Convertible Loan Financing

    Convertible Loan Financing
             



                         HIDEFIELD GOLD PLC

                     CONVERTIBLE LOAN FINANCING

                      RELATED PARTY TRANSACTION


The Directors of  Hidefield Gold plc  ("Hidefield" or the  "Company")
announce that the Company has reached agreement with Hamilton Capital
Partners Limited ("Hamilton"),  a company with  which Kenneth  Judge,
Chairman of the  Company, is  associated, for Hamilton  to provide  a
convertible loan facility of up to £1,000,000 to the Company.

The principal terms of the  convertible loan facility, which are  set
out in a convertible loan agreement signed by the Company on 25  July
2008 (the "CLA"), are as follows:

*  The maximum facility amount is £1,000,000;

*  Interest will accrue on advances made at a rate of LIBOR (UK) plus
  3 per cent.;

*  Hamilton has the right to invite third parties to participate in
  providing advances to the Company under the terms of the CLA up to
  the maximum facility amount;

*  An existing advance made by Hamilton to the Company of US$250,000,
  together with accrued interest, shall be treated as the initial
  advance under the terms of the CLA;

*  Additional advances shall be jointly agreed by Hamilton (and any
  other lender under the CLA) and shall not exceed £150,000 in any
  one month period;

*  Hamilton (and any other lender under the CLA) shall have the right
  to convert advances made into ordinary shares of 1p each in the
  Company at a price of 3p per share; and

* The latest repayment date for all advances made (together with
  accrued interest), which have not been converted into ordinary
  shares, is 31 December 2009.

As a  result of  Kenneth Judge's  association with  Hamilton the  CLA
constitutes a related party transaction  in accordance with AIM  Rule
13.  The independent directors,  having consulted with the  Company's
nominated adviser, Hanson Westhouse Limited, consider that the  terms
of the  CLA  are fair  and  reasonable insofar  as  shareholders  are
concerned.

Kenneth  Judge,  through   Hamilton,  is   currently  interested   in
21,961,675 ordinary shares in Hidefield, representing 7.98 per  cent.
of the issued share capital.  In the event that Hamilton converts all
or part of its advances made  under the terms of the CLA,  Hamilton's
interest in the share  capital of the Company  would increase and  an
appropriate announcement would be made.

The independent directors understand that Hamilton intends to  invite
third parties to  participate in  providing advances  to the  Company
under the CLA.  In this event, Hamilton's interest in the convertible
loan facility would reduce and  an appropriate announcement would  be
made.


Enquiries:


Hidefield Gold Plc
Ken Judge, Chairman                     + 44 773 300 1002
Investor Relations                      + 44 20 7590 5503
Paul Ensor

Hanson Westhouse Limited (Nomad)        + 44 113 246 2610
Tim Feather / Matthew Johnson

Landsbanki Securities (UK) Ltd (Broker) + 44 20 7426 9000
Tom Hulme

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