SALE OF JUBILEE ZINC AND OTHER NON-CORE ASSETS

Merrex has entered into a Letter of Intent with TSX capital pool corporation Chrysos Capital Corporation ("Chrysos") to sell the Jubilee Zinc Project and other non-core exploration assets for 37,350,000 shares of Chrysos.

"Consistent with Merrex's publicly stated goal of positioning Merrex as a dedicated or 'pure play' Mali gold company, we are proceeding with the disposition of our Jubilee Zinc Project and other non-core assets." said Gregory Isenor, President and CEO of Merrex Gold. "We are confident that following the acquisition of these assets Chrysos will have assembled a strong management team and have sufficient financial capability to advance these projects to their next level."

The Merrex assets to be sold to Chrysos include: a) its Jubilee Zinc Project and related Nova Scotia Region Zinc properties, b) its Turkey gold properties including its 90% interest in Merrex Turkey, its strategic association with AgeanGold and the Roscan-Turkey Option and Joint Venture, and c) all its properties in the Red Lake/Birch Lake region.

The Letter of Intent is subject to numerous conditions on behalf of both parties including completion of a definitive agreement, regulatory and shareholder approvals and completion of adequate financing.

SIRIBAYA GOLD PROJECT - EXPLORATION UPDATE

Merrex's core project is its 100% owned, 700 square kilometres Siribaya Gold Project in Mali, West Africa. In December 2008 Merrex entered into an agreement with IAMGOLD Corporation granting IAMGOLD the right to earn up to 50% interest in Siribaya for $10.5 million of exploration expenditures over four years. The 2009 exploration program of $3 million is underway and includes an airborne survey, termite hill sampling and diamond drilling.

A 5,000 metre diamond drilling program commenced in late May. Drilling is focused on the region south of Area 55 in Zone 1B where Merrex Gold has identified an initial NI-43-101 compliant indicated resource of 2.1 million tonnes grading 1.81 g/t Au (123,000 contained ounces) and inferred resources of 5.7 million tonnes grading 1.74 g/t Au (319,000 contained ounces) at cut-offs of 0.5 g/t Au. The purpose of the 2009 drill program is to expand and further define this initial gold resource and, although assays are still pending, initial drill results have provided additional confidence in the continuity of mineralization at Zone 1B over a strike length of approximately 900 metres. To date 17 holes totalling 4,706 metres have been drilled.