Kemin Resources Regulatory News (KEM)

GMA Resources plc

("GMA" or the "Company")

Trading Update

Further to the production update for the first quarter of 2010, which was announced on 12 April 2010, GMA announces that its management team, led by acting Chief Executive Officer, Ken Crichton, has now completed its review of the Company's existing operations at the Amesmessa mine and provides the following trading update.

The Board has concluded that GMA's long term success will depend upon the expansion of its carbon in leach ("CIL") capability to achieve economic levels of gold recovery. The existing heap leach operation at the Amesmessa mine has, over the last two years, only recovered 45 per cent. of the gold from ore crushed and placed on the heap leach stockpiles as compared with target recovery rates of approximately 70 per cent. As an immediate response to this situation, a small CIL plant from the Tirek site has been relocated to Amesmessa and is currently being commissioned, however, completion of the commissioning has been slower than anticipated and is now expected by early June. This plant is expected to produce 1,200 oz of gold at full capacity using up to 5,000 tonnes of ore feed per month. The Board expects that combining the existing heap leach operation and the Tirek CIL plant will produce an overall gold recovery of up to 50 per cent.

The underperformance of the existing heap leach operation has continued to drain the Company's cash resources, as gold production levels have not been sufficient to meet ongoing operating costs.

The Company currently has sufficient cash to meet its operating obligations until the end of June. The Board is in discussions with potential investors, including existing shareholders, to secure immediate working capital, funds to meet interest payments due to holders of bonds currently in issue and significant additional funding to expand the Company's CIL capability. The immediate capital raising is intended to provide sufficient working capital for the Company's operations until a new CIL plant is operational.

A further announcement will be made in due course.

Enquiries:

Notes to Editors:

GMA owns a controlling 52% stake in ENOR spa ("ENOR"), the Algerian based operating company for the Tirek-Amesmessa project, with the remainder owned by Sonatrach, the Algerian state-owned oil and gas company.

ENOR holds the exploitation authorisation to the Tirek-Amesmessa property, an area of some 1,417 km2, located approximately 450km south west of the city, Tamanrasset, in southern Algeria. Amesmessa is an open pit heap leach gold mine located in the extreme south of the permit area. The Tirek gold mine is located centrally in the northern third of the exploration permit area, some 60 km north of Amesmessa. Research to date suggests that the Zita Zone, which lies between Tirek and Amesmessa, offers considerable potential for the development of additional prospects amenable to open-pit mining. GMA plans to quickly expand upon resources outside of the major 80km Tirek-Amesmessa fault north/south of the concession.

GMA's shares are traded on the AIM market of the London Stock Exchange (AIM: GMA).

For further information on the Company, please visit: www.gmaresources.co.uk