Interim Results

27 September 2006

BISICHI MINING PLC

Interim Results to 30 June 2006

STRONG TURNAROUND IN THE FIRST HALF OF 2006

2005 2004

Profit before interest, taxation and £752,000 £1,631,000
depreciation

Profit before taxation £233,000 £1,060,000

Diluted earnings per share 2.56 p 7.01 p

* Black Wattle Colliery returned to profitability in the Second Quarter

* Continuous Miner overhauled and back in full scale operation

* Washing plant now directly operated by Black Wattle Colliery

* Price increases secured for low phosphorus and domestic thermal products

* Performance underpinned by property investment portfolio

* Cash resources continue to grow

Commenting on the results, Michael Heller, chairman of Bisichi Mining said:

‘With the turnaround in the mine complete, and with the cash resources that we
have available, we are now focussing on the substantial opportunities that
exist for the development of our mining activities in South Africa. With this
in mind, I look forward to the future with confidence.’

END

For further information, please call:

Andrew Heller/Robert Corry, Bisichi Mining PLC 020 7415 5030

Christopher Joll, MJ2 Ltd 020 7491 7776

Chairman’s Review

I am pleased to report that in the six months ended 30 June 2006, Bisichi
Mining made a profit on ordinary activities before interest, taxation, and
depreciation of £752,000 (2005: £1,631,000). As we explained in the 2005 Annual
Report, the 54 percent decrease in profit compared to the same period in 2005
was expected and was a direct consequence of the suspension of the operation of
the Continuous Miner at Black Wattle Colliery for the first three months of
2006, combined with the mining of lower yielding sections. That the first three
months of 2006 were loss-making but the first half was profitable is powerful
evidence of our mine management’s ability to address promptly, and to overcome,
serious issues on the mine.

A number of important events have taken place in the first six months of 2006
which have accelerated the turnaround at Black Wattle. Key among these were the
overhauling of the Continuous Miner to operate in areas of lower seam height;
successfully negotiating an 11 percent price increase for our low phosphorus
product; and securing a 15 percent increase on the price we receive for our
domestic thermal coal.

In the same period, we have also received new order mining rights for the
portions of Black Wattle which we intend to mine by opencast methods, a
substantially cheaper production method than underground mining. The next stage
is to apply for a mining licence from the Department of Minerals and Energy in
order to commence opencast mining in these areas.

We have also taken direct operational control of the washing plant from our
contractors. We believe that this action should see an improvement in the
overall washing plant yield and efficiencies, but given that this process takes
some time, the results of this change will only impact fully in 2007.

Shareholders should be aware that the mine’s fixed price export contract comes
to a conclusion in the second half of 2006. Since the signing of that contract
in April 2004, we have received annual increases in our RBCT allocation. As a
result, we have effectively accelerated by six months what was originally a
three year contract. However, given the volatility of the international coal
price and the strength of the domestic market, we now can take advantage of
opportunities in either market as they arise.

On other matters, we anticipate completing the purchase of the Pegasus Coal
Reserve in the near future; this has been on hold pending the grant of new
order mining rights by the Department of Minerals and Energy, which have not
yet come through. We now anticipate developing the project towards the end of
2007. In the meantime, we are in active discussions with a number of interested
parties to acquire additional coal reserves in South Africa.

Our UK property portfolio, which is managed by London & Associated Properties
PLC, has continued to provide us with a reliable income and has proved our
business strategy by underpinning our performance in the second half of 2005
and the start of 2006. During the period, we completed the sale of the Ritz
site in Bradford which was the subject a Compulsory Purchase Order, and this
has released substantial cash into the company. The portfolio is virtually
fully let.

Finally, I am pleased to report that the Department of Minerals and Energy has
absolved the management of the Black Wattle Colliery for any responsibility for
the fatal accident which occurred in the second half of 2005. The health and
safety of our workers is of utmost concern to us and the event has led mine
management to redouble its efforts to ensure a safe working environment at all
our operations.

As we move into the second half of the year, management’s key challenge will be
to maintain the momentum in our South African mining activities built up during
the second quarter of 2006 and to consolidate the productivity increases at
Black Wattle that have been achieved during the same period. With the
turnaround in the mine complete, and with the cash resources that we have
available, we are now focussing on the substantial opportunities that exist for
the development of our mining activities in South Africa. With this in mind, I
look forward to the future with confidence.

