Rose Petroleum plc

Start-up of Mill and Flotation Plant & Option to Purchase Agreement on Silver /Gold Prospect


VANE Minerals Plc (the "Company") and its 100% owned Mexican subsidiary, Minerales VANE SA de CV, are pleased to announce the startup of its 120 tonnes per day mill/flotation plant located at San Dieguito de Arriba, some 30 km NNW of the Company's underground Diablito silver/gold mine.

As a result of operating its own mill, the Company has been able to reduce the ore cut off grade at the Diablito mine and there is now over 15,000 tonnes of ore stockpiled awaiting processing. It is planned to utilize the lower grade material first in the 2 to 4 week start up period during which the mill will be fine tuned to optimize recovery.

An "Option to Purchase Agreement" on the Bonanza silver/gold prospect, located 15 km SE of the mill at San Dieguito de Arriba has been finalized. The blocked portal has been reopened and underground sampling of the steeply dipping quartz vein is in progress to confirm old rib sampling which indicated approximately 18,000 tonnes of readily available vein material between the surface and the 355 metre elevation. Historic data available to the Company indicate the vein material sampled and drilled by Industrias Peňoles S.A. de C.V. in 1986 averaged 350 g/T Ag and 3.0 g/T Au. The vein material appears to be ideally suited for supplemental feed to the mill in San Dieguito de Arriba.

Dependent on the confirmation of the old sample results, a drilling program to confirm and expand this potential resource will be initiated in Q1 2008. The agreement consists of staged payments up to April 2009 and can be terminated by the Company at any point with no further payments required