Cue Resources Limited : Cue Resources Ltd. Grants Stock Options

News Releases

Aug 05, 2011 Cue Resources Ltd. Grants Stock Options Vancouver, BC, August 5, 2011 -- Cue Resources Ltd. (the "Company") advises that it has arranged for a short term loan (the "Loan") to a maximum amount of $400,000. The Loan is to be provided by Resinco Capital Partners Inc., a major shareholder of the Company. The Loan will be advanced in multiple tranches and interest will be payable at a rate equal to the prime rate charged by the Royal Bank of Canada, plus 4% per annum. In addition, the Company will pay a one-time administration fee of $25,000 and 1,000,000 bonus shares of the Company at a deemed price of $0.05 per share subject to TSX Venture Exchange approval. The funds from the Loan will be used for general working capital in Paraguay and Canada. The Company also announces that it has granted incentive stock options to a director, certain officers and consultants of the Company, entitling them to purchase up to 575,000 common shares of the capital stock in the Company at a price of $0.10 per share for the next 5 years. About Cue Resources Cue Resources Ltd. is focused on developing the Yuty Uranium District in south-eastern Paraguay. The San Antonio Deposit consists of a current NI 43-101 compliant resource, Indicated, 9.708M tonnes @ 0.052% eU3O8 containing 8.9M lbs eU3O8 and an Inferred Resource of 2.1M tonnes @ 0.047% eU3O8 containing 2.2M lbs eU3O8. Column leach tests have demonstrated recovery of up to 86% of the contained uranium from cores taken from San Antonio and a successful pump test, and metallurgical testing indicate the deposit is amenable to in situ recover (ISR). For detailed information, please see the Cue web site at http://www.cue-resources.com Chris M. Healey, P.Geo, a director of Cue, is the Qualified Person responsible for the technical content of this release. On behalf of the Board of Directors "Robert S. Tyson" President and Chief Executive Officer For further information, please contact: Mike Rodger Partner Nicola Street Capital Inc. 604-569-0056 [e-mail] Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Cue, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Cue's expectations are exploration risks detailed herein and from time to time in the filings made by Cue with securities regulators.