Grant of Share Options & Issue of Equity

Shanta Gold Limited

                  ("Shanta Gold" or the "Company")

             Grant of Share Options and Issue of Equity

                          09 September 2009

The Board of Shanta Gold approved on 7 September 2009 the award of
share options to Directors and employees of the Company in accordance
with the terms of the Company's Employee Share Option Plan. Options
over a total of 1,950,000 ordinary shares of the Company, equivalent
to 1.98% of the current issued ordinary share capital of the Company,
have been awarded to 4 Directors and 16 employees. The options have
an exercise price of 6p and 25% vest immediately, 25% will vest on
the first anniversary of the award and the balance of 50% will vest
on the second anniversary of the award. The share options will be
exercisable from the date of vesting for a period of 10 years from
the date of vesting.

The award of options to Directors and their current share option and
share holdings in the Company are as follows:


+-------------------------------------------------------------------+
|         |         |          |            | Existing   | Share    |
|         |         |          |            | interests  | interest |
|         | New     | Existing | Total      | in shares  | as a %   |
| Name    | share   | share    | share      | of the     | of       |
|         | options | options  | options    | Company    | issued   |
|         |         |          |            |            | share    |
|         |         |          |            |            | capital  |
|---------+---------+----------+------------+------------+----------|
| W.      | 350,000 | 168,006  | 418,006    | 7,110,466  | 6.99     |
| Imrie   |         |          |            |            |          |
|---------+---------+----------+------------+------------+----------|
| D.      | 250,000 | -        | 250,000    | -          | -        |
| Scott   |         |          |            |            |          |
|---------+---------+----------+------------+------------+----------|
| W.      | 350,000 | 818,411  | 1 ,168,411 | 44,000     | 0.04     |
| Vorwerk |         |          |            |            |          |
|---------+---------+----------+------------+------------+----------|
| K.      | 150,000 | 168,006  | 318,006    | 10,343,750 | 10.17    |
| Patel   |         |          |            |            |          |
+-------------------------------------------------------------------+


In addition the Board has approved the allotment and issue of 350,000
new ordinary shares in the Company at a deemed price of 6p per share
to Prospect and Co Ltd, the Company's geological consultants.  This
issue of shares represents consideration of £21,000 in lieu of a cash
fee due and payable to Prospect in respect of services rendered to
the Company.

Pursuant to the above, the Company will submit an application for
350,000 new ordinary shares of the Company to be admitted to trading
on AIM and the shares are expected to be admitted to trading on 15
September 2009.

Following the issue of shares to Prospect and Co Ltd, the Company's
issued share capital now consists of 101,740,429 ordinary shares of
0.01p each, none of which are held in treasury. Therefore, the total
number of voting rights in the Company is 101,740,429.

For further information:

Shanta Gold Limited 

http://www.shantagold.com

Walton Imrie
Mobile: [phone]

Walter Vorwerk
Moblie: [phone]

Fairfax I.S. PLC
Ewan Leggat/Laura Littley
[phone]

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