Rose Petroleum plc

Increased Silver - Gold Resource at Diablito Mine, Mexico

17-November-2006

VANE Minerals Plc (AIM: VML)

("VANE" or "the Company")

Increased Silver - Gold Resource at Diablito Mine, Mexico

- Potential to increase daily production by 50%

VANE Minerals Plc, ("VANE" or "the Company") today announces that its 100% owned Mexican subsidiary, Minerales VANE SA de CV has substantially increased the silver and gold resource at its wholly-owned high grade Diablito silver-gold mine, in Nayarit State, Mexico.

Highlights

  • As of 1st August 2006 the JORC compliant resource has increased by approximately 52% net of production to 141,277 tonnes containing 6.07grams per tonne ("g/t") gold ("Au") and 684 grams per tonne silver ("Ag").
  • The resource is allocated as follows:
    • Measured and Indicated 110,077 tonnes at an average grade of 7.20 g/t Au and 747 g/t Ag
    • Inferred 31,200 tonnes at an average grade of 2.10 g/t Au and 461.7 g/t Ag
  • VANE management believe that the new resource would justify an increase in daily production from 50 to 75 tonnes per day ("tpd")

As announced on 4th September 2006, the drilling programme, which was undertaken to further define and extend the resource, consisted of 20 diamond drill holes drilled from the surface, both inclined and vertical, within the Diablito concession.

This drilling has increased the Diablito resource by approximately 52% from 93,000 tonnes to a total of 141,277 tonnes, having an average grade of 6.07 g/t Au and 684 g/t Ag. Please see tabulation of the resource in Table 1, below.

The Diablito mine commenced production in November 2005 at a daily rate of 50 tonnes per day and is currently generating US$420,000 of gross revenue per month. A total of 17,659 tonnes have been mined to 1st August 2006. VANE now has the option of either increasing daily production from 50 to 75 tpd or extending mine life by some three years at the current rate of production.

The Company remains on track to construct its own mill and flotation plant close to the Diablito mine site which will serve to dramatically reduce transportation costs and remove the current reliance on third party toll milling arrangements (refer to the Interim report, 12th September 2006). The plant will have a target capacity of 100 tpd, which allows for a further potential increase in daily production, should this be appropriate. The facility is expected to be operational by mid 2007.

Michael Spriggs, Chairman of VANE, commented: "The increase in the resource at Diablito confirms our confidence in the presence of additional resources at the property and we will look to build on this further by looking closely at the other areas of interest. The ramp up in production, aided by the construction of our own plant, will significantly boost our cash flow and will continue to provide important revenue for the exploration and development of our other projects in Mexico, Paraguay and the US."

Exploration continues in an effort to identify additional measured resources.

Clark Arnold, PhD Geology, who is Director of Geology for VANE Minerals and who meets the criteria of a qualified person under the AIM Guidance Note for Mining, Oil and Gas Companies, March 2006 has reviewed and approved the technical information contained within this announcement.

The resource has been calculated by Independent Mining Consultants Inc.(IMC) of Tucson, Arizona, USA and this announcement has been approved by IMC.

About VANE Minerals:

VANE Minerals was founded by the former international exploration team of Freeport McMoRan Copper & Gold Inc., one of the world's largest producers of copper and gold. The team negotiated exclusive access to Freeport-McMoRan's global exploration database, made up of 7,000 plus files generated over nearly 100 years of exploration and, following the review of these files, VANE is ideally placed to capitalise on project acquisition opportunities. The Company has assembled a highly qualified and experienced management team with a proven track record in exploration and development, who have spent their entire careers searching for and defining large scale mineral deposits.

The Company is using the revenue generated by the Diablito mine to help fund exploration work across its attractive portfolio of uranium, gold, silver, and copper projects in the US, Mexico and Paraguay.

Enquiries:

VANE Minerals Plc Matthew Idiens +44 (0) 20 7667 6322

Parkgreen Communications Cathy Malins / Annabel Leather +44 (0) 20 7493 3713

Ambrian Partners Limited Richard Brown +44 (0) 20 7776 6417

Daniel Stewart & Co Dan Willmott +44 (0)20 7776 6550

Table 1:

Minerales Vane S.A. de C. V. (100% attributable)

Diablito

Drill Hole Intercept - Polygon Resource Estimate, Diluted to 2m

Oct-06

Vein

Category

Tonnes

Gold, g/t

Silver, g/t

MAIN ZONE

Lower

Measured

30,154

9.08

998.8

Upper

Measured

3,770

11.38

705.5

Total

33,924

9.34

966.2

Lower

Indicated

40,634

5.42

643.6

Upper

Indicated

12,472

8.62

568.5

Total

53,106

6.17

626.0

Lower

M&I

70,788

6.98

794.9

Upper

M&I

16,242

9.26

600.3

Total

87,030

7.41

758.6

EAST ZONE

Lower

Indicated

4,306

2.10

461.7

OUTSIDE MAIN ZONE

Indicated

36,400

7.41

758.6

COMBINED

M&I

127,736

7.23

748.6

MINED (As of August 2006)

17,659

7.41

758.6

MEASURED & INDICATED RESOURCE

110,077

7.20

747.0

INFERRED RESOURCE (East Zone)

31,200

2.10

461.7

GRAND TOTAL

MII

141,277

6.07

684.0