Strategic Review Update

CHL: AIM

CHURCHILL MINING PLC

("Churchill" or "the Company")

Statement Re Strategic Review

Churchill Mining PLC (AIM: CHL) notes the media reports relating to plans and negotiations to sell the Company or its assets.

Churchill announced the appointment of Credit Suisse in 2010 to complete a strategic review process, in order to evaluate the various options for financing the development of the East Kutai Coal Project, including the development of the project with a joint venture partner, sale of the project or the conclusion of a long-term offtake arrangement. There has been a significant response from interested parties in a number of countries, primarily; India, Indonesia, South Korea and South East Asia, and as expected, discussions with potential partners, financiers and purchasers remain ongoing.

Paul Mazak, Managing Director said "Realising the huge potential of the world class East Kutai Coal Project requires significant capital investment and as part of the process, potential partners are undertaking detailed and lengthy due diligence in order to formulate their proposals. We are working with all parties with a view to achieving a result that will maximise returns for shareholders and we look forward to further updating the market in due course."

END

For further information, please contact:

Churchill Mining Plc Northland Capital Tavistock Communications

Managing Director - Paul G. Mazak Partners Limited Paul Youens / Jos Simson

+62 81510539186 / Shane Gallwey / +44 (0) 20 7920 3150

39832398 Luke Cairns +44 (0) 7843 260 623

+61 8 6382 3737 +44 (0) 20 7492 4750 [email protected]

[email protected]