Gabriel Enters Into Private Placement With Strategic Mining Investor-Who Has Significant Business Interests in Romania

NOT FOR RELEASE IN THE UNITED STATES OR OVER U.S. NEWSWIRE SERVICES

Gabriel Resources Ltd., (TSX:GBU) ("Gabriel" or "the Company") is pleased to
announce that it has entered into a subscription agreement for a private
placement of 30 million Units with BSG Capital Markets PCC Limited, which is
part of the Beny Steinmetz Group ("BSG"). The Units consist of one common share
and one common share purchase warrant entitling BSG to purchase one additional
common share of Gabriel at $2.50 per share for 18 months rising to $3.00 per
share for the final six months of the two year warrant. The subscription price
is $2.25 per Unit for proceeds of $67.5 million. The private placement is
scheduled to close on or before December 23, 2009, subject to TSX approvals.


"We are delighted to welcome another major shareholder to our Company,
particularly of the caliber of the Beny Steinmetz Group which has proven
expertise in the mining industry and project development across the globe and
operations in the Balkans. BSG has also made significant business investments in
Romania," said Michael Parrett, Chairman of the Board of Gabriel. "As one of
Romania's most successful foreign investors with extensive involvement in areas
of mining, construction and project development, BSG can provide Gabriel with
strong support towards advancing the ultimate development of the Rosia Montana
Project."


"The Gabriel team is gratified by the fact that BSG shares the vision of
building Rosia Montana into a world-class project with the highest standards for
environmental responsibility, sustainable development, patrimony preservation
and community involvement," said Keith Hulley, Gabriel's President and Chief
Executive Officer. "We are looking forward to working with the BSG team to
achieve these important goals."


About BSG

BSG is a privately owned holding company which has business interests across the
globe in natural resources, real estate, capital markets and the diamond
industries. BSG's mining arm, BSG Resources ("BSGR") operates successfully in
Africa and Eastern Europe and includes Ferro-Nickel operations in neighboring
Macedonia and Kosovo which have the capacity to produce 30,000 tons per annum
making the operation the largest producer of Ferro-Nickel in Europe. BSG's fully
owned subsidiary, BSG Resources is also involved in mining diamonds,
copper/cobalt, iron ore, bauxite and the production/exploration of oil and gas.


"We at BSG/BSGR have extensive experience in developing world class mining
assets around the world. Gabriel is the first material investment made by BSGR
into gold and we look forward to working together with the Gabriel team to
develop Rosia Montana which we believe to be a world class reserve" said Mr. Dag
Cramer, CEO of BSG Capital Markets.


Upon completion of this private placement, it is anticipated that BSG would own
approximately 9% of Gabriel's issued and outstanding common shares. Similarly,
it is anticipated that the Company's three other major shareholders, Electrum
Strategic Holdings LLC, Paulson & Co. Inc. and Newmont Mining Corporation would
own approximately 18%, 18% and 15% of Gabriel, respectively after the
transaction. If BSG exercises all of its common share purchase warrants then it
is anticipated that their ownership interest in Gabriel would increase to 16%
and consequently the ownership position of our three other major shareholders
would decrease to approximately 17%, 17% and 14% respectively of Gabriel's
issued and outstanding common shares. BSG has advised Gabriel that it has
subscribed for the Units for investment purposes but it reserves the right to
increase or decrease its interest in Gabriel as market circumstances may
dictate.


About Gabriel

Gabriel is a Canadian-based resource company committed to responsible mining and
sustainable development in the communities in which it operates. Gabriel is
currently engaged in the exploration and development of mineral properties in
Romania and is presently engaged in the development of its 80.23% owned Rosia
Montana Project, one of the largest undeveloped gold projects in the world. For
more information please visit the Company's website at www.gabrielresources.com.



For further information regarding the private placement, please contact Richard
Young, Vice President and Chief Financial Officer at 416 682-6080.


Forward-Looking Statements: Certain statements included in this press release,
including the expected percentage interest of the significant shareholders of
the Company after giving effect to the Private Placement, and other statements
that express management's expectations or estimates regarding the timing of
completion of various aspects of this financing by Gabriel, constitute
"forward-looking statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and Canadian securities legislation.
The words "anticipate", "intends", "may", "will", "scheduled", and similar
expressions identify forward-looking statements. Forward-looking statements are
necessarily based upon a number of estimates and assumptions that, while
considered reasonable by management, are inherently subject to significant
business, economic and competitive uncertainties and contingencies. In
particular, the press release includes many such forward-looking statements and
such forward-looking statements involve known and unknown risks, uncertainties
and other factors that may cause the actual financial results, performance or
achievements of Gabriel to be materially different from its estimated future
results, performance or achievements expressed or implied by those
forward-looking statements and its forward-looking statements are not guarantees
of future performance. While Gabriel may elect to, Gabriel is under no
obligation to and does not undertake to update this information at any
particular time, except as required by law.
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