Turkey Update

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

12 March 2012

Stratex International Plc - Turkey Update

('Stratex' or 'The Company')

Stratex International Plc, the AIM-quoted exploration and development company focussed on gold and base metals in Turkey, East Africa and West Africa, is pleased to provide updates for a number of exploration and development projects in Turkey.

Highlights

Exploration:

·; Öksüt: step-out drilling to commence in April 2012 to investigate potential for additional concealed resources to the east and north of the Ortaçam North Zone within this million-ounce gold ('Au') deposit - two drill rigs to be mobilised

·; Altunhisar: significant gold anomalies in soil and outcrop identified in Basobasi prospect - to be drilled during 2012

·; Hasançelebi: 2011 drilling programme returned best grades of 14.90 metres @ 0.52 g/t Au and 8.30 metres @ 0.83 g/t Au over six holes. Additionally, drilling of nearby iron oxide-copper-gold prospect returned 40.80 metres @ 0.69 g/t Au

Development:

·; Inlice: approval of Environmental Impact Study, anticipated during March 2012 - mining targeted H1 2013 subject to successful outcome

·; Altıntepe: Bahar Mining completed 17 confirmatory drill holes totalling 1,088 metres - agreed minimum production target of 30,000 oz subject to in-house technical and other studies which are currently underway

·; Muratdere: new Option/JV partner completed a total of five holes (527 metres) due-diligence drilling and has commissioned further metallurgical test work to confirm previously reported positive metal recoveries. Due diligence to be completed before end of April 2012

Copper Programme:

·; Stratex-managed joint venture with Antofagasta making good progress

Bob Foster, Chief Executive, said, "2011 was an extremely busy and productive year for Stratex in Turkey and 2012 has started well.

 "We are particularly looking forward to the accelerated drill programme at Öksüt, where the indications are that we should be able to increase this million-ounce gold deposit even further. The average grades and the oxidised nature of the material at Öksüt suggest that it should be very amenable to exploitation as an open-pit, heap-leach operation which bodes well for future economics of the deposit. In addition to a number of other exploration projects, including the exciting porphyry copper strategic alliance with Antofagasta Minerals, we will continue to work closely with our two Turkish partner companies that are developing the Inlice and Altıntepe projects, with a view to seeing cash flow from both projects in 2013.

"Given the number of projects being actively managed in Turkey and the need to release material information in a structured manner going forward, as well as reporting on our activities in East and West Africa, we intend to provide routine summary updates on many of the Turkish projects, in combination with more project-specific reporting on key projects including Öksüt, Muratdere, Inlice and Altıntepe. News flow during the year should be no less prolific than in 2011 but will be provided in a more consistently-packaged format.

"The Company has achieved significant progress during 2011 and by late next year we should be in the very comfortable position of being able to fund future exploration activities from cash flow from our partner-managed Turkish mining operations."

Further Information

Exploration:

Öksüt

In February 2012, a total resource of 1,047,872 oz Au in the Ortaçam and Ortaçam North zones at a cut-off grade of 0.2 g/t Au was declared. The total resource is little changed (-3.5%) at a 0.4 g/t cut-off. Of this total the Ortaçam North Zone comprises 758,144 oz Au with an average grade of 1.83 g/t Au, consisting of 359,697 oz in oxide material with an average grade of 1.31 g/t Au and 398,447 oz Au in sulphide material averaging 2.85 g/t Au (press release dated 15 February, 2012). The sulphide material contains a mix of (minor) pyrite-bearing clasts and oxidized matrix and early testwork suggests that it will be amenable to recovery of gold by heap leaching. The resource is calculated down to an approximate vertical depth of 300 m however drilling indicates that the mineralised body is still open at depth and also to the east and north. Drilling will recommence as soon as weather conditions permit, probably April, and two drill rigs will commence testing the eastern and northern extensions of Ortaçam North before being directed to other nearby outcropping zones that, like Ortaçam North, are known to contain low gold grades at surface.

Centerra is now exercising its right to earn an additional 20% interest in the joint venture by funding US$3 million of further exploration on the property over the next 2 years.

For more information on the Öksüt project, please visit:

http://www.stratexinternational.com/operations/exploration/turkey/oksut.aspx

Altunhisar

The Altunhisar prospect comprises at least five extensive zones of hydrothermal alteration typically associated with high-sulphidation gold systems - Balci, Basobasi, Comlekci, Karanlikdere, and Kitreli. Positive exploration results have previously been reported from all five zones but subsequent work indicated that only Balci, Karanlikdere, and Basobasi merited follow-up exploration

·; Balci - extensive outcropping silica and silica-alunite zones assaying up to 0.23 g/t Au and highly anomalous molybdenum ('Mo'), with a maximum value of 445 ppm Mo

·; Karanlikdere - intense alteration over an area of 2,500 m x 1,000 m enveloping a silica ledge up to 80 m in thickness and extending along strike for more than 1,200 m. Soil geochemistry was characterised by anomalous values of gold, silver, molybdenum and tellurium in particular. Initial sampling has returned moderate outcrop gold values up to 0.07 g/t Au and up to 616 ppm Mo. Banded porphyry-style veinlets are associated with gold values up to 0.047 g/t Au.

