Rusoro Receives Pre-Feasibility Report on the SREP Project

Rusoso Mining Limited (TSX VENTURE:RML) - A positive Pre-Feasibility Study on
the San Rafael and El Placer (SREP) Project has been received by Rusoro Mining
Ltd. The report was prepared by Whillans Mine Studies Ltd. and includes the
development of a life of mine underground mine model on the currently identified
indicated resources. 


The SREP Project currently has National Instrument 43-101 ("NI 43-101")
compliant resources of 399,000 oz Au Indicated (639,000t @ 19.41g/t) and 523,500
oz Au Inferred (703,000t @ 23.16g/t). The SREP Resource Estimate uses a cut off
grade of 8.0 g/t Au, a minimum width of one metre, a specific gravity of 2.80
g/cm3, and capping of high grade gold assays at 80 g/t Au as detailed in a
report titled "Technical Report on the San Rafael-El Placer and Days Vein
Deposits, Bolivar State, Venezuela" dated October 2, 2008.


The results of the Pre-Feasibility Study conclude that gold can be recovered
economically from the existing indicated resource and that potential exists for
further enhancement of the SREP Project.


Highlights and Conclusions

The following highlights are taken from the summary of the recently completed
pre-feasibility study on the SREP Project by Whillans Mine Studies Ltd.;




--  Completion of a mine plan for the existing indicated resources resulting
    in a Probable Reserve of 1,157,000 tonnes grading 10.1 g/t Au (375,700
    ounces). 
--  The study uses a model where all mined material is processed at the
    existing Choco 10 Mill. 
--  Gold production from the SREP Deposit includes the recovery of a total
    of 319,456 ounces over a six year mine life reaching a peak of 76,000
    ounces in year 2014 at a LOM cost of production of US$324/oz Au. 
--  Mine capital development is estimated at $US 9.8 million, Capital
    Infrastructure and Equipment at $17.3 million, Capital Mine Indirect
    Costs at $14.6 million, and Sustaining Capital at $20.4 million over the
    life of mine (6 years). 
--  Life-of-mine net income after taxes of $US 51.9 million. 
--  Payback is estimated at three years. 
--  At a gold price of $US 950/oz, the Pre-Feasibility Study estimates the
    NPV (8% discount) to be $US 28.2 million with an after-tax IRR of 30%. 



Details of Pre-Feasibility Study 

In July 2009, Rusoro commissioned Whillans Mine Studies Ltd. to provide an
independently generated NI43-101 Compliant Pre-Feasibility Study on the SREP
Project, situated in the El Dorado District of Bolivar State, Venezuela (see
News Release July 20, 2009). Rusoro has been exploring and evaluating the SREP
Project since 2001 drilling more than 177,000 metres and completing a series of
updated resource estimates. 


The SREP Pre-Feasibility Study has designed the operation as an underground mine
using cut and fill method. Significant development was completed as part of the
exploration and evaluation of the SREP mineralized Zones including the
completion of the 1.3km long Alvarez Ramp which reached the mineralized Zones in
Q1 2010. The study envisions using the existing ramp as the primary access for
the mine. Additional surface infrastructure exists and the construction phase is
estimated to be approximately 1.5 years. With the current indicated resource
base the anticipated life of the mine is six years with an optimal extraction
rate shown to be 700 tonnes per day.


Extraction rate chart: http://media3.marketwire.com/docs/rml510.pdf

The Pre-feasibility Study envisages that the SREP Project ores will be processed
at the Company's 100% owned and operating Choco 10 Mill. The mill processes
material by conventional means consisting of, primary crushing, two-stage
milling, cyanide leaching, carbon adsorption and elution, electro-winning and
gold smelting. Total gold recovery is expected to average 87% based on an
average diluted head grade of 10.1 g/t Au over the life of the mine in the
design criteria. The mineral processing costs, including tailings operations and
power, are estimated at $US 13.0/t milled.


