ALO.L Regulatory News (ALO)

Alecto Minerals plc / EPIC: ALO / Market: AIM / Sector: Exploration & Development

28 July 2014

Alecto Minerals plc ('Alecto' or the 'Company')

Conversion of Convertible Loan Note

Alecto Minerals plc (AIM: ALO), the AIM quoted mineral exploration company focused on West and East Africa, announces that Savannah Resources plc ('Savannah'), an existing substantial shareholder in the Company, has elected to convert its £350,000 7% convertible loan note, due 3 October 2014 ('Convertible Loan Note'), in full, together with accrued interest, into, in aggregate, 32,045,742 new ordinary shares of 0.01 pence each in the capital of the Company ('Ordinary Shares') at the conversion price of 1.15 pence per Ordinary Share, representing a 35 per cent. premium to the closing share price on 25 July 2014.

Further details of the Convertible Loan Note were set out in the Company's announcement and circular, both dated 17 September 2013.

Orderly Market Provisions

Under the terms of the conversion, Savannah has agreed that it shall not, at any time prior to 4 October 2014, make any transfer or disposal of the new Ordinary Shares except through the Company's broker and that any such transfer or disposal shall be effected in accordance with the reasonable requirements of the Company so as to ensure an orderly market is maintained in the Company's Ordinary Shares.

Application for Trading on AIM and Total Voting Rights

Application has been made for the abovementioned 32,045,742 new Ordinary Shares to be admitted to trading on AIM ('Admission'). Admission is expected to become effective and dealings to commence at 8.00 a.m. on 31 July 2014. On Admission, the Company will have 825,078,441 Ordinary Shares in issue.

The Company has no Ordinary Shares held in treasury. Accordingly the above figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure and Transparency Rules.

Following the conversion, Savannah will be interested in 173,784,872 Ordinary Shares, representing approximately 21.06 per cent. of the Company's enlarged issued ordinary share capital.

**ENDS**

For further information, please visit www.alectominerals.com or contact:

Notes to editors:

Alecto Minerals plc is an African focussed, gold and base metal exploration company quoted on AIM.

The on-going development of the Kossanto Project in Mali is the Company's predominant focus and with significant value upside potential evident across the tenure, the Board plans to build on the existing independent inferred resource estimate of 247,000 oz Au for Gourbassi reported in accordance with the guidelines of the JORC Code (2012).

The Kossanto Project is located in the centre of the Kenieba inlier in western Mali. The Kenieba inlier is a block of ancient greenstones and granites hosting many significant gold deposits in Senegal and Mali, making it one of the most important gold regions in Africa. The 207 sq. km. Kossanto Project currently comprises the Gourbassi and Massakama target areas located in the west of the licence area, where large-scale artisanal activity is occurring.

Alecto also has a joint venture with Centamin plc over two prospective gold exploration licences in Ethiopia, under which Alecto retains exposure to such assets with no capital expenditure obligations, as well as the wholly owned Wad Amour IOCG Project in Mauritania which is at an exploration stage. Combined, these projects provide the Company with a strong, diversified portfolio with exciting exploration upside potential.