Michael Heller

Chairman

27 September 2006

Bisichi Mining Plc

Consolidated income statement

for the six months ended 30 June 2006

Notes 6 months 6 months Year

ended ended Ended

30 June 30 June 31 Dec

2006 2005 2005

£’000 £’000 £`000

Group Revenue 1 6,101 6,684 13,485

Operating costs (5,870) (5,616) (12,037)

Operating profit before 1 231 1,068 1,448
adjustments

Gains on held for trading 32 12 177
investments

Increase in value of investment – – 2,393
properties

Exceptional items 7 132 124

Share of profit in joint venture 77 70 522

Operating profit 1 347 1,282 4,664

Interest receivable 87 22 76

Interest payable (201) (244) (534)

Profit before taxation 233 1,060 4,206

Income tax expense 2 10 (62) (687)

Profit for the period 243 998 3,519

Profit attributable to equity 276 757 3,256
shareholders

(Loss) profit attributable to (33) 241 263
minority interest

243 998 3,519

Earnings per share 3 2.64p 7.24p 31.15p

Diluted earnings per share 3 2.56p 7.01p 30.19p

Bisichi Mining Plc

Consolidated balance sheet

As at 30 June 2006

Notes 30 June 30 June 31 Dec

2006 2005 2005

£’000 £’000 £’000

Assets

Non-current assets

Value of properties attributable 4 15,607 14,659 15,625
to group

Fair value of head leases 153 343 153

Property 15,760 15,002 15,778

Reserves, plant and equipment 4,430 4,528 5,604

Investments in joint ventures 2,028 1,859 2,519

Other investments 986 376 424

Deferred tax asset 313 219 241

Total non-current assets 23,517 21,984 24,566

Current assets

Inventories 163 161 124

Trade and other receivables 1,965 3,379 4,578

Held for trading investments 662 574 629

Interest derivative 37 81 36

Cash and cash equivalents 3,162 259 488

Total current assets 5,989 4,454 5,855

Total assets 29,506 26,438 30,421

Liabilities

Current liabilities

Borrowings (2,944) (680) (2,382)

Trade and other payables (3,699) (3,961) (4,432)

Current tax liabilities (60) (275) (91)

Total current liabilities (6,703) (4,916) (6,905)

Non-current liabilities

Borrowings (4,319) (5,219) (4,368)

Finance lease liabilities (153) (343) (153)

Deferred tax liabilities (2,523) (2,093) (2,582)

Total non-current liabilities (6,995) (7,655) (7,103)

Total liabilities (13,698) (12,571) (14,008)

Net assets 15,808 13,867 16,413

Equity

Share capital 1,045 1,045 1,045

Other reserves (574) (22) 170

Retained earnings 14,882 12,316 14,606

Total shareholders’ equity 15,353 13,339 15,821

Minority interest in equity 455 528 592

Total equity 15,808 13,867 16,413

Bisichi Mining Plc

Consolidated CASH FLOW STATEMENT

For the six months ended 30 June 2006

30 June 30 June 31 December

2006 2005 2005

£’000 £’000 £’000

Cash flows from operating
activities

Operating profit 347 1,282 4,664

Depreciation 405 349 807

Gain on investments held for – (9) 75
trading

Unrealised gains on investment – – (2,393)
properties

Share of profit from joint (77) (70) (522)
ventures

Hedging (1) 11 82

Share based payment expense 12 11 23

Unrealised gain on investment held (32) 13 (177)
for trading

Decrease (increase) in net current 2,454 (1,551) (228)
assets

Net interest paid (115) (204) (458)

Income tax paid (191) (47) (331)

Cash flows from operating 2,802 (215) 1,542
activities

Cash flows from investing (636) 25 (907)
activities

Cash flow from financing (281) (37) (2,113)
activities

Net increase (decrease) in cash 1,885 (227) (1,478)
and cash equivalents

Cash and cash equivalents at 1 (969) 507 507
January

Exchange adjustment 126 (31) 2

Cash and cash equivalents at 1,042 249 (969)
period end

Cash and cash equivalents

For the purposes of the cash flow statement, cash and cash equivalents comprise
the following balance sheet amounts:

Cash and cash equivalents 3,162 259 488

Bank overdraft (2,120) (10) (1,457)

Cash and cash equivalents at end 1,042 249 (969)
of period

Bisichi Mining Plc

Consolidated STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY

For the six months ended 30 June 2006

Share Translation Other Retained Total Minority Total
reserve earnings
capital reserves interest equity

