East Asia Minerals Corporation

East Asia Minerals Corporation

October 29, 2007 16:30 ET

East Asia Minerals to Distribute 58% of CAD$1.30 Cash Payment as a Return of Capital

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 29, 2007) - East Asia Minerals Corporation (TSX VENTURE:EAS) reports that 58% of the CAD$1.30 per share cash distribution announced October 10, 2007, and approved by the Company's shareholders October 18, 2007, will be distributed as a return of capital.

Funds for the cash payment to registered shareholders of East Asia as of the record date of October 19, 2007, are provided by the amalgamation of East Asia and East Asia Minerals Corporation (Ontario), and the CAD$83 million in proceeds received through the sale of shares of EAM Energy LLC, a wholly-owned subsidiary of East Asia, to CFMM, a subsidiary of Areva NC.

The Company is relying on proposed amendments to Canadian income tax laws to avoid the return of capital from being deemed a dividend for income tax purposes and calculated that 58% of the total cash distribution is a return of capital. In addition, the residual per share distribution (42% of the CAD$1.30 cash distribution) is a taxable dividend designated as an "eligible dividend" for Canadian tax purposes. As previously disclosed, in the event that the proposed amendments to Canadian income tax laws are not enacted, it is expected that 100% of the cash distribution would be designated as an "eligible dividend" for Canadian tax purposes.

The shareholders are advised to consult with their own tax advisors as to the implications and income tax treatment of the distribution. The Company will withhold and remit income tax based on the CAD$1.30 cash distribution to non-residents of Canada. The non-resident shareholders may be eligible to obtain a refund of the taxes withheld on the return of capital by filing an application with the Canada Revenue Agency.

T5 statements will be issued to Canadian shareholders recognizing 42% of the total distribution as a dividend and designated to be an eligible dividend. NR4 statements will be issued to the non-resident shareholders indicating the dividend and the return of capital received for the 2007 tax year and the related income tax withholdings. For further information please review the Company's Information Circular posted on SEDAR.

About East Asia Minerals Corporation

East Asia Minerals is an Asian-based, Canadian mineral exploration company with uranium, gold and copper assets in Mongolia and Indonesia. The Company owns three uranium properties, Ingiin-Nars, Ulaan Nuur and Enger, and a 75% interest in the Khok Adar copper oxide discovery, in Mongolia. In Indonesia, it has a 70 to 85% interest in five advanced gold and gold-copper projects located in Aceh Province in Sumatra and North Sulawesi. East Asia currently has 54,055,172 shares outstanding. Its shares are listed for trading on the TSX Venture Exchange under the symbol "EAS".

Forward Looking Statements - This News Release contains forward looking information within the meaning of the Ontario Securities Act and the Alberta Securities Act, which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with our expectations, metal recoveries, accidents, equipment breakdowns, title matters and surface access, labour disputes or other unanticipated difficulties with or interruptions in production, the potential for delays in exploration or development activities or the completion of new or updated feasibility studies, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations (including uranium, fuel, steel and construction items), currency fluctuations, failure to obtain adequate financing on a timely basis and other risks and uncertainties. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements. The words anticipate, believe, estimate and expect and similar expressions, as they relate to us or our management, are intended to identify forward looking statements relating to the business and affairs of the Company. Except as required under applicable securities legislation, we undertake no obligation to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise.

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

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