Griffin Mining Limited (“Griffin” or the “Company”) announces that, in consultation with major institutional investors in the Company, it has today agreed to amend the grant of options to key employees and directors of the Company as announced on the 10th of March 2004. The new option grant (the “Options”) will be as follows:

• 1. A total of 9,500,000 Options will be granted to key employees and directors of the Company, representing 4.92% of the fully diluted capital of the Company, rather than the 15 million options (which would have represented 7.55% of the fully diluted capital of the Company) originally announced.
• 2. Each Option will entitle the holder to subscribe for new ordinary shares in Griffin at 30 pence per share on or before the 28th February 2007 rather than the previous exercise price of 27½ pence per share exercisable on or before the 28th of February 2007.
• 3. The Options will vest in each option holder in 3 separate and equal instalments triggered by the following events:
  • A. The first third of each holder’s Options will vest immediately;
  • B. The second third of each holder’s Options will vest upon the commissioning of the plant at Caijiaying, China with an initial throughput of 200,000 tonnes per annum; and
  • C. The last third of each holder’s Options will vest upon the announcement of an upgrade in the throughput of the Caijiaying plant from 200,000 tonnes per year to 500,000 tonnes per year.

The Options will not vest if an employee or a director resigns or leaves the Company prior to the vesting event taking place. All the Options will vest immediately upon a takeover offer being made or a change in substantial control of the Company taking place prior to the Options expiring.

The Options have been allocated as follows:

	New options	Total number of options to subscribe for one new ordinary share now held following grant
Directors:
Mladen Ninkov (Chairman)	6,000,000	6,000,000
Roger Goodwin (Finance Director)	1,700,000	1,700,000
Dal Brynelsen (Director)	600,000	600,000
William Mulligan (Director)	600,000	600,000
Management:
Jeff Sun (General Manager China)	250,000	250,000
Rupert Crowe (Project Manager)	300,000	300,000
Warren Woodhouse (Geologist)	50,000	50,000
Total	9,500,000	9,500,000