Greenock Resources Inc.
TSX VENTURE : GKR

Greenock Resources Inc.

June 23, 2010 12:03 ET

Greenock Resources: PTM Minerals Kakanda Copper Cobalt Project Update

TORONTO, ONTARIO--(Marketwire - June 23, 2010) - June 23, 2010 - Greenock Resources Inc. (TSX VENTURE:GKR) ("Greenock") through its wholly owned subsidiary PTM Minerals ("PTM") has been continuing to advance the development of the Kakanda copper cobalt project located in the Katanga province of the Democratic Republic of Congo ("DRC"). Primary tasks undertaken by PTM include finalizing the terms of joint venture agreement with Gecamines; seeking potential development partners with African experience; commencing the upgrading of the previous feasibility study; and developing project finance structures and commitments. Discussions have been continuing with a number of potential partners and investors throughout the world for their participation in the financing and development of the Kakanda project. Mine and plant developments and infrastructure such as roads, rail, power, water and construction expertise has continued to advance as a growing number of projects near Kakanda and throughout the entire DRC and Zambian Copper Belt trend are being developed.

The Kakanda project is connected by a paved access road (7km south) to the Tenke – Fungurume Project ("Tenke") that is being developed by Freeport McMoran Inc in partnership with Lundin Mining Corporation and Gecamines. From public records, the US $2 billion Tenke copper and cobalt mining and processing operation commenced production in March 2009 and has produced over 220,000,000 pounds of copper since startup. In April 2010, the Tenke project commenced submissions to the government to seek a doubling of the current copper production rate from 115,000 to 230,000 metric tons per year. The Tenke project is assisting in advancing the infrastructure, farmland and school facilities in the region. The regional town of Fungurume has benefited from these advancements and is situated between the Tenke and Kakanda projects.

On June 17, 2010 The World Bank announced that it had invested $1 billion in the State portfolio of the DRC. This provided a clear indication of the World Bank's confidence in doing business in the DRC. The funding is helping to reform and stabilize its portfolio while improving the investment climate by adhering to Organisation for the Harmonization of Business Law in Africa "OHADA". The laws promulgated by OHADA are exclusively business-related. The OHADA treaty has created a supranational court to ensure uniformity and consistent legal interpretations across the member countries.

The European Union has reported that it has growing concerns about having access to a number of raw minerals including: cobalt, germanium, beryllium, and others like copper as China is becoming a major player acquiring and cornering most of the available supply.

It is apparent that major western countries have confidence in the DRC's government and its progression to a country that provides transparency and a legal framework to enable companies to invest in natural resource development.

The DRC and Zambian Copper Belt trend is approximately 600 km long and holds one of the largest accumulations of high grade copper and cobalt deposits in the world. In the regional geological trend, it is estimated there are 15 operating mines, 4 new mines under construction, 5 active feasibility studies, 5 major copper SXEW / smelting plants and at least 16 deposits and / or closed mine sites with mineralization. In addition there are numerous copper cobalt exploration and development drilling programs throughout the region.

While volatile capital markets have slowed the pace of project and finance commitments, there are still many options and potential partners available that will be able to assist with the Kakanda project development. Copper Belt regional projects have been moving towards production status with successes and setbacks as a result of various technical, regulatory and/or market developments. Overall, the last five years have demonstrated the robust positive aspects of the region as the combined DRC and Zambian Copper Belt is developing its significant production capabilities.

Greenock through its wholly owned subsidiary PTM Minerals and Gecamines signed a Memorandum of Understanding December 18, 2008 based on their 1997 agreement that is the basis to establish a joint venture company, Kakanda Mining Development ("KMD") to exploit the Kakanda tailings deposit. The Mining Ministry and Minister of Justice on November 14, 2009 presented a list of mining companies including PTM Minerals whose licenses had been reviewed and were confirmed as foreign mining companies whose partnerships have been approved with various State owned mining companies including Gecamines and the formation of KMD to develop the Kakanda project. Final Joint Venture Agreements will be completed coincident with final financial commitments. The terms reflect the original agreement signed in 1997 but have been adjusted to be consistent with new laws and regulations that govern mining licences and mineral development in the DRC.

About Greenock:

Greenock Resources Inc. (formerly Simberi Mining Corporation) is a Canadian based international mineral development company that focuses on developing a portfolio of natural resource properties.

Greenock's main development project is the Kakanda Copper Cobalt project in the Democratic Republic of the Congo that is a joint venture with Gécamines, the Congolese State mining company. This copper cobalt deposit in the Central African Copper Belt is adjacent to the Tenke Fungurume project presently being developed by Freeport McMoRan Gold & Copper Company.

The Kakanda tailings project has NI 43-101 measured and indicated resources of 18.5 million tonnes with an average grade of 1.25% copper and 0.15% cobalt. Adjacent hard rock deposits have a historical resource of 18.6 million tonnes with an average grade of 3.19% copper and 0.19% cobalt.

Greenock holds a 100% interest in the Needles gold silver property located in the Arrowhead mining district Nye County, Nevada. The Barrick – Kinross Round Mountain Gold Mine is located approximately 65 miles NW of the property.

Greenock's holdings in Australia are the nickel and platinium group metal exploration property Merlot and a share position in the listed uranium exploration company Raisama.

This press release includes certain "Forward-Looking Statements" within the meaning of the US Private Securities Reform Act of 1995. Other than statements of historical fact, all statements are "Forward-Looking Statements" that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "Forward-Looking Statements". Michael Newbury, P.Eng, is the qualified person who has reviewed this material on behalf of the Company. All dollar amounts are noted in Canadian dollars unless otherwise stated in this release.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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