RNS Number:0349K
Gippsland Limited
17 December 2007

17 December 2007

Gippsland Limited (the "Company")

++++++++++++++++++++++++++++++++++++++++++++++++++++++++
EXERCISE OF OPTIONS
++++++++++++++++++++++++++++++++++++++++++++++++++++++++

The Company announces the issue of 1,531,974 ordinary shares of no par value
upon the exercise of 1,531,974 A$0.09 options.

----------------------------------------------------------------------------
Holder of       Exercise price of      Number of shares     Date of issue of
options         options                issued               shares

Barry & Betty
Anderson        A$0.09                 20,000            17 December 2007
----------------------------------------------------------------------------
Eric Hitchen    A$0.09                    100            17 December 2007
----------------------------------------------------------------------------
G J Desmond
Tax Services
Pty Ltd         A$0.09                  3,000            17 December 2007
----------------------------------------------------------------------------
Alan W & C
Stirling        A$0.09                 40,000            17 December 2007
----------------------------------------------------------------------------
Peter &
Christine
Holmes          A$0.09                  1,600            17 December 2007
----------------------------------------------------------------------------
Peter D & G
Mullins         A$0.09                    188            17 December 2007
----------------------------------------------------------------------------
Agnes Jean Dent A$0.09                    533            17 December 2007
----------------------------------------------------------------------------
Paul Counsel    A$0.09                  1,400            17 December 2007
----------------------------------------------------------------------------
Richard G & B
Cooke           A$0.09                  3,000            17 December 2007
----------------------------------------------------------------------------
Ron Levitt      A$0.09                 20,000            17 December 2007
----------------------------------------------------------------------------
Winifred
Sampson         A$0.09                     33            17 December 2007
----------------------------------------------------------------------------
Ross Tinson     A$0.09                 21,200            17 December 2007
----------------------------------------------------------------------------
Maria Anna
Harris          A$0.09                    320            17 December 2007
----------------------------------------------------------------------------
Joel Anton
Schiller        A$0.09                 20,000            17 December 2007
----------------------------------------------------------------------------
Jennifer
Chatwin         A$0.09                    600            17 December 2007
----------------------------------------------------------------------------
King Town
Holdings Pty
Ltd             A$0.09              1,400,000            17 December 2007
----------------------------------------------------------------------------

The shares issued rank pari passu with existing ordinary shares on issue.

Application has been made for the new shares to be admitted to trading on AIM
and this is expected to take place on 21 December 2007.

Immediately after the issue of the above shares, the number of shares and
options on issue will be as follows:

Shares on issue       263,003,903 ordinary shares
Options               40,253,082 A$0.09 options expiry 31.12.2007
                      10,000,000 �0.04 options expiry 31.12.2007
                      4,500,000 A$0.15 options expiry 31.12.2007
                      25,000,000 A$0.135 options expiry 26.05.2012

For further information please contact:

Jack Telford  Gippsland Limited                      T: +61 (0)8 9340 6000
Fiona Owen    Grant Thornton Corporate Finance       T: +44 (0)20 7383 5100



                      This information is provided by RNS
            The company news service from the London Stock Exchange
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