·; Basobasi - grab sample of 0.35 g/t Au (and 17.3 g/t silver) and channel-chip samples of 50 m @ 0.12 g/t Au and 25 m @ 0.18 g/t Au in vuggy and massive silica.

During 2011 one hole was drilled into the Karanlikdere Zone close to the identified porphyry-style veinlets and yielded low but consistent gold values within long intervals of hydrothermally altered andesite. The results of this programme are currently being reviewed and further work may be merited. At the Basobai Zone, a follow-up programme of mapping and sampling of soils and outcropping rocks confirmed the earlier reconnaissance work, identifying a number of quartz-alunite outcrops that returned multiple values in the range 0.1-0.5 g/t Au. Drilling of this zone is anticipated later this year.

Drilling of the Balci Zone confirmed replication of the surface geology - almost 300 m of quartz-alunite and lesser quartz-kaolinite alteration with no significant gold intersections and so the licence has been relinquished.

Under the terms of the Option/JV agreement signed on 17 May 2011 Centerra can acquire 51% of the project by funding US$1.5 million of exploration within three years.

For more information on the Altunhisar project, please visit:

http://www.stratexinternational.com/operations/exploration/turkey/altunhisar.aspx

Hasancelebi

Encouraging drill results from Hasançelebi during 2010, and the subsequent delineation of a 1,000 - 2,000 metre gold-mineralised zone with a vertical continuity of 300 metres, prompted JV partner Teck Resources Limited ('Teck') to fund further exploration during 2011. The 2011 drill programme was focused on determining the full extent of near-surface mineralisation and also targeted a potential feeder zone that had been defined during a land-based magnetic survey. A subsequent IP (induced polarisation) survey during the early part of 2011 provided more detailed targeting and a further programme of five diamond drill holes totalling 1,572 metres was completed in the latter half of the year. Best results include 16.05 metres averaging 0.45 g/t Au and 15.75 metres averaging 0.28 g/t Au.

Two holes totalling 543 metres were drilled into a new prospect (Karakaya Tepe) near the eastern end of the main Hasançelebi system, believed to be an iron oxide-copper-gold occurrence. The two best intersections returned were from hole HCD-11 - 28.00 metres averaging 0.30 g/t Au and 40.80 metres averaging 0.69 g/t Au.

These results are currently being reviewed with Teck to determine what work should be undertaken during 2012.

Under the terms of the JV agreement, Teck may fund US$2 million in work before 31 December 2012 to acquire a 51% interest in the project. Subsequent to vesting its 51% interest, Teck has the option to earn a further 19% in the project, taking its interest to 70%, by expending an additional US$3 million over the following three years.

For more information on the Hasançelebi project, please visit:

http://www.stratexinternational.com/operations/exploration/turkey/hasançelebi.aspx

Development:

Inlice

With Inlice nearing production, comment on the draft Environmental Impact Study (EIS) was received by Stratex's Turkish partner NTF (55% shareholder and managing operator of Inlice Madencilik) from the environmental authorities in January and it was anticipated that final approval of the content would be received in early February. However, at that time the Ministry of Environmental Affairs was confronted with a substantial workload and this led to a delay and we now anticipate that the final document will be reviewed and approved for public release during March. Thereafter it will be lodged in Konya for ten days for public review, after which, assuming no objection, the Environmental Ministry will approve the project and then the permitting procedures can be formally completed and construction begin.

With these processes yet to be completed, at this stage NTF advise that it is difficult to predict when first production should occur, but it is realistic to believe that mining should commence in H1 2013 and that first gold should be poured mid-2013 or soon thereafter, although every effort will be made to accelerate this schedule as much as possible.

For more information on the Inlice project, please visit:

http://www.stratexinternational.com/operations/development/turkey/inlice.aspx 

Altıntepe

Following signing of a Heads of Agreement with private Turkish mining company Bahar Mining to fast-track Altıntepe to production (press release dated 6 December 2011), the company has already completed a total of 17 holes (1,088 metres) of confirmatory drilling and are now undertaking in-house technical and other studies. Subject to successful outcome of these studies, Bahar have agreed a minimum production target of 600,000 tonnes of mineralised material per annum, equivalent to approximately 30,000 oz gold per annum.

Successful completion of in-house technical studies and financial modeling and a decision to proceed to production will enable Bahar to vest 55% of the project. Thereafter all construction and other costs up until first gold production, including all capital items, will be borne 100% by Bahar. Bahar will then recover all past expenditures via an accelerated payback scheme whereby Bahar will receive 80% of net cash generation from gold production (after operating costs and underlying royalties have been deducted) and Stratex will receive 20%. Once Bahar has recovered all past expenditures, net cash will be distributed according to equity holdings in Altintepe Madencilik - 55% to Bahar and 45% to Stratex.

