Re: Convertible Loan Note

Mercator Gold PLC
15 June 2007


                                      
London 15 June 2007

FOR IMMEDIATE RELEASE


                               MERCATOR GOLD PLC
                       ('Mercator Gold' or the 'Company')

            REPAYMENT OF 9.25% CONVERTIBLE LOAN NOTE & ISSUE OF SHARES


The Company announces that pursuant to the terms of the Convertible Loan Notes 
issued under a placing on 14 December 2005 (the 'Convertible Loan Notes'), the 
remaining four holders of the Convertible Loan Notes have elected to convert 
their Loan Notes for £943,500 Principal Amount to Ordinary Shares (the 'shares') 
of 10p each in the Company at a conversion price of 60p each.  The holders have 
also elected to receive all the accrued interest due under the terms of the 
Convertible Loan Notes in the form of shares at a conversion price of 60p each.  
The Company will issue 1,645,827 shares in full and final settlement of all the 
Convertible Loan Notes.

Application has been made for the shares, which rank pari passu with all 
existing shares, to be admitted to trading on AIM. Dealings in the new Ordinary 
Shares are expected to commence on 19 June 2007.  The total number of shares 
with voting rights is 62,244,912.

Following the issue, the total of shares in issue will be 62,244,912.

For further information please contact:

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

Email: [e-mail]
Website: www.mercatorgold.com

Bankside Consultants Ltd                   Tel: [phone]
Simon Rothschild
Keith Irons
Oliver Winters


AIM: MCR



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