General Minerals Corporation
TSX : GNM

General Minerals Corporation

August 31, 2005 17:00 ET

General Minerals Corporation Announces the Sale of a Bloc of Esperanza Silver Corporation Common Shares

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 31, 2005) - General Minerals Corporation (TSX:GNM) ("GMC") announced today that it has disposed of 3,257,500 common shares of Esperanza Silver Corporation ("Esperanza") for proceeds of approximately $1,140,000. GMC had originally acquired 4,000,000 common shares and 4,000,000 share purchase warrants of Esperanza in December of 2003 in respect of the sale of the Atocha silver property in Bolivia to Esperanza (see GMC PR03-15, Dec. 24, 2003). GMC continues to hold 742,500 common shares and 4,000,000 warrants of Esperanza.

General Minerals Corporation is an international minerals exploration company focusing its activities in North and South America. The Company has six properties in the US, three in Bolivia and one in Chile. The target mineralization is copper, silver and gold. The Company currently has four properties that are under option to other companies: Malku Khota (Bolivia) with SILEX Bolivia S.A., a Bolivian subsidiary of Apex Silver Mines Ltd.; Escalones (Chile) with the Phelps Dodge Chilean subsidiary, Minera Aurex (Chile) Limitada; Monitor (USA) with Teck Cominco Ltd.; and Dragoon (USA) with BHP Billiton. The Company also assists other groups of entrepreneurial geologists through equity investment to form companies and develop early stage exploration projects with discovery potential. Two of these companies, Foundation Resources Ltd. and Afghan Minerals Inc., were established in 2004 where the primary country focus has been in Mongolia and Afghanistan, respectively.

SEC 12g3-2(b): 82-34810

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