Update on exploration programs

Kermadec 2007

Neptune Minerals announces that it has discovered a new SMS field, Rumble II, in its 3,800 km² Kermadec Prospecting Licence, PL39-195.

Preliminary investigation of the SMS mineralisation on the Rumble II seamount has discovered sulphide "chimneys" standing up to 13m high and 2m across and many fallen chimney fragments. There are no previous reports of current hydrothermal activity and Neptune has also not encountered any such activity.

Equipment failure on  the SV Geosounder during sampling of the mineralisation has delayed further assessment and definition of the SMS zone. Repairs are ongoing in the port of Tauranga. Neptune will return to Rumble II and continue evaluation of the newly discovered SMS mineralisation and its surrounding areas when repairs are completed. Preliminary results from Kermadec 2007 are now expected in September 2007. The delay in the completion of Kermadec 2007 will not result in any financial cost to the Company.

Marine biologists from New Zealand's National Institute of Water and Atmospheric Research (NIWA) (www.niwa.co.nz) are monitoring exploration operations and will provide an independent baseline enviromental impact assessment.

Colville-Monowai 2007

Neptune announces that it has commenced operations on its third New Zealand exploration program - Colville-Monowai 2007. The specialised fisheries and survey vessel RV Tangaroa, owned and operated by NIWA, mobilsed from the New Zealand port of Wellington on 28th July 2007.

The four-week program will comprise hull-mounted bathymetric (swath) mapping of multiple areas for prospective SMS mineralisation within Neptune's Prospecting Licences PL39-194 (Monowai, 47,000 km²) and PL39-205 (Colville, 13,000 km²).

Neptune has three New Zealand prospecting licences totalling more than 63,000 km². The licences are regulated and administered by the Crown Minerals Department (www.crownminerals.govt.nz/minerals) of the New Zealand Government.

Meteor M73/2

Neptune further announces that it has agreed to participate in a multinational scientific research program on board the German research vessel RV Meteor. That proposed work will include sampling areas covered by Neptune's exploration licence applications in Italy.

The research program will commence on 14th August and end on 30th August. Samples will be collected in prospective areas on the Palinuro, Marsili and Panarea Seamounts utilising the British Geological Survey (BGS) "Rockdrill" and the German "TV Grab", a remotely operated clam shell device. Neptune personnel have been invited on board the vessel to assist in the sampling program and dispatch of samples for assaying.

Neptune's Chief Executive Officer, Dr Simon McDonald, said:

"The discovery of a new area of SMS mineralisation, with no evidence of current hydrothermal activity, validates the geological and exploration methodologies that Neptune has been developing. Our aim is to exploit only inactive SMS fields, so to discover one so early has been particularly encouraging.

"We have made substantial progress in extending our exploration acreage and undertaking detailed works programmes since our listing. At the time of our IPO in October 2005, Neptune had one granted Prospecting Licence in New Zealand and undertook to perform two exploration programs with initial IPO funds.

"By the end of August, Neptune will have granted licences in New Zealand, Papua New Guinea and Micronesia covering a total of 263,000 km² and will have completed three exploration programs in New Zealand and one in Italy. Neptune has a further 326,000 km² under application in eight jurisdictions - all of which underlines our robust pipeline of exploration projects in a broad range of jurisdictions."

For further information please contact:

Simon McDonald (Neptune MD and CEO):                                                     This e-mail address is being protected from spam bots, you need JavaScript enabled to view it

Olly Cairns (Blue Oar Securities Plc, Nomad and Broker):                         T:+44 (0) 20 7448 4400

Sofia Rehman (Cardew Group, PR):                                                               T:+44 (0) 20 7930 0777

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