AGM Statement

9 Mar 2006 12:07

Eastern Mediterranean Res. Pblc LD09 March 2006 AIM: EMED 9 March 2006 ANNUAL GENERAL MEETING The Directors of Eastern Mediterranean Resources ("EMED" or "the Company") arepleased to announce that at its annual general meeting held today all proposedresolutions were duly passed. Set out below is Gordon Toll, Chairman of EMED's formal address given at themeeting, and a review of EMED's progress since its formation on 17 September2004. - Ends - For further information contact: Eastern Mediterranean Resources Nabarro Wells Parkgreen CommunicationsHarry Anagnostaras-Adams David Nabarro / Richard Justine Howarth / Swindells Ana Ribeiro+357 9945 7843 +44 (0) 20 7710 7400 +44 (0) 20 7493 3713www.emed-resources.com www.emed.tv Welcome everyone to EMED's inaugural AGM since its formation on 17 September2004. I would now like to give you my formal address and in doing so review theCompany's progress to date and look at the year ahead and beyond. A corporate overview of the period since EMED's formation is as follows: • A small team moved to Cyprus in January 2005 to establish the headquarters and a project office; • Cyprus is an excellent base for the group given its legal systems and its professional services; • We formed a highly experienced exploration team, with a blend of local and international expertise; • We immediately started diversifying the portfolio into three zones within EMED's area of interest; • The Company raised a net £1.8 million at its IPO in London in May 2005; • There was net cash of £0.9 million as at 31 December 2005 and £2.2 million today after accounting for a share placement to professional investors last week; • EMED's market capitalisation on AIM in London has grown from £4 million at the IPO price of 8 pence per share in May 2005 to £9 million at 12.5 pence per share which is the price we have just placed new shares at; • The commodity markets are strong and EMED has firm support to pursue its mission. EMED is focused on establishing a profitable mining house by discovering orbuying copper or gold deposits in this prolific and under-explored region usingmodern technology and an experienced team. An operational overview of the period since EMED's formation is as follows: • EMED established its initial exploration portfolios in three prospective zones (Cyprus/Middle East, Caucasus and Eastern Europe) within six months of listing on AIM in May 2005; • In Cyprus, initial drilling intercepted significant alteration with disseminated copper mineralisation at the North Alestos prospect, typical of that on the periphery of a Cyprus-style copper deposit; • In the Caucasus, EMED acquired 80% of the Zopkhito and Lukhra gold prospects in Georgia, which contain Russian resources of 2 million ounces of gold. EMED also acquired 50% of the Artana copper prospect with Russian resources of 265,000 tonnes of contained copper; and • In Slovakia, there have been encouraging initial geochemical results and we have identified areas highly anomalous in gold at Zlatniky and at Hodrusa in Slovakia. In summary, EMED has made wise use of its initial capital resources, has maderapid progress over its first year and now has the momentum it needs to advancethe exploration portfolio during 2006. We have been pleased with the numerousexploration opportunities in our region of interest and we are confident thatour strategy and business model is appropriate for this region and this periodof time in the commodity markets. The Year Ahead I regard the period to date as EMED's "Chapter One". So what do we aim toachieve in "Chapter Two"? The Company's fundamental purpose is to generate wealth for its shareholders ina responsible and appropriate manner. EMED has recently positioned itself tobuild further value in the year ahead: • The team has been expanded by the appointment of three experienced exploration managers to head up each of the three zones. The three portfolios will evolve as results warrant; • Capital has been expanded by last week's financing, to underpin current programs to the latter half of 2007; • EMED has a healthy set of opportunities already on the books for field work during the coming year and also has other synergistic opportunities under examination; • In Cyprus, the main goal is to drill-intersect an economic copper deposit within the large copper-mineralised system at North Alestos recently identified by ground geophysics and scout drilling; • In the Caucasus, the main goal is to verify by trenching, drilling and other activities in the field the Russian resources acquired in the recently announced Georgian gold and copper projects; and • In Slovakia, the main goal is to locate significant shallow gold and copper mineralisation by scout-drilling in areas recently identified from our geochemical surveys. Success in any one of our three regions could potentially add considerable valueto EMED as a whole. As a closing comment I would like, on behalf of the Board and of allshareholders, to express our sincere appreciation to the dedicated and hardworking team at EMED. The Company has committed itself to a very challengingmission: to establish a profitable mining house. This takes a huge effort,continual consultation with all relevant stakeholders and great determination.The Company is privileged to receive the support of many stakeholders: thecommunities where we operate, our partners here in Cyprus, our partners inGeorgia, the governments and public servants in the seven countries where wehave licences and there are many other supporters. We at EMED take our responsibilities very seriously and we welcome engagementwith any interested party with any opportunity or indeed any concern. Pleasetreat us as a serious citizen determined to contribute to the region for thelong term wherever we are welcome and can add value. Copies of this address have been posted onto the website as are all publicstatements that we make. I thank you for your attention and look forward to seeing you at these eventsfor many years to come. This information is provided by RNS The company news service from the London Stock Exchange