Issue of shares and warrants

6 Oct 2005 13:31

Mercator Gold PLC06 October 2005 FOR IMMEDIATE RELEASE 6 October 2005 MERCATOR GOLD PLC ("MERCATOR" or the "Company") Issue of Shares and Warrants Directors' Dealings and Shareholdings Further to the underwritten offer for the early exercise of 8p warrants (the"Warrants") and the issue of additional Warrants approved by Shareholders andWarrantholders on 30 August 2005, (the "Offer"), the Company announces the issueof new ordinary shares of 1p each (the "New Ordinary Shares") and Warrants.Applications were received for the exercise of 2,561,906 Warrants and under theterms of the Offer, the underwriters, Newland Resources Limited, will take upthe remaining 9,938,094 Warrants, making the total number of Warrants exercised12,500,000 and raising a total of £1,000,000 for the Company before expenses. Also under the terms of the Offer, 12,500,000 warrants at 10p expiring 7November 2006 (the "Additional Warrants") were issued. Application will be made for the 2,561,906 New Ordinary Shares as subscribed forunder the Offer to be admitted to trading on AIM ("Admission"), and theremaining New Ordinary Shares taken up by Newland Resources Limited will beapplied for separately on completion of the underwriting formalities. TheAdditional Warrants are not to be admitted to trading on AIM and it is not theintention of the Company to make application for them to be so admitted. The Directors' Shareholdings further to: - the exercise of all of its Warrants by the Vearncombe Superannuation Fund;- the exercise of all of his Warrants by Michael de Villiers; and- following Admission will be as follows: Number of Percentage of Ordinary Shares Enlarged Share Capital Terence Strapp 200,000 0.22 Patrick Harford 16,500,100 18.39 Michael de Villiers 1,270,000 1.41 Julian Vearncombe 1,800,000 2 Susan Vearncombe 1,800,000 2 Michael Elias 172,475 0.19 Richard Allen - - Paul Loudon 2,241,465 2.49 For further information, please contact: Patrick Harford Tel: 0207 929 1010Managing DirectorMercator Gold Roland Cornish Tel: 0207 628 3396ChairmanBeaumont Cornish This information is provided by RNS The company news service from the London Stock Exchange