GIP Gippsland

RNS Number:9749Z
Gippsland Limited
22 June 2004


22 June 2004

Gippsland Limited ("Gippsland" or "The Company")

NINE NEW GOLD, COPPER, NICKEL PROJECTS IN EGYPT

Gippsland is pleased to announce that it has been granted by the Egyptian
Government the rights to explore eight gold areas and one copper-nickel area in
the Wadi Allaqi region of Egypt.

His Excellency Dr Sa'aidi, Egyptian Minister of Industry and Technological
Development, chaired the public signing ceremony which took place in Cairo on 21
June 2004. The event is a major milestone for the Egyptian resource industry and
the Company as the Wadi Allaqi area is considered to have been a significant
source of the gold produced within Egypt during the Pharaohic period.

The Wadi Allaqi district is located in the south-western part of the Eastern
Desert of Egypt covering an area of about 12,000km(2). The area, which is
bounded to the west by Lake Nasser and to the east by the Red Sea, is readily
accessible by a bitumen road.

Within the Wadi Allaqi district about 19 historical gold occurrences and
deposits are known, most of which were superficially mined by the ancient
Egyptians and Romans. A small number of the deposits were mined by the British
during the late 1800s and early 1900s. The historical mining was focussed
entirely on the near-surface high grade quartz veins and the associated alluvial
gold.

Evidence of the historical mining activity is clearly seen in stoped out quartz
veins at shallow depths by means of shafts and adits. Waste dumps and tailing
are present at a number of these deposits indicating that they were sites of
significant mining activity. Apart from limited regional exploration during the
1960s and 70s under the auspices of the United Nations there has been no
exploration or mining since the early 1950s when Egypt became a republic.

The nine (9) areas, each 16km2 in area, awarded to Gippsland are:

GOLD - Umm Garayat, Koleit Umm Qurayyat, Nile Valley Block A, Nile Valley Block
E, Seiga, Umm El Tuyer, Haimur, Umm Shashoba.
COPPER/NICKEL - Abu Swayel.

The geology of the Wadi Allaqi region comprises the most southerly part of the
Late Precambrian Arabian Shield and contains a northwest and west trending belt
of metasedimentary and metavolcanics schist, ophiolites and gabbro/granite
complexes which are overlain unconformably by Nubia Group sandstones of Upper
Cretaceous age.

Under the agreement executed, Gippsland, via its 100% owned United Kingdom
registered subsidiary Nubian Resources PLC shall explore the areas over a four
year period during which time any of the Exploration Licences can be converted
to Mining Leases should a viable resource be delineated. A non-binding
exploration programme has been agreed for year one and may be varied as
exploration proceeds. Exploration in subsequent years will be determined and
dependent upon progressive exploration results.

Upon the discovery of a viable resource in any or all of the nine Exploration
Licences, Nubian Resources PLC shall establish a 50:50 Joint Venture with the
Egyptian Geological Survey Authority (EGSMA) to undertake exploitation of such
resources. The terms and conditions of the Joint Venture have been agreed to and
make allowance for Nubian Resources to manage all exploration and subsequent
exploitation stages of the project.

Subject to representing the best interests of Gippsland shareholders and at the
appropriate time it is the Directors intention to admit Nubian Resources to AIM
(London Stock Exchange) whilst seeking to retain a substantial interest so as
not to distract from the development of the existing Abu Dabbab and Nuweibi
projects.

Gippsland Chairman Jack Telford stated "We are very honoured to have been
granted first choice of targets within Wadi Allaqi, an area in which our
geologists have delineated numerous and quite obvious drilling targets. Seven of
the eight gold Exploration Licences cover historical gold mining workings which
is clearly a most attractive element of this new project".

Gippsland is currently finalising a bankable feasibility study for the Company's
40Mt Abu Dabbab tantalum project also located within the Eastern Desert of
Egypt. Gippsland directors believe that Abu Dabbab together with the nearby 98Mt
Nuweibi tantalum deposit, have the potential to become the world's largest
single supplier of tantalum. The bankable feasibility study is scheduled to be
completed during July 2004.

For further information please contact:

Jack Telford
Gippsland Limited
Tel: +61 (0)418 911 928
jtelford@gippslandltd.com.au
www.gippslandltd.com.au

Leesa Peters/ Laurence Read
Conduit PR
Tel: +44 (0)20 7936 9095
Fax: +44 (0)20 7936 9100
laurence@conduitpr.com

Bill Sharp
Hoodless Brennan & Partners Plc
Tel: +44 (0)20 7610 8565
Fax: +44 (0)20 7538 1625
bill.sharp@hoodlessbrennan.com



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