Issue of Equity & Loan Stock 2012 Conversion

GMA Resources plc

("GMA" or the "Company")

Issue of Equity and Loan Stock 2012 Conversion

Further to the announcement on 26 July 2010, GMA announces that has issued 38,000,000 ordinary shares in the capital of the Company ("Ordinary Shares") for an aggregate subscription price of £475,000 pursuant to subscription agreements ("Subscription Agreements") between the Company and Sahara Gold Limited ("Sahara Gold"), a wholly owned subsidiary of ASCOM Precious Metals Mining S.A.E. ("APM") and Ken Crichton, Interim CEO of the Company and an employee of APM.

The 38,000,000 Ordinary Shares represent the second of four tranches agreed to be subscribed for and comprises a subscription by Sahara Gold for 36,000,000 new ordinary shares of £0.01 each ("Ordinary Shares") and by Ken Crichton for 2,000,000 Ordinary Shares. Pursuant to the Subscription Agreements, Sahara Gold has agreed to subscribe, or procure that members of its group subscribe, in aggregate, for up to 120,000,000 Ordinary Shares at 1.25 pence per share and Ken Crichton has agreed to subscribe, in aggregate, for 8,000,000 Ordinary Shares at 1.25 pence per share. The third and fourth tranches of the Subscription Shares are due to be issued on 21 January 2011 and 21 April 2011, respectively.

In addition, the Company has received an exercise notice in respect of £550,000 nominal of Loan Stock 2012, the 10 per cent. unsecured convertible loan stock 2012, constituted by way of deed poll dated 25 May 2007 and as amended by extraordinary resolution on 26 July 2010. Accordingly, the Company has issued, conditional on admission, 11,000,000 Ordinary Shares equivalent to 1.97 per cent. of the Company's issued share capital, as enlarged, in aggregate, by this issue.

Application has been made to the London Stock Exchange for an aggregate of 49,000,000 Ordinary Shares, to be admitted to trading on AIM ("Admission") and dealings are expected to commence on 21 October 2010.

Following Admission, the Company will have 558,402,894 Ordinary Shares in issue. Accordingly, Sahara Gold will be interested in 117,036,624 Ordinary Shares representing 20.96 per cent. of the issued share capital of the Company and Ken Crichton will be interested in 4,000,000 Ordinary Shares, representing 0.72 per cent. of the issued share capital of the Company.

ENQUIRIES:

Notes to Editors:

GMA owns a controlling 52% stake in ENOR spa ("ENOR"), the Algerian based operating company for the Tirek-Amesmessa project, with the remainder owned by Sonatrach, the Algerian state-owned oil and gas company.

ENOR holds the exploitation authorisation to the Tirek-Amesmessa property, an area of some 1,417 km2, located approximately 450km south west of the city, Tamanrasset, in southern Algeria. Amesmessa is an open pit heap leach gold mine located in the extreme south of the permit area. The now closed Tirek mine site is located centrally in the northern third of the exploration permit area, some 60 km north of Amesmessa. Research to date suggests that the Zita Zone, which lies between Tirek and Amesmessa, offers considerable potential for the development of additional prospects amenable to open-pit mining. GMA plans to quickly expand upon resources outside of the major 80km Tirek-Amesmessa fault north/south of the concession.

GMA's shares are traded on the AIM market of the London Stock Exchange (AIM: GMA).

For further information on the Company, please visit: www.gmaresources.co.uk