NZ GOLD/COPPER PROJECTS

Mercator Gold PLC
04 November 2004



                                  NEWS RELEASE

               LARGE GOLD-COPPER DEPOSITS TARGETED IN NEW ZEALAND

                  GEOPHYSICAL PROGRAM COMMENCES AT MEEKATHARRA

LONDON - 4 November 2004 - Mercator Gold plc ('AIM-MCR') announces it has lodged
prospecting permits totaling approximately 2,800 sq km in the North Island of
New Zealand over areas prospective for the discovery of large, high-grade
gold-copper deposits.

Mercator has a 100% interest in the application areas, which were selected by
the company's technical team led by Drs Susan and Julian Vearncombe, who have
considerable exploration experience in New Zealand at a technical and academic
level.

'Globally, mafic-hosted volcanogenic gold-copper systems have received less
exploration than they deserve,' said Mercator's exploration director Julian
Vearncombe. 'Deposits currently being mined of this type range in tonnage from 1
to 55 million tonnes and are attractive to a growing exploration company because
of the gold-copper association and high grades.'

New Zealand has been identified by Mercator as a major growth area for
exploration and the discovery of new economic deposits, particularly in those
areas where bonanza mining took place in the late 1800s and which are being
successfully re-explored with modern techniques, e.g. Macraes Flat and Waihi.
The current applications are the first steps by the company in accumulating a
second significant exploration asset base to complement its large Meekatharra
exploration project in Western Australia. Once granted, the company will
complete a detailed data compilation and review to identify the initial
exploration targets.

Annean Joint Venture - Meekatharra, Western Australia

Mercator also announces the commencement of ground geophysical programs at
Tuckanarra, Lukes Junction and Maid Marion within the 1,020 sq km Annean joint
venture area at Meekatharra, Western Australia. Data from the geophysical
program will add to the existing soil geochemistry, drilling and airborne
geophysical database, and allow further refinement of drilling targets in these
areas. Lukes Junction and Maid Marion are planned to be drilled later this year.

                                                                       Cont/d...


For further information, please contact:

Mercator Gold plc
Patrick Harford, Managing Director            Tel: [phone]
Terry Strapp, Chairman                        Tel : [phone]

Beaumont Cornish Limited
Rod Venables / Roland Cornish                 Tel: [phone]

Phillip Securities UK Limited
Nick Bealer                                   Tel: [phone]

Parkgreen Communications
Justine Howarth / Ana Ribeiro                 Tel: [phone]

Note to editors

Mercator Gold plc ('AIM-MCR') which joined AIM on 8 October 2004 has a joint
venture agreement with St Barbara Mines Limited ('the Annean Joint Venture') to
explore for economic gold resources in the Annean Joint Venture area in the
Meekatharra region of Western Australia.

Under the terms of the Annean Joint Venture, Mercator has the right to earn a
70% interest in the Meekatharra properties by spending AUD$8 million (approx.
GBP£3.1 million) on exploration.

Mercator operates a continuous disclosure policy with respect to exploration
results. Company news releases are based on technical information approved by
the Company's Exploration Director, Julian Vearncombe BSc (Hons), PhD, FGS,
RPGeo, FAIG.




                      This information is provided by RNS
            The company news service from the London Stock Exchange