Aurea Mining Inc.

Aurea Mining Inc.

August 08, 2005 09:00 ET

Aurea Settles Balance of Convertible Debt

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 8, 2005) -


Aurea Mining Inc. (TSX VENTURE:MXA)("Aurea" or "the Company") wishes to announce that it has settled the balance of $143,092 of a convertible debt by issuing 1,430,916 common shares at a price of $0.10 per share. The shares have a hold period expiring on October 29, 2005, and will remain in escrow pursuant to the Company's June 21, 2005 Escrow Agreement.

These shares were issued as part of a debt restructuring agreement signed on December 24, 2004. According to the terms of the agreement, the holders of non-interest-bearing loans totalling $147,517 (US $120,000) could opt to receive common shares of the Company at a price of $0.10 per share at any time until December 31, 2008. As of December 31, 2004, some of the debt holders had exercised their right of conversion of a principal balance of $4,425 (US $3,600) in exchange for a commitment to issue 44,255 shares, which were issued in March 2005. The remaining creditors have now exercised their right of conversion of the outstanding amount of $143,092 (US $116,400).

Aurea Mining Inc. is focused on mineral exploration in the Guerrero Gold Belt of Guerrero State, Mexico. The company controls 100% of approximately 80,000 hectares of contiguous mineral claims in this emerging gold belt.

On behalf of the Board of Directors

Gillian Kearvell, Vice President Corporate Development

This discussion includes certain statements that may be deemed "forward-looking statements". All statements in this discussion, other than statements of historical facts, that address future exploration drilling, Exploration activities and events or developments that the Company expects are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business condition.

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

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