Metex Resources: Establishment of VICGOLD NL -- Capital Return.

VANCOUVER, British Columbia--(BUSINESS WIRE)--June 23, 1997-- Metex Resources NL ("Metex") (VSE, AUSTRALIA STOCK EXCHANGE:MEE) is pleased to announce that it is restructuring its Victorian Gold exploration activities to enable at least (AUSTRALIAN) $1.5 million per annum to be spent in the pursuit of accelerated drilling and exploration of its existing defined gold exploration targets within Victoria.

To this end Metex is proposing to merge its Victorian interests (covering approximately 3,000 square kilometres of tenements) with tenements held by the unlisted company Greater Bendigo Gold Mines Limited ("GBGM"), at Sebastian (within the Myers Creek Tenement) and at Wilson's Hill North of Bendigo.

Metex and GBGM have established VICGOLD NL (ACN 078 652 632) as a separate entity. VICGOLD NL will acquire the respective tenement interests from Metex and GBMG for equity consideration in VICGOLD NL, subject to shareholder approval and independent valuation reports being prepared by Australian Mining Consultants Pty Ltd of Melbourne. It is proposed that VICGOLD NL will seek admission to the official list of the Australian Stock Exchange (ASX) through the completion of an underwritten prospectus issue to raise sufficient funds to undertake its comprehensive exploration programs.

As a consequence of the sale of the Metex tenements to VICGOLD NL, Metex proposes to effect a scheme of arrangement and a reduction of capital during 1997. This will allow Metex to distribute a significant proportion of shares to Metex shareholders on a pro rata basis, as a distribution in specie in satisfaction of the reduction of capital.

The scheme of arrangement and reduction of capital are subject to obtaining the requisite approvals from shareholders, the ASX and the Supreme Court of Western Australia.

At this stage the anticipated return of capital will equate to one (1) VICGOLD NL (AUSTRALIAN) $.20 fully paid ordinary share for every five (5) Metex ordinary shares held, or approximately equivalent to (AUSTRALIAN) $.04 per share. The exercise price of Metex options on issue at that time would also reduce correspondingly by (AUSTRALIAN) $.04 per share.

This will enable Metex shareholders to share directly in the continuing development of the Victorian assets. With the anticipated increased expenditure levels by VICGOLD NL, Metex is confident that significant new gold discoveries will be delineated over a short period of time.

Metex will retain a direct equity in VICGOLD NL and will have the ability to increase its equity with partly paid shares.

VICGOLD NL has appointed Mr. Drew Henry as Technical Director and Chief Geologist and is in the process of recruiting a Victorian based CEO and non-executive Chairman. Other members of the Board are Messrs. Ian Walker, Max Cozijn (both from Metex) and Mr. Doug Cahill, Lawyer, (from GBGM).

Metex believes that the consolidation of its Victorian interests into VICGOLD NL is in the best interest of its shareholders. This restructuring will see the development of an autonomously managed and funded Victoria-based Company, which ensures that Metex can maintain its prime focus and apply its resources to the ongoing successful development of its Laverton Gold assets.

For and on Behalf of METEX RESOURCES NL, Ian W. Walker, Managing Director. -0-

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

CONTACT: The Barrington Communication Group Inc., Canada

Jill Brand, 604/682-1700 or 1-800-663-0321

Fax: [phone]

or

Metex Resources N.L., Western Australia

Ian Walker, 61/9-474-2939; fax [phone]