the start of 2011 (see Minco's Annual Report announcement of June 30, 2011). This implies the effective reduction of about 2 million tonnes in the Tobermalug-NWX zones.

(*not JORC compliant)

Geophysical Survey

A preliminary test geophysical survey using 2D ground seismics, designed to provide additional identification of the Ballyneety Fault at depth, was completed over four traverse lines around the Caherconlish area in March 2011.

A preliminary review of data provided to date, undertaken by Minco's geophysical consultant, suggests that due to many disruptions in the migrated seismic traces, plus uncertainties in assigning lithological correlation along with rather significant lateral changes in seismic character, give rise to considerable uncertainties in the seismic interpretation, and especially attempts to identify faults. It is also noted that there is little correlation between migrated seismic traces on the cross lines with respect to those on the tie line where they intersect.

Xstrata is still working on the data interpretation and has not yet provided Minco with a final technical report.

Pre-Feasibility Study

Xstrata has retained the international consulting group, Hatch, to conduct a Pre-Feasibility Study on the Caherconlish area zinc-lead resources, particularly the Tobermalug and NWX zones. The study, which is to be completed by the end of 2011, includes an assessment of technical and economic viability, mining process optimization, mine capacity, key business drivers and risks, determine further geological, mining, metallurgical, environmental and marketing work required, and upgrading of mineral resources.

Proposed Sale of Minco's Interest in Pallas Green to Xstrata

As previously announced, Minco has entered into a conditional agreement, subject to approval of Minco shareholders and receipt of other regulatory approvals and consents, for the sale of Minco's 23.6% interest in the Pallas Green Project to Xstrata for a cash payment of US$19.4 million (See Minco press release dated July 13, 2011).

The proposed sale is subject to a number of conditions, including satisfactory due diligence by Xstrata, approval by the Board of Xstrata Zinc, approval by Minco's shareholders and receipt of other regulatory approvals and consents.

As previously announced, Minco has not agreed to the proposed 2011 programme and budget and particularly to the allocation between infill and exploration drilling. Minco had proposed that the drilling in 2011 should focus on ongoing exploration in the prospective Caherconlish area, and particularly exploring for higher grade and larger tonnage parts of the overall deposit. Xstrata has not agreed with Minco's proposals and, as part of the prefeasibility study, wants to concentrate on infill/definition drilling of the already defined Tobermalug zone.

Discussions with Xstrata on the resolution of the technical aspects and direction of the proposed 2011 work programme have been ongoing during 2011. These discussions eventually evolved into a proposal by Xstrata to purchase Minco's interest in the Joint Venture. Further negotiations led to a conditional agreement for the sale by Minco to Xstrata of all of Minco's interest in the Pallas Green Joint Venture for US$19.4 million.

The proposed sale will be submitted to Minco shareholders for consideration at an Extraordinary General Meeting which will be called in due course. A Circular, providing full particulars of the proposed disposal and other strategic alternatives, will be issued by the Directors prior to the Extraordinary General Meeting.

Minco has contributed part of the 2011 exploration costs but, due to the absence of agreement on the 2011 programme and budget, has not paid all of its cash calls made by Xstrata for the first half of 2011. In the event Minco continues to participate in the Joint Venture, it will need to raise additional funding. If the Company does not participate in some or all of the proposed 2011 programme, or subsequent programmes, the Company's interest in the Pallas Green Joint Venture will be diluted.

Qualified Person

Xstrata Zinc is the project operator for the Pallas Green Joint Venture Project and is responsible for both fieldwork and resource evaluation including, but not limited to, sampling, submittal of samples for assay, assay verification, metallurgical evaluation and QA/QC.

Mr. Terence N McKillen, B.A. (MOD), M.A., M.Sc., P.Geo, Chief Executive Officer, is the Qualified Person for the purposes of the AIM Guidance Note on Mining, Oil and Gas Companies dated March 2006. Mr. McKillen is a graduate in Natural Sciences (Geology) from Trinity College Dublin and holds a Master of Science degree in Mineral Exploration and Mining Geology from the University of Leicester. He has 40 years of exploration experience in Ireland and internationally.

Table of Significant Drill Results, January to June 30, 2011 (* - denotes results previously released by Minco)

About Minco

Minco PLC is an AIM quoted precious and base metals exploration and development company engaged in zinc-lead exploration on the Pallas Green property in Ireland in a joint venture with Xstrata Zinc and investments in zinc‐silver projects in Mexico through an equity holding in Xtierra Inc. listed on the TSX Venture Exchange (Toronto) under the symbol "XAG".

There are 349,999,988 shares of Minco issued and outstanding.