Mr. D. Bruce McLeod reports

MERCATOR MINERALS FILES NOTICE OF INTENTION TO MAKE A PROPOSAL

Mercator Minerals Ltd. has filed a notice of intention to make a proposal (NOI) under the Canadian Bankruptcy and Insolvency Act (BIA).

As per Mercator's announcement on Aug. 7, 2014, the company, with the support of its financial adviser, has been actively considering its alternatives including, but not limited to, the sale of the company. Several interested parties have delivered proposals that the Mercator board of directors believes would be in the best interest of all stakeholders. The proposals have been shared with the Mineral Park lenders. Unfortunately, the MPI lenders did not constructively engage with the company or its financial adviser.

A NOI is the first stage of a restructuring process under the BIA, which permits the company to pursue a restructuring of its financial affairs, through a formal proposal. The NOI provides an opportunity for the company to avoid bankruptcy and may allow creditors to receive some form of compensation for amounts owing to them by the company.

Once the NOI has been filed the company will be granted up to an initial 30 days of protection from its creditors to enable the company to pursue the option of a proposal.

Pursuant to the NOI, Deloitte Restructuring Inc. has been appointed as the trustee in the company's proposal proceedings and in that capacity will monitor and assist the company in its restructuring efforts.

In addition, each of Mercator's direct and indirect wholly owned subsidiaries Mercator Mineral Park Holdings Ltd., Lodestrike Resources Ltd., Mineral Park Inc. and Bluefish Energy Corp. have also filed a Chapter 11 bankruptcy petition in the U.S. MPI will engage an investment bank for a stand-alone sale of MPI.

The board of directors of Mercator believes the stand-alone sale of MPI would result in a recovery of less than 100 per cent to the MPI lenders and that the liabilities of the company pursuant to the parent guarantee in addition to its other liabilities have created a situation where Mercator is unable to meet its current and future obligations. Accordingly, the board of directors of Mercator is forced to file the NOI.

There can be no guarantee that the company will be successful in its restructuring efforts. Failure by the company to achieve its financing and restructuring goals will likely result in the company becoming bankrupt.

We seek Safe Harbor.