Meridian Minerals Limited ASX Announcement 18 February 2011 Meridian enters into a non-binding Heads of Agreement with the aim to acquire a 75% Interest in the non-alluvial assets of pre-production Russian Gold Company "Omchak" Highlights Meridian enters into non-binding Heads of Agreement to acquire a 75% interest in the non-alluvial assets of Russian gold company ZAO ZRK Omchak from UK listed Petropavlovsk PLC, with an exclusivity period ending 11 May; Acquisition cost is intended to be US$40M; Omchaks assets include the Verkhne-Aliinskoe (Aliya) gold deposit which has an identified Exploration Target Range of 3.3-3.0 Mt @ 6.5-10g/t Au for 700,000-1,100,000 oz of gold, which is open both along strike and at depth**; The target assets will exclude the alluvial assets owned by Omchak and its subsidiaries, which it is anticipated will be transferred to Petropavlovsk prior to completion of the proposed acquisition; Aliya has a State-approved TEO (broadly, a Russian equivalent of a Pre-Feasibility Study) for the development of an underground gold mine accessing a number of high grade gold veins; Pre-production capital costs for the development of the Aliya underground gold mine have been estimated at US$76M and is intended to be funded 75% by Meridian and 25% by Petropavlovsk PLC; Meridian is currently considering its capital raising options to fund the acquisition and the pre-production capital costs; The Aliya Gold Project is situated in Eastern Russia, 310km from the regional centre of the city of Chita, with good access to road, rail and power, ensuring lower capital expenditure requirements; Omchaks assets will include four exploration projects, Kulinskoe, Bukhtinskoe, Birusinski and Kauchak, which have a number of untested quality exploration targets which warrant drill testing; The acquisition of the 75% interest in the non-alluvial assets of Omchak is subject, among other conditions, to: (i) Meridian completing due diligence, to its satisfaction, by 11 May 2011; (ii) the remaining 10% of share capital in Omchak, which is held by a third party, being sold to either Petropavlovsk or Meridian, (iii) Omchaks alluvial assets being transferred to Petropavlovsk; (iv) the parties negotiating and entering into final documentation regarding the acquisition, (v) receipt of any necessary regulatory approvals, which may include approvals by Russian and Australian authorities; and (vi) Meridian obtaining the finance to pay for the acquisition. **The exploration target range reported is conceptual in nature.

There has been insufficient exploration completed to date, so the data will need to be assessed to determine whether it is sufficient to define a JORC Mineral Resource and it remains uncertain if further exploration will result in the determination of a Mineral Resource.
Australian resources company Meridian Minerals Limited (Meridian or Company) (ASX: MII) is pleased to announce it has signed a non-binding Heads of Agreement with Petropavlovsk PLC (Petropavlovsk), a UK registered company listed on the Main Market of the London Stock Exchange, with a view to potentially acquiring a 75% interest in the non-alluvial assets of the Russian gold company ZAO ZRK Omchak (Omchak), for US$40M. The assets of Omchak that will be the target of this acquisition will only be the non-alluvial assets, out of which the main asset is the Aliya Gold Project, situated in eastern Russia, 310km from the regional centre of the city of Chita (Figure One).

Aliya has received a State approved TEO which is broadly the Russian equivalent of a Pre-Feasibility Study and includes the environmental approvals for the development of an underground, high-grade gold mine with a 12 year mine life.

The gold head grade is estimated to be 7.7g/t and the silver head grade is estimated to be 12.9g/t.

The other target assets to be potentially acquired also include the Kulinskoe, Bukhtinskoe, Birusinski and Kauchak exploration projects. To download the announcement please click here: http://www.stocknessmonster.com/news-item?S=MII&E=ASX&N=529529 For further information please visit www.meridianminerals.com.au or contact Mr Jeremy Read Managing Director Meridian Minerals Limited Tel: 07 3844 6444 Mob: 0409 484 322 Mr James Harris Professional Public Relations Tel: 08 9388 0944 Mob: 0433 296 547 Em:
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