11 October 2012 Beacon Hill Resources Plc / ASX: BHU / AIM: BHR / Sector: Mining Beacon Hill Resources Plc (Beacon Hill or the Group) Appointment of Managing Director and Board Changes HIGHLIGHTS * Rowan Karstel appointed as Managing Director, Coal Division.

Proposed to join the Board as Group Managing Director following an interim period, with the operational management team located in Southern Africa * Rowan Karstel has over 20 years experience in the coal industry having worked for BHP Billiton, Xstrata and Optimum Coal in South Africa and around the world * Justin Lewis, Executive Chairman to revert to a non-executive role by year end following this appointment * David Premraj joins the Board as a representative of the Consolidated Group of companies, a significant shareholder of the Group * The Board further intends to finalise the appointment of a non-executive director with experience in the coal industry prior to year end Justin Lewis Chairman of Beacon Hill commented: "We are delighted to welcome Rowan Karstel who brings a wealth of coal industry experience to the Group.

His appointment represents a significant step in the development of Beacon Hill as we look to complete the Phase II expansion and commence the production of coking coal.

Rowan will take over day to day responsibility for the Groups operations, and with the operational management team now solely located in Southern Africa, I will revert to a non-executive role by year end.

Additionally, David provides board representation for one of our larger shareholders as well as bringing debt funding expertise.

The Board is in the final stages of identifying a further non-executive director with coal industry experience and we intend to make an appointment prior to the end of the year." MANAGING DIRECTOR APPOINTMENT The board of Beacon Hill is pleased to announce the appointment of Rowan Karstel as Managing Director, Coal Division of Beacon Hill.

Rowan, who will be based in Johannesburg, will be responsible for the operations of the Groups Coal Division, reporting to the Board.

This appointment follows the expansion of operations at Minas Moatize with the commencement of the Phase II expansion and the Boards decision that senior executive management should be based in Southern Africa at this crucial stage of the development of Minas Moatize. Following an initial period it is intended that Rowan join the board of Beacon Hill as Group Managing Director with overall responsibility for the Groups operations. In addition, in consultation with its major shareholders, the Company is pleased to announce that it has today appointed David Premraj as a non-executive director and having commenced a search for a seasoned coal industry executive to serve as an additional non-executive director, intends to make a further appointment before the end of the year.

Following the appointment of Rowan Karstel, Justin Lewis will revert to a non-executive role. Rowan Aubrey Karstel, aged 50, joins from Keaton Energy Limited, a Johannesburg listed thermal coal producer.

Prior to Keaton, Rowan was Chief Project Development Officer at Optimum Coal Holdings where he was responsible for the development and execution of Optimum Coals project pipeline prior to the Companys acquisition by Glencore International plc. Rowan, a professional engineer who holds bachelors degrees in mining and civil engineering, a MSc in mineral economics and an MBA, began his career in deep level gold mining before moving to coal mining where he worked for 20 years both in South Africa and internationally in various capacities for BHP Billiton, and subsequently at Xstrata Coal as General Manager: Technical Services and Business Development.

Prior to joining Optimum Coal he was Director : Business Development for Mmakau Coal. David Premrajs family is a significant shareholder of Beacon Hill through the interests of the Consolidated Minerals and Asia Carbon Pacific Groups, which together hold a 13.48% interest in the Company.

Mr.

Premraj, aged 29, is currently responsible for Corporate Development at Beacon Hill and has previously held roles at Macquarie Bank Limited.

Mr.

Premraj holds a Bachelor of Commerce and a Bachelor of Science from the University of Melbourne. OTHER INFORMATION David Premraj: Current Directorships David Premraj is not currently a director of any other company. Holdings in the Company Mr.

Premraj personally holds 750,000 Ordinary Shares in the Company and his family, has an interest in shares held by Consolidated Minerals Pte Ltd, Asia Carbon Pacific Pty Ltd and Consolidated Resources Pte Ltd. Shareholder Ordinary Shares % Voting Rights (excl.

warrants) David Premraj 750,000 0.07% David Premrajs family interests Consolidated Minerals Pte Ltd 85,066,751 8.09% Asia Carbon Pacific Pty Ltd 53,579,805 5.10% Consolidated Resources Pte Ltd 2,320,000 0.22%
**ENDS** For further information, please contact:
Beacon Hill Resources Plc
Justin Lewis, Chairman +61 3 9627 9910
Canaccord Genuity Limited (Nominated Adviser)
John Prior / Sebastian Jones +44 20 7523 8350 St Brides Media & Finance (UK Media Enquiries)
Susie Geliher () / Elisabeth Cowell () +44 20 7236 1177
NOTES Beacon Hill Resources Beacon Hill Resources Plc is focused on building a portfolio of near-term production projects in commodities relating to the steel production industry.

