Company Information for Mercator Gold Plc

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Company Statement

Mercator Gold plc is an AIM-listed exploration and development gold mining company focused on the Meekatharra tenements in the Murchison Province of Western Australia. The Company is now in production following the first commercial gold pour in October 2007. First year target is 120,000 ounces of gold, with probable reserves at 504,000 ounces of gold.

Mercator Gold is incorporated in England and Wales, and listed on AIM in London on 20 January 2006 at an issue price of 60p per share.

Current Operations

Australian Gold Exploration  

Mercator's principal interest is in Australian Gold Exploration at The Meekatharra Properties.

The Company's projects areas form a discontinuous tenement package over an area of approximately 1,932 km2 and extending over a distance of some 200 km of the Meekatharra greenstone belt and peripheral Archaean granites.

The Meekatharra belt is prodigiously mineralised hosting several historically significant gold deposits, most notable the Gibraltar, Great Northern Highway, Bluebird-South Junction and Reedy mines, in addition to the deposits of the Paddy's Flat area. Whilst the Meekatharra area has previously been extensively explored and exploited, Mercator's strategy is to identify and develop geologically driven conceptual targets considered prospective for high grade gold deposits capable of producing at least half a million ounces of gold.  
  
The Company has identified six key project areas

• Yaloginda
• Paddy's Flat
• Meekatharra North
• Reedy
• Nannine
• Stakewell

The remaining project areas are considered to represent regional targets at an early stage of assessment.

Yaloginda
Comprises a coherent tenement holding centred over the former Gibraltar, Bluebird, South Junction and Great Northern Highway mines. Recent exploration has highlighted the high-grade gold potential of the Surprise, Bluebird and South Junction mines and depth extensions beneath the Great Northern Highway open pit.

Paddy's Flat
Centred over the Meekatharra township, some 12km northeast of the Bluebird processing plant. Gold mineralisation is contained along steeply-dipping zones of shearing and faulting between felsic porphyry intrusives and ultramafic-mafic volcanic and intrusive rocks.

Meekatharra North
Lies immediately north and adjacent to Paddy's Flat. Project area is considered to be prospective for large tonnage, low grade oxide gold mineralisation. Recent drilling has confirmed and extended the Maid Marion and Nottingham gold geochemical anomalies.

Reedy
Project area hosts and number of historical gold occurrences, including the significant former South Emu, Triton, Rand, Boomerang, Central and Kurara open pit and underground gold mines. These mines have reported 650,000 ounces of historical production.

Nannine
Hosts the Aladdin, Bailey Island, Caledonian and Nannine Reef gold deposits. Evaluation of the mine workings is planned to determine whether the currently defined mineralisation could be upgraded to meet Mercator's minimum criteria of at least half a million ounces.

Stakewell
Immediately west of the historical Reedy mining centre and includes the former Kohinoor gold mine. Recent drilling encountered narrow zones of moderate grade (3-6g/t Au).

Mercators' exploration strategy in the Meekatharra district is underpinned by the presence of the wholly owned Bluebird processing facility. This infrastructure provides Mercator with a significant opportunity to rapidly develop a number of gold deposits within its Meekatharra Tenements. An independently commissioned report concluded the Bluebird plant was complete and in reasonable to good condition. The replacement value of the plant was estimated at A$29.6 million.

The Company currently has mineral resources of nearly 2m ounces Au.

Geographical Spread

Western Australia

Board of Directors and Key Management

Terrence John Strapp	Non-Executive Chairman
Patrick Aloysius Harford BSc (Hons)	Managing Director
Michael John de Villiers B Comm CPA (SA)	Finance Director
Michael Elias BSc (Hons)	Non-Executive Director
Richard Nicholas Allen	Non-Executive Director
Mark Csar	Exploration Manager

Company Address Peek House 3rd Floor 20 Eastcheap London, United Kingdom EC3M 1EB Telephone: +44 (0)20 7929 1010 Facsimile: +44 (0)20 7929 1015 Email: info[at]mercatorgold.com Website: http://www.mercatorgold.com

Capital AUTHORISED; 200,000,000 ISSUED AND OUTSTANDING; 62,674,911

Year End 30 June

Nominated Brokers Cenkos Securities plc 6.7.8 Tokenhouse Yard London EC2R 7AS Ocean Equities Ltd 3 Copthall Avenue London EC2R 7BH

Nominated Advisors Cenkos Securities plc 6.7.8 Tokenhouse Yard London EC2R 7AS

Broker/Analyst Reports

07/07/07 - Edison Investment
18/04/07 - Edison Investment

Related News

16/10/08 - Mercator Hits The End Of The Line
28/02/08 - Mercator Meets Everyone’s Expectations Except Bloomberg’s
25/09/07 - Mercator Gold Chases Something Bigger As It Pours First Gold
25/04/07 - Mercator Gold Rapidly Approaching Production At Meekatharra

Most Recent Statement

19/12/08 - Corporate Update
14/11/08 - Corporate Update
13/10/08 - Corporate Update
25/09/08 - Mining & Financing Update
23/09/08 - Notifiable Interest - Credit Suisse Securities, Morgan Stanley Securities
19/08/08 - RESIGNATION OF CHIEF OPERATING OFFICER