Stmt re Exploration Licence

7 May 2008 12:06

GCM Resources PLC07 May 2008 7 May 2008 PRESS RELEASE GCM Resources plc GCM AND AURA LOCATES URANIUM MINERALISATION IN ITS NEWLY AWARDED LICENCES IN MAURITANIA GCM Resources plc ('GCM or the Company') (AIM: GCM), in alliance with AuraEnergy Limited ('Aura') (ASX: AEE), is pleased to announce that it has beengranted three uranium exploration licence areas in Mauritania. The licences cover 3600 km2 in Mauritania which is known for uraniummineralisation and multiple radiometric uranium anomalies. Highlights • Uranium mineralisation, in the form of uranium vanadate, has beenobserved in all three licences in seven widely spaced shallow pits at gradesranging from 158 ppm to 3270 ppm U. (from individual 2 kg samples) • The licences contain multiple strongly anomalous uranium channelradiometric zones outlined from airborne surveys ranging in area up to 3.5square kilometres. The mineralised pits lie on five of these anomalous features • The licences cover 3600 km2 in the uranium-bearing Requibat Shield innorthern Mauritania The three newly acquired licences contain strongly anomalous uranium channelradiometric zones ranging in area up to 3.5 square kilometres, defined byairborne surveys. Recent field reconnaissance by Aura within these areaslocated visible uranium mineralisation (uranium vanadate) in each of sevenshallow pits (to 1.2m) on five separate radiometrically anomalous zones. Uraniumgrades associated with visible uranium mineralisation in the pits range from 158ppm to 3270 ppm U, with four of the pits returning assays greater than 2000 ppmU. The limited reconnaissance work to date has not indicated whether the uraniummineralisation extends below these shallow pits. The licences cover predominantly Precambrian granitic intrusive rocks withremnants of meta-sedimentary and volcanic rocks. Drainage channels and calcreteoccurrences occur within the licences and offer sites for uranium concentration. Two of the licences (Oum Ferkik and Oued el Foule Est) have been covered byhigh quality regional airborne radiometric / magnetic survey on 700m spacedlines. Most of the third licence (Ain Sder) has not been covered by thisairborne survey. However, the small portion of the Ain Sder licence which doeshave airborne survey coverage has strong radiometrically anomalous zonesassociated with visible uranium mineralisation. As far as Aura /GCM are aware the areas have had little, if any, previoussystematic exploration for uranium. Mauritania has a developed mining industry,a government supportive of exploration and development and keen to attractforeign investment, and extensive geological, geophysical and geochemicaldatabases. The country was ranked 11th in the world in terms of investment riskin a recently published survey of resource company executives (ahead ofcountries with very active mining industries such as Mexico, Argentina, Brazil,Tanzania). The Aura / GCM Alliance has been actively pursuing opportunities in Mauritania,and has a further 11 applications for uranium exploration licences pending inthe country. Steve Bywater, GCM's Chief Executive commented: ""We are pleased to announce that uranium mineralisation has been observed inall three areas where we have recently received licences for uraniumexploration. We are very positive about this project and the future projects inthe Aura / GCM African Uranium Alliance." Aura / GCM African Uranium Alliance: On behalf of its Uranium Alliance with GCM, Aura has been actively developinghigh quality uranium exploration targets in West Africa since April 2007. TheAlliance brings together the technical uranium experience, targeting andexploration skills of Aura with the project development and mining experience ofGCM. The Alliance is managed and exploration conducted by Aura with fundingprovided jointly by Aura and GCM in cash and in kind. New project specific jointventures between Aura and GCM will be established for these licences under whichGCM will initially solely fund exploration, with Aura retaining the right toparticipate at 30% (or, at Aura's election, lower) interest. Aura Energy Limited is an ASX listed uranium exploration company, very active inevaluating uranium occurrences in Sweden, the Yilgarn Province and GunbarrelBasin in Western Australia, as well as in West Africa. GCM Resources plc is a London based company quoted on the London StockExchange's Alternative Investment Market ("AIM"). The Company is strategicallyfocused on coal and related investments across a range of geographical locationsincluding: South Africa, Bangladesh and China with the aim of sourcing potentialopportunities that offer near return whilst mitigating risk through thedevelopment of a diverse portfolio of assets. GCM's principal activity isdeveloping the Phulbari Coal Project in Northwest Bangladesh. For Further Information: GCM Resources plc: Pelham Public Relations: Steve Bywater Charles Vivian Chief Executive Ph: +44 (0)207 743 6672 Ph: +44 (0)207 290 1630 Email: charles.vivian@pelhampr.com Graham Taggart Klara Kaczmarek Finance Director Ph: +44 (0)203 159 4395 Ph: +44 (0)207 290 1630 Email: klara.kaczmarek@pelhampr.com JP Morgan Cazenove Nominated Advisor Michael Wentworth-Stanley Charlotte Keenan Ph: +44 (0)207 588 2828 Ph: +44 (0)207 588 2828 This information is provided by RNS The company news service from the London Stock Exchange