This action relates to the Company’s dispute with Romania over the development of the Roia Montana gold and silver project, of which Gabriel holds an indirect 80.69% interest, and violations by the Government of Romania of the protections afforded by the Treaties1.

The Project was, and still is, considered inside and outside Romania as one of the most important foreign direct investments in the country, with the potential to provide both a significant boost to the Romanian economy as a whole and to stimulate growth and development of the Apuseni region, which was a mining district for many centuries.

The Company has always been firmly committed to the development of the Project. Gabriel remains certain that construction of the mine using state-of-the-art technology would demonstrate the extensive benefits of the Project including, importantly, for the environment and for preservation of Romania’s cultural heritage.

However, through its actions and inactions, Romania has blocked and prevented implementation of the Project without due process and without compensation, effectively depriving Gabriel entirely of the value of its investments.

Romania thus has subjected Gabriel and its investments to treatment in breach of Romania’s bilateral investment treaty obligations, causing significant losses to Gabriel. In the Request for Arbitration, Gabriel is seeking the full relief owed to it under the provisions of the Treaties for the deprivation of its rights to develop the Project as a consequence of Romania’s treaty violations.

Arbitration proceedings have been commenced following the issue to the President, the Prime Minister and the Romanian Governmentof the written dispute notice given by Gabriel on January 20, 2015. Such Notice invited the Romanian Authorities to engage formally with Gabriel to find an amicable resolution. Despite further letters of request for consultation sent by the Company in April and May 2015, the Romanian Authorities have failed to reply to any of the correspondence.

Gabriel continues to seek engagement at a senior level with the Romanian Authorities in order to resolve the issues at dispute. However, Gabriel is also fully committed to the protection of its rights and interests in Romania and, in the absence of any willingness by the Romanian Authorities to engage in dialogue, the Company has been left with no alternative but to seek legal recourse through the Request for Arbitration. Gabriel has engaged White & Case LLP to advise it in this matter.

Gabriel held $32.1 million of cash and cash equivalents as at June 30, 2015 and will publish its Q2 2015 financial results together with Management’s Discussion and Analysis on or around August 3, 2015. The Company will continue to advise the market of any further material developments concerning the Project or the arbitration proceedings as and when appropriate.

Gabriel President and CEO Jonathan Henry said: "The Company still believes the interests of all stakeholders in the Project, particularly the Romanian State, would be se,ved best by its permitting and development and Gabriel continues to be available to engage with the Romanian President arid Government in order to achieve this objective.

"Whether this becomes a reality or not falls wholly on Romania’s political decision makers to demonstrate a commitment to the Project and to the mining industiy in general. We have attempted dialogue with the Romanian President and Government in order to discuss an amicable resolution to the dispute. In light of their apparent and disappointing unwillingness to engage at all, it has become the Company’s sole recourse to commence international arbitration. The Company remains willing to work with the Romanian Authorities and other stakeholders to build a world class mine from which Romania will benefit through massive economic stimulus and jobs."