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International Molybdenum plc

RNS Number:7605F
Galahad Gold Plc
29 November 2004
                          GALAHAD GOLD PLC ("Galahad")
              Northern Dynasty Minerals Limited - Option Exercise
Galahad Gold PLC (AIM:GLA) announces that Northern Dynasty Minerals Limited (TSX
Venture: NDM; AMEX: NAK), in which Galahad holds a 35.81% interest (prior to the
dilution contained in this announcement), has exercised its principal option 
rights in respect of the Pebble Gold-Copper-Molybdenum Project, located in 
southwestern Alaska, USA. By exercising the options, Northern Dynasty has 
acquired an initial 80% interest in the Resource Lands at the Pebble Deposit by 
issuing 1.77 million Northern Dynasty common shares to Teck Cominco American 
Inc. ("Teck Cominco").
The Pebble Deposit is the focus of a comprehensive program of drilling, 
engineering and environmental work designed to complete a feasibility study and 
an environmental impact statement in 2005 for a large-scale open pit mining 
operation.
Northern Dynasty has also exercised its option to acquire 50% of Teck Cominco's 
interests in the Exploration Lands at the Pebble Deposit.
Enquiries to:
GALAHAD GOLD PLC
Ian Watson/Alastair King Tel: 020 7408 2002
PARKGREEN COMMUNICATIONS
Simon Robinson/Justine Howarth Tel: 020 7493 3713
SEYMOUR PIERCE
Mark Percy/Jeremy Porter Tel: 020 7107 8000
Notes to Editors:
Galahad Gold plc is an international mining development company quoted on the
AIM Market of the London Stock Exchange under the symbol GLA. It has three
current projects, all in politically safe locations:
      + *35.81% (prior to the dilution contained in this announcement) of
        Northern Dynasty Minerals Limited the owner of the Pebble project in
        Alaska which contains the largest gold deposit in North America and the
        second largest copper deposit;
      + *100% of Skaergaard in Greenland, one of the largest palladium
        deposits outside South Africa and Russia; and
      + *100% of Malmbjerg in Greenland, one of the largest primary molybdenum
        deposits in the world.
Galahad's attributable Inferred Mineral Resources:-
      + *20.12m ounces of gold;
      + *3m ounces of platinum;
      + *35.1m ounces of palladium;
      + *8.74bn lbs of copper; and
      + *313.2m lbs of molybdenum
These figures exclude Malmbjerg's molybdenum and the extensive vanadium and
titanium deposits in Skaergaard.
Further information on Galahad may be found at www.galahadgold.com
The announcement below was released by Northern Dynasty Minerals Limited ("NDM").
Galahad Gold PLC has not sought to verify any of the contents of the press 
release below.
Re:        News Releases - Friday, November 26, 2004
Title:     Northern Dynasty Exercises Purchase Options On Pebble Project
November 26, 2004, Vancouver, BC - Ronald W. Thiessen, President and CEO of 
Northern Dynasty Minerals Ltd. (TSX Venture: NDM; AMEX: NAK) is pleased to 
announce that Northern Dynasty has exercised its principal option rights in 
respect of the Pebble Gold-Copper-Molybdenum Project, located in southwestern 
Alaska, USA. The Pebble Project consists of the Resource Lands which host the 
2.74 billion tonne gold-copper-molybdenum inferred resource of which Northern 
Dynasty can acquire up to 100%, and the surrounding Exploration Lands that host 
several porphyry gold-copper-molybdenum prospects and gold occurrences of which 
Northern Dynasty can acquire at least 50%, as described below. The Pebble 
Deposit is the focus of a comprehensive program of drilling, engineering and 
environmental work designed to complete a feasibility study and an environmental
impact statement in 2005 for a large-scale open pit mining operation.
By exercising the options, Northern Dynasty has acquired an initial 80% interest
in the Resource Lands by issuing 1.77 million Northern Dynasty common shares to 
Teck Cominco American Inc. ("Teck Cominco"). These shares represent the adjusted
 final payment of US$9.94 million which was required to be made by November 
30th, 2004 under Northern Dynasty's 2001 option agreement with Teck Cominco. 
Under the option agreement, Teck Cominco has the right, exercisable within 180 
days, to require Northern Dynasty to manage the liquidation of these shares over
 a period of up to two years, with any surplus proceeds over US$9.94 million 
credited back to Northern Dynasty and any shortfall from that figure is required 
to be made up in cash or shares by Northern Dynasty.
Northern Dynasty has also exercised its option to acquire 50% of Teck Cominco's 
interests in the Exploration Lands. Teck Cominco has 90 days to elect to form a
50-50 joint venture on the Exploration Lands or sell its 50% interest in the 
Exploration Lands to Northern Dynasty for US$4 million, in cash or shares at 
Northern Dynasty's election, and it will then retain a 5% after-pay-back net 
profits interest in any mine located on the Exploration Lands. Any shares issued
will be subject to the same liquidation management provisions as the 1.77 
million shares. Northern Dynasty has completed more than 60,000 feet of drilling
on the Exploration Lands as required under the agreement to exercise the option.
As a consequence of exercising the Teck Cominco options, Northern Dynasty also 
has a 90 day period to elect whether to also acquire the 20% carried interest in
 the Pebble Project held by a related party for share consideration equal to the
independently appraised value of the 20% interest. Northern Dynasty has formed a
special committee of four disinterested directors to make the acquisition 
determination, to either acquire the 20% or form an 80:20 joint venture with the
related party. Depending on the election of Teck Cominco, the joint venture may
also include Teck Cominco in the Exploration Lands portion of the Pebble 
Project. In summary, Northern Dynasty will hold either 80% or 100% of the 
Resource Lands in its sole discretion and will own not less than 40% and up to 
100% of the Exploration Lands dependent on the decisions of its special 
committee and Teck Cominco.
For further details on Northern Dynasty and the Pebble project please visit the 
Company's website at www.northerndynasty.com or contact Investor Services at 
(604) 684-6365 or within North America at 1-800-667-2114. Review Northern 
Dynasty's Canadian public filings at www.sedar.com and US public filings at 
www.sec.gov.
ON BEHALF OF THE BOARD OF DIRECTORS
Ronald W. Thiessen
President and CEO
No exchange or regulatory authority has approved or disapproved the information 
contained in this news release.
This release refers to an inferred mineral resource estimate which is not to be 
interpreted as a mineral reserve of any kind under either Canadian or US 
disclosure rules. Any determination that the Pebble Project mineralization 
constitutes a reserve will require extensive additional exploration and 
metallurgical work as well as mine permitting and construction. There is no 
assurance that the resource will ever be classified as a reserve or that 
commercial mining will ever take place on it. The additionally required 
exploration and development work will need large additional funding which may 
not be available to the Northern Dynasty on acceptable terms or upon any terms 
at all. For more information on the Company and the risk factors inherent in its
 business, investors should review the Company's annual Form on 20F filing with 
the United States Securities Commission and its home jurisdiction filings that 
are available at www.sedar.com.
                      This information is provided by RNS
            The company news service from the London Stock Exchange
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