Power and water services are readily available on site, as are roads and mine
site infrastructure. 

Capital expenditures are estimated at $US 41.7 million including an expanded
underground fleet, with an additional $US 20.5 million of sustaining capital
injected over the life of the mine.


The Study modeled several potential mine plans using a variety of options for
ramp development providing access for mining of the ore zones. 


Gold production averages approximately 53,000 oz/yr. 

The Pre-Feasibility Study base case valuation assumes a constant gold price of
$US 950/oz over the full project life. Capital and operating costs have been
estimated at an overall accuracy of 20%, which is considered appropriate for a
pre-feasibility study of a mining project of this nature.


The table below shows a summary of the life-of-mine (LOM) cash flow projections
and economic results for the base case considered in the study. 


LOM Estimations ($ millions) - Using $US 950/oz gold



----------------------------------
Item                          $ US
----------------------------------
----------------------------------
Net Production Value        236.44
----------------------------------
Total Capital Expenditure    62.18
----------------------------------
Taxation Payable              9.91
----------------------------------
Net Income after Tax         51.91
----------------------------------
NPV (disc at 8%)             28.15
----------------------------------
IRR (%)                        30%
----------------------------------
LOM (years)                    6.0
---------------------------------
Payback period (years)         3.0
----------------------------------
Cost of Production ($/t)        90
----------------------------------
Cost of Production ($/oz)      324
----------------------------------



The SREP Pre-Feasibility Study used only those resources currently defined as
Indicated and did not include any inferred ounces.


Study Sensitivity 

The results of sensitivity analysis at a discount rate of 8% per year are
summarized in the figure below showing the NPV over a range of 20% above and
below the base case forecasts. Generally speaking, the project shows the most
sensitivity to gold price and metallurgical recoveries, with lower sensitivities
shown to operating costs and capital costs and the lowest sensitivity being to
the BsF to US$ exchange rate.


Study sensitivity chart: http://media3.marketwire.com/docs/2rml510.pdf

Future Development

The Company is continuing with the underground development which is providing
access to the main mineralized zones and allowing for additional sampling.


Greg Smith, Vice-President Exploration stated: "This is verification of the
quality of the SREP Project. The study confirms the existing Indicated Resource
can support a viable mining operation and allows Rusoro to move forward with the
advancement of the Project. We have been developing on the mineralized zone for
two months and have begun to ship material to our Choco Mill for processing.
This work will provide the Company detailed information on the continuity and
metallurgy of the zone."


Detailed Report 

The Technical Report detailing the Pre-Feasibility Study titled "Preliminary
Feasibility Study - NI43-101 Technical Report on the San Rafael and El Placer
Deposits, State of Bolivar, Venezuela" dated May 7, 2010 will be available at
www.sedar.com and on the Company's corporate website at www.rusoro.com


Qualified Person

The Pre-Feasibility Study was prepared by independent consulting company
Whillans Mine Studies Ltd. 


Qualified Person: Mr. Gregory Smith, P.Geo, the Vice-President Exploration of
the Company, is the Qualified Person as defined by National Instrument 43-101,
and is responsible for the accuracy of the technical information contained
within this news release.


ON BEHALF OF THE BOARD OF RUSORO MINING LTD.

George Salamis, President

Cautionary Note Regarding Forward-Looking Statements 

Except for the statements of historical fact contained herein, the information
presented constitutes "forward looking statements". Such forward-looking
statements, including but not limited to those with respect to the closing of
the offering, involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of Rusoro to be
materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Such factors include,
among other risks, risks related to the closing of the offering, as well as
those factors discussed in the section entitled "Risk Factors" in Rusoro's
Annual Information Form dated December 12, 2008 as filed on SEDAR. Although
Rusoro has attempted to identify important factors that could cause actual
results to differ materially, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that such
statements will prove to be accurate as actual results and future events could
differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements.
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