SOURCE: Gemco Minerals Inc.

June 06, 2007 12:34 ET

Gemco Acquires Controlling Interest in EKG Minerals Inc.

VANCOUVER, BC--(Marketwire - June 6, 2007) - Gemco Minerals Inc. (OTCBB: GMML)

Mr. Tom Hatton reports:

The Board of Directors of Gemco Minerals Inc. ('the Company') is pleased to announce the acquisition of 66.6% of the outstanding shares of EKG Minerals Inc. ("EKG"). EKG is a British Columbia registered company which holds 100% interest in the 1181.64 hectare (2920 acre) gold, silver and uranium rich 'Snowflake' property located north of Oliver, BC.

Prior announcements called for Gemco to acquire 60% interest on EKG's Snowflake Property and the parties have since agreed for Gemco to purchase a controlling interest in the private company. The EKG majority shares being acquired are equally held by two principals in Gemco who will receive 75,000 shares each for a total of 150,000 common shares from treasury to complete the acquisition.

BC MinFile reports indicate that the Standard and Susie underground mines have extracted approximately 20,000 metric tonnes of ore and produced a combination of approximately 54,194 oz silver, 3,861 oz gold, 125,337 pounds lead, 59,496 pounds zinc and over 38.6 million pounds of silica from the EKG property.

The Company is mobilizing a field crew to conduct a reconnaissance exploration program to establish survey control of the property and conduct geologic mapping, geophysical and geochemical surveying in an effort to locate extensions of the Au-Ag-Pb-Zn and silica-rich ore bodies on the property.

The purchase is an excellent complement to Gemco's Aggregate and Mineral Resource businesses and gives the shareholders of Gemco several new avenues of revenues not the least of which may come from the potential Uranium asset. The Company has obtained historical records and documents indicating considerable uranium concentrations in this area. The average uranium concentration recorded was 0.036 percent, with a maximum value of 0.080 percent uranium over this area. Geophysical surveying of these regions are also planned.

Gemco continues to expend considerable resources on the Ilmenite and magnetite mineral products, which it is in the forefront of introducing to the industrial abrasive industry as an environmentally safe and natural product. Gemco has gained market acceptance of the product over the last five years and is now in the position to address the market place on a much larger scale. The Company has identified a substantial volume of product to sustain market demand for the next 10 to 15 plus years. Gemco's industrial mineral division should begin to generate revenues from the abrasives' industry by the 4th quarter of 2007.

Gemco Minerals Inc. is strategically acquiring interest and options in high quality resource properties to explore, develop and bring to commercial viability.

On behalf of the Board of Directors,
Gemco Minerals Inc.

"Thomas Hatton"
Thomas Hatton
For further information on Gemco Minerals Inc. please contact the company at: Email: Website:

Statements released by Gemco Minerals, Inc. that are not purely historical are forward-looking within the meaning of the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the company's expectations, hopes, intentions, and strategies for the future. Investors are cautioned that forward-looking statements involve risk and uncertainties that may affect the company's business prospects and performance. The company's actual results could differ materially from those in such forward-looking statements. Risk factors include but are not limited to general economic, competitive, governmental, and technological factors as discussed in the company's filings with the SEC on Forms 10-K, 10-Q, and 8-K. The company does not undertake any responsibility to update the forward-looking statements contained in this release.

Contact Information