Mine Construction Commenced

RNS Number:0173E
Van Dieman Mines plc
19 September 2007

                              VAN DIEMAN MINES PLC

                     Mine Site Construction Works Commenced

                First production from clean-up plant: September

Van Dieman Mines plc ("Van Dieman" or "the Company"), the AIM listed mining
company which is developing 100% owned tin and sapphire mines in Tasmania,
announces that the start-up construction works has commenced at the Company's
Scotia mine site. The first production of tin, sapphire and gold is expected to
flow from the Company's central concentrate clean-up facility in mid to late
September with ramp up to full production from the Scotia mine planned for
around year end.

Road works being undertaken at the Scotia mine site in accordance with the Parks
and Wildlife 'Reserve Activity Assessment' permit are advancing ahead of
schedule. Delivery of the remaining items of earthmoving equipment, the CAT 740
Articulated Dump Trucks, has been made to the Caterpillar agent's facility in
Launceston Tasmania. The full Scotia earthmoving fleet is now assembled at the
Caterpillar agent's facility and, following fitting of fire suppression systems,
radios and safety equipment deployment to the Scotia mine site will commence.

Van Dieman has appointed Link Securities (Australia) of Launceston, Tasmania as
security advisors. Link Securities will provide advice on site security and will
co-ordinate secure shipment of the Company's mineral (gold and sapphire)
production. Mr. Adrian Medwin, principal, has over 17 years experience in the
provision of industrial, corporate and commercial asset protection.

Van Dieman Mines Managing Director, Mr. Clive Trist commented:

"We are now making excellent progress on the ground after the long and
frustrating delays in achieving permitting. The commencement of the roadworks
and the delivery of earthmoving machinery are a major step towards production
start-up".

                                                              19 September, 2007

ENQUIRIES:

VAN DIEMAN MINES plc                  Tel: [phone]
Clive Trist, Managing Director        Email: [e-mail]

GRANT THORNTON CORPORATE FINANCE      Tel: [phone]
Fiona Owen

FOX DAVIES CAPITAL LIMITED            Tel:  [phone]
Richard Hail, Corporate Finance

BANKSIDE CONSULTANTS                  Tel: [phone]
Michael Padley / Libby Moss

Background on Van Dieman (AIM: VDM)

VDM is in the process of developing its alluvial tin, sapphire and accompanying
mineral deposits in the northeast of Tasmania, Australia where it owns 15
exploration and retention licenses. Exploration and development planning consent
is now complete for VDM's Scotia tin and sapphire mine which is scheduled to
move to first production later this year. When in full production the Scotia
Mine will produce annually an estimated 700 tonnes of tin and 1.5 million carats
of mine rough gem quality sapphire. Thaisarco, the Thai tin smelter and refiner,
has agreed to take the Company's entire expected tin concentrate output of
1,350-1,500 tonnes contained tin per year once both the Scotia and Endurance
mines are in production. Agreements are also in place for the marketing of the
sapphire and spinel production.

'Parks and Wildlife' - the Department of Parks and Wildlife is a division of the
Department of Tourism, Arts and the Environment (DTAE). Parks and Wildlife are
the lands managers of Scotia mine site area.

A 'Reserve Activity Assessment' (RAA) is the Departmental format required to be
completed by the Company and subsequently approved and permitted by the
Department prior to the commencement of site works within the Parks and Wildlife
reserve at Scotia.

The technical content of this press release has been reviewed by a Director of
Van Dieman Mines plc, Neil Kinnane, who has over 40 years experience in geology,
exploration and mining and is a Fellow of the Australasian Institute of Mining
and Metallurgy (AusIMM), Chartered Practising Geologist, Member of Geological
Society of America, Member of Geological Society of Australia, a recognised
professional association.

ENDS



                      This information is provided by RNS
            The company news service from the London Stock Exchange

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