Issue of Equity

Alecto Minerals plc / EPIC: ALO / Market: AIM / Sector: Exploration & Development

23 January 2014

Alecto Minerals plc ('Alecto' or 'the Company')

Issue of Equity

Alecto Minerals plc (AIM: ALO), the AIM quoted mining exploration company focusing on West and East Africa, announces the following issues of equity.

Electrum Deferred Consideration

As set out in the notice of the General Meeting on 17 September 2013, Electrum Ltd ('Electrum') have agreed to receive the deferred consideration of £1.25 million through the issue of shares in the Company at an agreed price of 1.58 pence. Therefore, Electrum will receive 79,113,924 ordinary shares in the Company in lieu of deferred consideration. Following the issue of ordinary shares, Electrum will have a holding of 10.2% in the Company.

The deferred consideration relates to the acquisition of the Kossanto Gold Project that was acquired from African Mining & Exploration plc (now Savannah Resources plc) in August 2013 and of which Electrum was the previous owner. This deferred consideration to Electrum was payable no later than 1 February 2014 in either cash or shares or a combination thereof.

Other Issue of Equity

The Company has issued 5,000,000 ordinary shares to Yorkville Advisers as an arrangement fee in accordance with the terms of the equity swap agreement announced on 7 November 2013.

Application for Trading on AIM

Application will be made for the 84,113,924 ordinary Shares to be admitted to trading on AIM and it is anticipated that dealings will commence on 29 January 2014 ('Admission'). On Admission, the Company will have 773,032,699 ordinary shares of 0.01p each in issue ('Ordinary Shares').

Grant of Options

The Company has granted 7,000,000 options to the Chairman, Michael Johnson that are exercisable at 1.58 pence and valid for three years from and exercisable six months after the date of grant being 23 January 2014.

**ENDS**

For further information, please visit www.alectominerals.com or contact:

Mark Jones Alecto Minerals plc Tel: 020 3137 8862

Jonathan Evans Fox-Davies Capital Ltd Tel: 020 3463 5000

Jon Belliss XCAP Securities plc Tel: 020 7101 7070

Abigail Wayne XCAP Securities plc Tel: 020 7101 7070

Elisabeth Cowell St Brides Media & Finance Ltd Tel: 020 7236 1177

Felicity Edwards St Brides Media & Finance Ltd Tel: 020 7236 1177