Merrex Gold Inc.

Merrex Gold Inc.

January 18, 2008 09:30 ET

Merrex Forms Strategic Alliance for Turkish Exploration and Secures Efemcukuru Permit

HALIFAX, NOVA SCOTIA--(Marketwire - Jan. 18, 2008) - Gregory Isenor, President and CEO of Merrex Gold Inc., (Merrex)(TSX VENTURE:MXI) announces that Merrex has entered into a strategic alliance with AgeanGold Madencilik Ltd. Sti, a Turkish corporation, for the exploration for gold in western Turkey.

"While our primary focus remains our Siribaya Project in west Mali, we are constantly seeking good exploration opportunities including under-explored but developing regions having excellent exploration potential such as western Turkey" said Merrex President Gregory Isenor, P. Geo. "Our decision to launch an acquisition and exploration endeavour in Turkey is the result of a well-considered process of research, data compilation and evaluation conducted over a number of months. Based on this work, Merrex has acquired eleven Turkish exploration permits including Efemcukuru and is investigating a number of others. In the same ways that our relationship with Touba Mining in Mali accelerated our acquisition process there, our alliance with AgeanGold, by providing local intelligence, business contacts, language facility and cultural guidance, will accelerate the pace of acquisitions in western Turkey."

AgeanGold Strategic Alliance

Pursuant to the terms of the agreement with AgeanGold, Merrex will form a Turkish subsidiary ("Merrex Turkey") which will be owned 90% by Merrex and 10% by AgeanGold. AgeanGold and its shareholders will act exclusively for Merrex Turkey when securing exploration permits and all permits will be offered to Merrex Turkey at cost on a 'first refusal' basis. Merrex Turkey will be 100% funded and wholly controlled by Merrex and Merrex will recover 100% of all cash advances and related expenses prior to any profit distribution. The strategic alliance will have an initial term of 12 months commencing June 1, 2007 subject to extension at Merrex's discretion.

Merrex Turkey will focus on exploration permits in the region of Turkey west of 33 degrees east longitude.

Efemcukuru, Odemis, Ordu and Kure Permits

To date, Merrex Turkey has acquired eleven exploration permits in four regions: Efemcukuru (one permit of 1830 hectares), Odemis (four contiguous permits totalling 7450 hectares), Ordu-Ulubey-Sayaca (one permit of 887 hectares) and Kure (five contiguous permits totalling 8588 hectares). The acquisition cost of the permits was $50,000 plus the associated costs of Merrex Turkey operations to secure same.

The Efemcukuru permit is contiguous to the south of Eldorado Gold's 30 square kilometre Efemcukuru Project which has a reported proven and probable reserve of 3,875,000 tonnes grading 10.04 grams per tonne gold totalling 1,221,000 ounces of contained gold and has reported drill intersections as high as 41.54 g/t gold over 35.3 meters and 218.6 g/t gold over 5.6 meters.

Merrex's Efemcukuru permit is located in Izmir province on the south-west coast of Turkey approximately 20 kilometers from the provincial capital Izmir. The Kure and Odemis permit areas are also in Izmir province; Kure is approximately 83 kilometres from Izmir and Odemis is approximately 64 kilometres from Izmir. The Ordu-Ulubey-Sayaca permit is located in Ordu province in the north-east of Turkey near the Black Sea approximately 22 kilometres from the provincial capital Ordu.

Business Plan for Merrex Turkey

For the foreseeable future, Merrex Turkey will function as an incubator of projects. Merrex Turkey may undertake initial exploration programs but generally Merrex plans to seek joint venture partners for its Turkish exploration permits.

Mali Primary Exploration Focus

Merrex's primary exploration focus will continue to be its Siribaya Gold Project in west Mali where Merrex holds five mineral permits with a sixth permit in process covering over 900 square kilometres, all within the West Mali Gold Belt, a region which currently produces in excess of 1.5 million ounces of gold per year from such well-known large gold deposits as the Sadiola and Loulo mines. In addition, Merrex is in various stages of negotiations to acquire additional mineral permits in the area which, when completed, would result in a contiguous land position of approximately 1,000 square kilometres.

Merrex Gold is a mineral resource exploration company focused on exploration for gold in West Mali, Africa, zinc in Cape Breton, Nova Scotia, gold in Red Lake, Ontario and nickel in West Voisey's Bay, Labrador, with a solid organization of people and projects to enable continued aggressive exploration, discovery, and growth.

This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.


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