Beacon Hill is dual listed on the AIM market of the London Stock Exchange (Code: BHR) and the Australian Securities Exchange (Code: BHU). Beacon Hill has three projects: 1.

Minas Moatize Project, Mozambique 2.

Changara Coal Project, Mozambique 3.

Arthur River Magnesite Project, Australia Minas Moatize Project Beacon Hill, through its subsidiary Minas Moatize Limitada, owns and operates the Minas Moatize Coal Mine, which is one of three operating coal mines producing and selling coal in the Tete Province of Mozambique. In February 2012, Beacon Hill published the DFS for the Minas Moatize Expansion, which demonstrated strong economics for the project.

Financial modelling, based on a 4Mtpa ROM operation producing on average 2.2Mtpa of saleable coking and thermal coal using a 13% discount rate, demonstrates a pre-tax NPV13 of US$662 million and a post-tax NPV13 of US$428 million. The Minas Moatize Expansion is being undertaken in three phases: Phase Timing Description Transport ROM (Mtpa) Phase I Current Current operations (Phase I CHPP) Road 0.6 Phase II H2 2012 Expansion of Current Washplant (Phase II CHPP) Road or Rail* 1.8 Phase III H2 2014 New Life of Mine Washplant (Phase III CHPP) Rail / Road 4.0 *Rail will be used when available.

Existing trucking operation will be sufficient to transport Phase II production Changara Coal Project Beacon Hill acquired majority ownership in a joint venture to explore and develop the Changara Coal Project in the Tete Province of Mozambique in December 2011.

The Changara Coal Project covers a licence area of 184km2, which is 70 times the size of Minas Moatize.

The project is located in the heart of the highly prospective coking coal basin of the Songo Area of the Tete Province. The joint venture is a further step in Beacon Hills wider expansion strategy in the globally significant coking coal region of Tete and will provide the Group with an opportunity to invest in a longer term development project that has the potential to considerably enhance its resource base. Arthur River Magnesite Project Beacon Hill has recently completed the Preliminary Scoping Study for the Arthur River Magnesite Project in Tasmania, Australia.

The Study has indicated that the Project has robust financial potential and provides a strong platform to move forward towards a full Feasibility Study and securing a joint venture (JV) and / or off-take partner to fund the development of the Project. Financial modelling, using a discount rate of 10% (real), demonstrates a pre-tax NPV of A$42 million based on a mine life of 17 years and a 292,000dtpa ROM operation producing on average 100,000tpa of calcined magnesia. More details on Beacon Hill can be found at www.bhrplc.com. Competent Persons Statement The Competent Person for reporting of coal resources, Peet Meyer of PC Meyer Consulting Pty Limited, who is a member of the Geological Society of South Africa (GSSA) and the Fossil Fuel Foundation.

Peet Meyer has more than 21 years experience in the southern African coal industry of which he has spent more than 5 years in the Mozambique Coalfields.

He has the appropriate relevant qualifications and experience to be considered as a Competent Person as defined in the Standards on Mineral Resources and Reserves - Definitions and Guidelines (2004). The Competent Person for reporting of coal reserves, Mr.

Simon Griffiths, who is a Member of The Australian Institute of Mining and Metallurgy (AusIMM) and Society for Mining, Metallurgy, and Exploration, Inc.

(SME) has sufficient experience which is relevant to the style and mineralisation and type of deposit under consideration and the activity to which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. The Coal Resources and Reserves are reported in compliance with the guidance as defined in Appendix 5A of the ASX Listing Rules being the Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves (the JORC Code), 2004 Edition. Mr Meyer and Mr Griffiths have consented to being named as the authors of the Resource and Reserve Statements respectively in this announcement. Forward Looking Statement Certain statements made during or in connection with the communication, including, without limitation, those concerning the economic outlook for the coal mining industry, expectations regarding coal prices, production, cash costs and other operating results, growth prospects and the outlook of Beacon Hill operations, its liquidity and the capital resources and expenditure, contain or comprise certain forward-looking statements regarding Companys development and exploration operations, economic performance and financial condition. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct.

Accordingly, results could differ materially from those set out in the forward-looking statements as a result of, among other factors, changes in economic and market conditions, success of business and operating initiatives, changes is the regulatory environment and other government actions, fluctuations in coal prices and exchange rates and business and operational risk management.

For a discussion of such factors, refer to the Companys most recent annual report and half year report.

The Company undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after todays date or to reflect the occurrence of unanticipated events.
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