£’000 £’000 £’000 £’000 £’000 £’000 £’000

Balance at 1 January 1,045 141 91 11,559 12,836 334 13,170
2005

Movement on fair value – – – 32 32 – 32
of derivatives

Other income statement – – – 725 725 241 966
movements

Profit for the period – – – 757 757 241 998

Exchange adjustments – (265) – – (265) (47) (312)

Total recognised – (265) – 757 492 194 686
income and expense for
the period

Equity share options – – 11 – 11 – 11

Balance at 30 June 1,045 (124) 102 12,316 13,339 528 13,867
2005

Balance at 1 January 1,045 141 91 11,559 12,836 334 13,170
2005

Revaluation of – – – 2,393 2,393 – 2,393
investment property

Movement on fair value – – – (58) (58) – (58)
of derivatives

Other income statement – – – 921 921 263 1,184
movements

Profit for the year – – – 3,256 3,256 263 3,519

Exchange adjustments – (85) – – (85) (5) (90)

Total recognised – (85) – 3,256 3,171 258 3,429
income and expense for
the year

Dividend – – – (209) (209) – (209)

Equity share options – – 23 – 23 – 23

Balance at 31 December 1,045 56 114 14,606 15,821 592 16,413
2005

Movement on fair value – – – 37 37 – 37
of derivatives

Other income statement – – – 239 239 (33) 206
movements

Profit for the period – – – 276 276 (33) 243

Exchange adjustments – (755) – – (755) (104) (859)

Total recognised – (755) – 276 (479) (137) (616)
income and expense for
the period

Equity share options – – 11 – 11 – 11

Balance at 30 June 1,045 (699) 125 14,882 15,353 455 15,808
2006

Bisichi Mining Plc

ACOUNTING POLICIES aND NOTES TO ACCOUNTS

The results for the six months ended 30 June 2006 have been prepared in
accordance with International Financial Reporting Standards (IFRS). The
principal accounting policies applied are the same as those set out in the
Financial Statements for the year ended 31 December 2005.

1 SEGMENTAL ANALYSIS 30 June 30 June 31 December

2006 2005 2005

£’000 £’000 £’000

Revenue

Mining 5,556 6,025 12,278

Property 524 539 1,086

Other 21 120 121

__ _
_

6,101 6,684 13,485

__ _
_

Operating profit before
adjustments

Mining 23 823 1,008

Property 198 237 436

Other 10 8 4

__ _
_

231 1,068 1,448

__ _
_

Operating profit

Mining 42 890 1,066

Property 262 395 3,417

Other 43 (3) 181

__ _
_ __

347 1,282 4,664

__ _
_

2 TAXATION 30 June 30 June 31 December

2006 2005 2005

£’000 £’000 £’000

Based on the results for the year:

Corporation tax at 30% (2005: 30%) 45 57 152

Adjustment in respect of prior – – (1)
years -UK

__ _
_ __

Current tax 45 57 151

Deferred tax (55) 5 536

__ _
_ __

Total tax in income statement (10) 62 687

__ _
_ __

3 EARNING PER SHARE

Both the basic and diluted earnings per share calculations are based on a
profit of £276,000 (2005: £757,000). The basic earnings per share have been
calculated on 10,451,506 (2005: 10,451,506) ordinary shares being in issue
during the period. The diluted earnings per share have been calculated on the
number of shares in issue of 10,451,506 (2005: 10,451,506) plus the dilutive
potential ordinary shares arising from share options of 340,055 (2005: 352,471)
totalling 10,791,561 (2005: 10,803,977).

4 PROPERTIES

Properties are included at valuation as at 31 December 2005 plus additions in
the period ended 30 June 2006.

5 FINANCIAL INFORMATION

240 of the The above financial information does not constitute statutory
accounts within the meaning of section Companies Act 1985. Statutory accounts
for the year ended 31 December 2005 which were prepared under International
Financial Reporting Standards, have been delivered to the Registrar of
Companies; the report of the auditors on those accounts was unqualified and did
not contain a statement under Section 237(2) or (3) of the Companies Act 1985.

6 Board approval

These interim results were approved by the Board of Bisichi Mining PLC on 27
September 2006.

7 POSTING TO SHAREHOLDERS

The interim report will be sent to shareholders by mail. Copies are available
at the company’s registered office: 30-35 Pall Mall, London 5LH and may also be
downloaded from the company’s website: www.bisichi.co.uk .

END