Aberdeen International Inc.
TSX VENTURE : AAB

Aberdeen International Inc.

November 16, 2006 16:05 ET

Aberdeen Expands Gold Royalty Portfolio

TORONTO, ONTARIO--(CCNMatthews - Nov. 16, 2006) - Aberdeen International Inc. (TSX VENTURE:AAB) is pleased to report the company anticipates receiving a new gold royalty from First Uranium Corporation ("First Uranium"), a subsidiary of Simmer and Jack Mines Limited ("Simmers").

Aberdeen continues to receive a graduated gold royalty under an existing royalty loan facility which was provided to Simmers in late-2005. The royalty applies to all gold recovered from the Buffelsfontein mine ("Buffels") located approximately 160 km from Johannesburg, South Africa. In November 2005, Simmers reactivated the Buffels underground mine and is ramping-up annual gold production to 230,000 ounces. During the nine month period ended September 30, 2006, Aberdeen received US$2,260,344 at an average royalty rate of 3.2% under the royalty loan facility (the average gold price received under the royalty was US$601 per ounce).

At the Buffelsfontein mine, the tailings dumps provide a substantial gold and uranium resource of previously treated material. The recent rise in both the gold and uranium price suggests this resource can now be economically processed. The mineral resources contained in the tailings dumps were reviewed in a technical report entitled "Technical Report - Preliminary Assessment of the Buffelsfontein Project, Northwest Province, Republic of South Africa" dated November 8, 2006 prepared by R. Dennis Bergen, P.Eng. and Wayne Valliant, P.Geo. of Scott Wilson Roscoe Postle Associates Inc. (Scott Wilson RPA), each of whom is a qualified person under NI43-101 and is independent of Aberdeen.



Buffelsfontein Tonnes Gold Grade U3O8 Grade Cont. Gold Cont. U3O8
Project
(t 000's) (g/t) (%) (oz 000's) (lb 000's)
---------------------------------------------------------------------------
Measured
Resources 115,064 0.31 0.0083 1,144 21,130

Indicated
Resources 165,953 0.31 0.0059 1,628 21,603
---------------------------------------------------------------------------
Total Meas
+ Indic 281,017 0.31 0.0069 2,772 42,733

Inferred
Resources 1,740 0.54 0.0243 30 932

Notes:
1. CIM definitions were followed for mineral resources.
2. A zero grade cutoff grade was used.
3. Rows and columns may not add exactly due to rounding.
4. Preliminary metallurgical test results indicate that
recoveries will be approximately 27% for uranium and 68% for
gold.


The tailings recovery project will be 100%-owned and operated by First Uranium. The tailings dumps will be mined using high-pressure water cannons to produce a slurry, that will then be pumped to the processing plants and separated into gold and uranium using a leaching process. First Uranium plans to construct a gold and uranium plant at Buffels with first gold and uranium production by mid-2008. The current mine plan for the tailings recovery project is based on treating 1.8 million tonnes per month, producing an average 138,000 ounces of gold and 950,000 pounds of uranium per year over a 14-year mine life. Scott Wilson RPA estimated that a total of 1.9 million ounces of gold will be recovered from the tailings dumps.

Aberdeen's royalty loan facility extends to the tailings dumps as well as the existing underground mining operation at Buffels. The estimate of mineral reserves and resources at the Buffels underground mine was updated and resulted in a doubling of the mine life to 20 years as reported in the Aberdeen Press Release dated July 31, 2006.

These estimates were extracted from a NI 43-101 Technical Report entitled "An Independent Audit of the Mineral Resources and Mineral Reserves of the Buffelsfontein Gold Mine, Northwest Province, South Africa" dated April 18, 2006 prepared for Aberdeen by Daniel van Heerden and N. Johan Odendaal of Minxcon, each of whom is a qualified person under NI 43-101 and is independent of Aberdeen.

The Simmers royalty loan matures on December 31, 2008, at which time the loan principal of US$10 million will be repaid to Aberdeen and a 1% royalty will ensue for the life of the underground mine and tailings recovery project. Alternatively, Aberdeen can elect to convert the royalty loan into Simmers shares at a conversion price of ZAR0.80 per share. However, the conversion option is subject to Simmers' shareholder approval.

Aberdeen will continue to receive the higher graduated royalty until the end of 2008. At current spot gold prices (US$625 per ounce), the gold royalty rate on production from the Buffels operations is 3.45%.

Based on Simmers life-of-mine gold production estimates from its underground Buffels mine, combined with the new royalty source from the tailings recovery project, Aberdeen has determined that the cash flow from the life-of-mine royalty has a pre-tax value of US$40.3 million based on a gold price of US$600/oz discounted at 5%. Aberdeen estimates that the royalty has the following pre-tax values at gold prices ranging form US$550 to US$650 and at discount rates from 0% to 8% as shown in Table 1 below.



Table 1. Gold Royalty on Production from Buffels Operations

Pre-tax Discounted Cash Flow (US$ Millions)

Gold Extracted from
Surface and U/G Gold Price Discount Rate
0% 5% 8%
550 49.1 36.4 31.4
600 54.2 40.3 34.9
650 59.7 44.6 38.7
Discounted Cash Flow
per Share(i) @ US$600/oz.
gold price C$/share 2.19 1.63 1.41

(i) Discounted Cash Flow per share converted at a Canadian dollar exchange
rate of 1.13 with 28 million shares outstanding.


All technical disclosure in this press release relating to the Buffelsfontein tailings recovery project is extracted from a technical report entitled "Technical Report - Preliminary Assessment of the Buffelsfontein Project, Northwest Province, Republic of South Africa" dated November 8, 2006 prepared in accordance with Canadian National Instrument 43-101 ("NI 43-101") by R. Dennis Bergen, P.Eng and Wayne Valliant P.Geo of Scott Wilson Roscoe Postle Associates Inc., each of whom is a "qualified person" under NI 43-101 and is independent of First Uranium. The disclosure contained in this press release has been reviewed and approved by Mr. Bergen and Mr. Valliant.

In addition, this press release has not been reviewed by Simmers or First Uranium.

Shareholders are encouraged to visit Aberdeen's website (www.aberdeeninternational.ca) to obtain additional information on the company and its royalties.

Aberdeen offers a unique investment opportunity in the gold sector with its secured, convertible royalty (SECROD) instrument. The SECROD provides reduced exposure to operational risk and the local operating currency, while providing direct leverage and increased participation to a rising gold price with the sliding scale royalty. The Company continues to evaluate royalty opportunities that will meet its objective of cash flow from near term gold production.

Aberdeen International Inc. is a Canadian based company listed on the TSX Venture Exchange under the symbol AAB.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information