Strengthens Management Team with New COO Role

Sierra Rutile Limited

Strengthens Management Team with New Chief Operating Officer Role

London, UK, 3 September 2012: Sierra Rutile Limited (AIM:SRX) ("the Company") is delighted to announce the appointment of Gerald Boting to the newly-expanded role of Chief Operating Officer ("COO"). This further strengthens the management team and is aligned to the Company's substantial growth prospects for the next three years. Mr Boting, whose appointment as COO will take effect from 10 September 2012, will take responsibility for expanded accountability over the Company's growth strategy, including strategic business planning, project execution, and integrating the current operations.

Mr Boting joins Sierra Rutile from Vedanta Zinc International, where he held the position of COO, responsible for operations in Namibia, Ireland and South Africa. Prior to that he was COO of Letseng Diamonds in Lesotho. Mr Boting has over 35 years of mining experience, having held senior management positions across Africa with Anglo Base Metals and De Beers.

Mr Boting has a track record of running multiple mining operations and driving performance upgrades through the implementation of process improvement and mine efficiency enhancement.

Andy Taylor, formerly COO, will assume the new role of Head of Operations. This will allow Mr Taylor to continue to focus on the current, upgraded, and recently expanded operations and drive further optimisations, synergies and efficiencies.

John Sisay, Chief Executive Officer of Sierra Rutile said:

"It gives me great pleasure to welcome Gerald as COO. He brings with him a wealth of mining experience. His expertise will further strengthen the Sierra Rutile management team and give added impetus to our expansion plans. At the same time, Andy will now be able to devote his full attention to continuing to drive the existing operations forward. As we have seen from the turnaround that has occurred in these operations, I have great faith that Andy will deliver further significant improvements. I am very excited about the potential results that Gerald and Andy, working together, can achieve."

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About Sierra Rutile Limited

Sierra Rutile produces titanium feedstock industrial minerals (primarily rutile, with associated ilmenite), as well as smaller quantities of zircon. Sierra Rutile's mine, located in the south west of Sierra Leone, is one of the largest natural rutile deposits in the world, with a JORC-Compliant Mineral Resource for measured, indicated and inferred resources for the Sierra Rutile mine of over 600 million tonnes (as at February 2011).

www.sierra-rutile.com