East Asia Minerals Corporation

East Asia Minerals Corporation

November 07, 2011 07:35 ET

East Asia Minerals Corporation Announces Increase to Previously Announced Private Placement Offering of Units to up to C$13 Million

TORONTO, ONTARIO--(Marketwire - Nov. 7, 2011) -


East Asia Minerals Corporation (TSX VENTURE:EAS) ("East Asia" or the "Company") is pleased to announce that it has increased the size of the private placement offering previously announced on October 7, 2011, to allow for the issuance of up to 26,000,000 units (the "Units") at C$0.50 per Unit (the "Issue Price") for aggregate gross proceeds of up to C$13,000,000. Each Unit shall consist of one common share of the Company (a "Common Share") and (ii) one whole Common Share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to acquire, at any time up to 24 months following closing of the offering, one common share of the Company (a "Warrant Share") at an exercise price of C$0.78 per Warrant Share.

The Company has entered into an agreement with RBC Capital Markets ("RBC") pursuant to which RBC will act as agent on a "best efforts" agency basis in connection with the private placement of up to 16,000,000 Units for aggregate gross proceeds of up to C$8,000,000. In addition, the Company is proposing to undertake a non-brokered private placement (the "Non-Brokered Placement") of up to 10,000,000 Units for aggregate gross proceeds of up to C$5,000,000. It is expected that the Non-Brokered Placement will close concurrently with the closing of the brokered offering (collectively, the "Offering") on November 30, 2011.

The Company shall use the net proceeds of the Offering for general working capital.

In addition, East Asia has agreed to issue up to 3,450,000 warrants (the "Additional Warrants") to investors who participated in its private placement that was completed on July 13, 2011 (the "July Private Placement") on a basis of one full Additional Warrant for every share purchased in the July Private Placement (the "Warrant Transaction"). Each Additional Warrant will allow holders to subscribe for one common share of East Asia at an exercise price of C$1.17 per share for a term of 24 months. The Warrant Transaction is expected to close concurrently with the Offering.

The Offering and the Warrant Transaction are subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the approval by the TSX Venture Exchange.



Edward C. Rochette, CEO and Director

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About East Asia Minerals Corporation

East Asia Minerals (TSX VENTURE:EAS) is an Asian-based, Canadian mineral exploration company with gold and copper exploration properties in Indonesia, and uranium exploration properties in Mongolia. In Indonesia the Company has a 70 to 85% interest in three advanced gold and gold-copper properties located in Aceh Province, Sumatra, and Sangihe Island, North Sulawesi. The Company owns nine uranium properties, including the advanced Ingiin-Nars, Ulaan Nuur and Enger uranium properties, and two phosphate properties in Mongolia. East Asia currently has 84,221,582 shares outstanding. Its shares are listed for trading on the TSX Venture Exchange under the symbol "EAS".

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Neither 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.

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