LONDON--(MARKET WIRE)--Oct 16, 2008 -- Uruguay Mineral Exploration Inc. (CDNX:UME.V - News) (AIM: UGY) ("UME" or "the Company"), a gold production and exploration company, announced today that it was informed that the Company's Chairman, Tony Shearer, purchased 20,000 shares of the Company ("Common Shares") at C$0.61 on October 15, 2008. Following his purchase Mr. Shearer has an interest in 583,834 Common Shares representing 1.20% of the Company's issued share capital, 50,000 options to purchase 50,000 Common Shares at an exercise price of C$4.50 expiring on September 15, 2010 and 25,000 options to purchase 25,000 Common Shares at an exercise price of C$0.60 expiring on October 15, 2013.

ENDS

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Editors' note: Uruguay Mineral Exploration Inc. is a gold producer and exploration company focused on identifying and developing mineral opportunities in Uruguay. UME is a fully integrated mining company, possessing the skills necessary to explore and develop its discoveries. The Company operates the only producing gold mine in Uruguay (San Gregorio), and is also the leading mineral exploration company in Uruguay having assembled an exploration portfolio based on gold, base metals (copper, nickel, lead, zinc) and diamond prospects.

Uruguay Mineral Exploration Inc. is quoted in Canada (TSXV) and London (AIM) and RBC Capital Markets is its Nominated Adviser and Broker.

     For further information, please contact:
      
     Uruguay Mineral Exploration Inc
     Tony Shearer
     Chairman: +44 (0)20 7602 1570
     Email Contact
      
     David Fowler
     CEO: + 598 2 6016354
     Email Contact
      
     Investor Relations in North America
     Susan Borinelli
     Breakstone Group:
     +1 646-330-5907
     Email Contact
      
     RBC Capital Markets
     Andrew Smith:
     +44 (0) 20 7029 7882
     Email Contact
      
     Sarah Wharry:
     +44 (0)20 7653 4667
     Email Contact