For more information on the Altıntepe project, please visit:

http://www.stratexinternational.com/operations/development/turkey/altintepe.aspx

Muratdere

The Muratdere porphyry copper-gold-molybdenum-silver project is the subject of a due diligence evaluation by a leading private Turkish financial institution and investment company ('InvestCo') that should be completed before the end of April 2012 (press release dated 12 December, 2011). InvestCo has already completed a total of 5 holes (527 metres) of confirmatory drilling and samples have been sent to Istanbul University for metallurgical testwork.

In the meantime Wardell Armstrong International has provided metallurgical balances for gold, silver, molybdenum, and rhenium to correlate with the previously reported recoveries for copper (press release dated 12 December, 2011). Metal recoveries were as follows: gold - 40-53%; silver - 59-72%; molybdenum - 17-41%; rhenium - 18-48%. Recoveries for the hypogene (sulphide) material were at the upper end of the spectrum: gold - 48%; silver - 59%; molybdenum - 38%; rhenium - 39%. This is particularly important as previous drilling and resource estimation has mostly focused on the near-surface oxide and transition material and the underlying sulphide resource remains largely undrilled.

Under the terms of the Option/JV agreement signed on 12 December 2011, on successful conclusion of the due diligence InvestCo will acquire 51% of project by payment of US$1.7 million. Thereafter it will have the option to increase its interest to 61% for US$500,000 and 3,000 metres of diamond drilling, and a further option to increase to 70% by funding a feasibility study.

For more information on the Altıntepe project, please visit:

http://www.stratexinternational.com/operations/exploration/turkey/muratdere.aspx

Copper Programme:

During the first half of 2011 major copper mining company Antofagasta Minerals S.A. signed a strategic alliance with Stratex to explore for copper in Turkey and subsequently also took a 2.97% equity stake in Stratex (press releases dated 24 May 2011 and 26 September 2011 respectively). Since that time Stratex has commenced an aggressive exploration programme, established a GIS database to support the identification of further key targets, and acquired a number of licences. Following a period of desk-based studies over the winter period, field exploration should start again in April this year but the results of the work will remain confidential for the foreseeable future to ensure that the alliance retains first-mover advantage in the identified high-priority exploration areas.

Sampling, assaying, and QA/QC

Stratex's sampling of outcropping rocks, drill core, and other geological materials conforms to industry-wide good practice, with chain of custody being observed for all samples. Gold analysis is undertaken by ALS Chemex at its laboratories in Romania and the Company maintains QA/QC on all analytical work via the use of certified reference materials, field duplicates, and blank samples in addition to monitoring of internal laboratory check-analyses.

Dr Bob Foster, CEO, 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:

Notes to editors:

Stratex International Plc is an AIM-quoted exploration and development company focusing on gold and base metal opportunities in Turkey, East Africa, and West Africa. 

Stratex - Turkey Portfolio

In Turkey, Stratex is moving to gold production at the Inlice project through its partnership with its Turkish partner NTF. Altıntepe is also targeted to go into production through a joint venture with Turkish partner Bahar Madencilik, subject to outcome of an Environmental Impact Study (EIS) and technical studies. The Company also remains focused 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 2.26 million oz of gold (combined oxide and sulphide gold) and approximately 7.1 million oz of silver, on a global resource basis

·; Partnership with NTF, a technically capable Turkish company, to rapidly develop the 59,600 oz gold reserve at the Inlice project

·; Partnership with Turkish company Bahar Madencilik to advance development of the 490,000 oz Altintepe oxide-gold project in northern Turkey to production

·; 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

·; A further option/joint venture agreement with Centerra Exploration B.V. to explore the multiple high-sulphidation alteration zones of the Altunhisar project 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

·; Exploration agreement with Antofagasta to explore Turkey for porphyry copper and other copper deposit-types that will be vested into an established JV 

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

·; A joint venture with Centamin plc (which recently acquired Sheba Exploration (UK) plc) to (i) evaluate the prospective 37 sq km Shehagne gold project in Ethiopia (now earned into 60% of the project), and (ii) explore targets in northern Ethiopia on a 70:30 joint venture basis

·; Berahale EEL covers an area of 1,107.44 sq km in northern Ethiopia and is prospective for gold and base metals

·; Multiple low-sulphidation vein systems recently discovered in the Blackrock EEL with bonanza gold values up to 34.6 g/t Au and 60.4 g/t in outcrop

·; 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 ten 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. Recent results from the scout drilling programme at Megenta have confirmed epithermal gold mineralization 

Stratex interest in West Africa 

Stratex has acquired the entire issued share capital of former private company Silvrex Limited, including its gold portfolio in Senegal, where the Company is now earning-in to an eventual 75% of an exploration licence in the very prospective Kédougou-Kenieba area. The portfolio also includes four exploration licences acquired in Mauritania.