Namibian Resources PLC
25 July 2007


Namibian Resources Plc - 1st Quarter Progress Report


Namibian Resources Plc
25 July 2007


Progress report for 1st quarter period from 1st March 2007 to 31st May 2007.

Production for this quarter was 518.8 carats at an average size of .59 ct/st,
which resulted from sampling, limited mining (in Hannahtal), bedrock sweeping
and reprocessing tailings.


Our sampling programme is nearing completion and a number of mining areas, have
been identified in the South West of our concession. Once the overall sampling
results have been assessed it is proposed to move our DMS plant to a more
central position within these identified resources to reduce trucking distances
and operating costs.


The current work programme is as follows:


(1)      Hannahtal  This small basin was prospected in April and production to
date has been over 350 ct.  The deposit is attractive because of its large
average diamond size (around 0.7 ct/st) and locally good grade.  This resource
however is not large and future mining and bedrock clean-up of the mined area
seems unlikely to produce more than an additional 150 ct.

(2)      Mariannental  Two trenches have been sampled producing consistent
results with diamonds being recovered from throughout the area previously
indicated to be diamond-bearing by historic sampling.  The average diamond size
recovered to date during current sampling (0.43 ct/st) is slightly larger than
the historic sampling size (0.39 ct/st).  A further trench is to be sampled
between the first two trenches.

(3)      Saltztal West  Mining of this deposit was stopped in the first half of
2006 due to excessive water influx.  At that time around 400 ct of the
originally defined resource was considered to remain.  Mining in Saltztal West
had consistently shown a wider distribution of diamonds on the valley floor than
had the original sampling.  Moreover, a sample trench by Sonnberg recovered
diamonds some 200 m further down-valley from the termination of the resource
defined by the historic sampling.  Therefore unquantified resources in addition
to the above 400 ct are considered to be present in the un-mined portion of
Saltztal West.  It is intended to pump out Saltztal West and complete mining of
the deposit.  Pumping is underway from an excavated sump.  A trench has been dug
from the sump to where we ceased mining last year.  Mining will recommence on
this resource as soon as the water has been removed.

(4)      Hannahtal North  This basin lies directly north of Hannahtal over a
rock ridge. A road has been completed for access and the first sample trench
will be taken shortly.

(5)      Saltzpfanne  This is a salt pan north of West Saltztal where our DMS
may be re-sited.  A sample trench has been dug and will be tested shortly for
diamonds before a decision is taken on resiting the DMS there.  It is not felt
likely that diamonds will be present.

(6)      Annatal  The deeper deposits on the west side of upper Annatal are
still affected by underground water following the exceptional rains of Easter
2006.  However, both historic and Sonnberg's sampling has shown that a strip
along the eastern side of upper Annatal is characterised by a good average
diamond size (around 0.4 ct/st) and some moderate to high sample grades.
Additional samples will be taken to better define the extent of this section of
the deposit which is unaffected by water.



Other areas  A promising valley between West Saltztal and the Atlantic is to be
sampled as also are two possible diamond traps south of  the mined out section
of Saltztal East.


All these areas collectively should provide us with a long term mining programme
and we look forward confidently to steady production when the current work
programme is complete.


Since 2004 Sonnberg's strategy has been to concentrate its sampling and mining
activities on the SW portion of its contract area.  The reason is that this area
is characterised by deposits with large average diamond sizes, which strongly
impact on revenues.  The area consists, however, of a series of relatively
small, isolated basins each of which must be separately assessed for its diamond
content.  Historically, the area has only received limited attention compared to
the larger valleys (but with generally smaller diamonds) farther to the north
and east in the contract area.  This has meant that Sonnberg has had to carry
out additional sampling to better define the diamond resources of this area and
identify those sections of the deposits that are suitable for mining.  The
majority of the resources identified and mined by Sonnberg since 2004 have
therefore not been from within the resource statement of that year, the main
exception being the Saltztal West deposit.  The original resource for Saltztal
West was 4,200 ct but this has been substantially exceeded without yet mining
the deposit out.


It can be generalised that to date Sonnberg's sampling and subsequent mining of
the deposits in the SW portion of the contract area typically reveal larger
diamond resources than does the available historical sampling.  An example is
the Hannahtal deposit currently being mined.  The historic sampling of this
small basin produced only one diamond but sampling and mining to date have
produced the results mentioned earlier.





A C A Carlton
Chief Executive Officer



The technical information presented in this report has been reviewed by Dr
Donald G Sutherland of Placer Analysis Ltd, technical consultants to Sonnberg
Diamonds (Pty) Ltd.  Dr Sutherland is a Qualified Person for the purposes of the
AIM Guidance Note on Mining, Oil and Gas Companies dated March 2006.  Dr
Sutherland has BSc and PhD degrees from Edinburgh University and is a Member of
the Institute of Materials, Minerals and Mining.  He has over 30 years
experience in diamond exploration and mining.




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