AGM Statement

RNS Number:1937O
Gold Mines Of Sardinia PLC
31 July 2003


31st July 2003

For immediate release


              Gold Mines of Sardinia plc ("GMS" or the "Company")

                                 AGM Statement


At the Annual General of Gold Mines of Sardinia held today, Jon Pither, chairman
was able to report to shareholders that further test drilling at Furtei had
given some encouraging results.

HIGHLIGHTS

Reverse Circulation (RC) drilling performed to the Su Masoni deposit at Furtei
has shown positive results of 21m @ 4.85 g/t Au and 16m @ 3.16 g/tAu

Diamond and RC drilling as part of the Sargold JV is due to commence in first
week of September.

EXPLORATION

A short programme of RC drilling was performed at the Su Masoni deposit to close
off high grade sulphide mineralisation at the eastern end in preparation for
re-evaluation of the resource for open cut mining. A total of four holes were
drilled. Results from the first two holes have been received, MAR 213, 21m @
4.85 g/t Au (from 54m) and MAR 217, 16m @ 3.16 g/t Au (from 54m). The
mineralisation remains open to the east. Deeper diamond drilling is planned as
part of the Sargold JV to test previous high grade diamond drill results beneath
Su Masoni of 5m @7.12 g/t Au from 180m in drill hole MAD 108 and 3m @ 20.07 g/t
Au and 2.98% Cu from 174m in drill hole MAD 107.

A programme of 7000m of diamond and RC drilling will commence in the first week
of September as part of the new Joint Venture with Canadian listed Sargold
Resource Corporation. Sargold are to spend 1M Euro in the first year of exploration
and a further 14 M Euro over 7 years at Furtei. The initial programme is designed
to test up to 17 separate targets defined by recent geophysical surveys,
previous anomalous surface sampling and drill intercepts and a complete review
of the structural controls of gold mineralisation in the Furtei mine corridor.
Some of the targets are close to the defined underground reserves at Furtei.

We are confident that ongoing exploration at Furtei will lead to further
discoveries and potential new mining projects in the future.

The Company is pleased to announce that all resolutions proposed at the Annual
General Meeting were duly passed.

Enquiries:
Jon Pither, Chairman, Gold Mines of Sardinia plc                   020 7448 1000
Zoe Biddick / James Benjamin, Biddicks Financial Public Relations  020 7448 1000



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