August 25, 2005 13:51 ET

Easton Signs Agreement to Acquire Platinum Project in South Africa

NORVAL, ONTARIO--(CCNMatthews - Aug. 25, 2005) - Easton Minerals Ltd. ("Easton") (NEX:EM.H) announced today that it has signed an agreement with EBCK Limited ("EBCK"), a private arm's length U.K. company, for the purchase of a 100% interest in the Groblersdal Platinum Project ("Groblersdal Project") located in the Republic of South Africa.

The Groblersdal Project, comprised of 7 contiguous farms covering a surface area of approximately 8,003 hectares, is situated 160km east of Pretoria and 20km to the south, south east of the town of Grobersdal.

All seven farms, for which the Prospecting rights are being applied for, are on lands containing deposits of mafic and or felsic rocks of the Bushveld Complex.

Historical mining in the adjoining farm Mineral Range 190 has seen grades of up to 12g/t of PGE recovered. This part of the Bushveld Complex is known to host numerous signs of surface mineralization including copper, nickel and platinoids.

The acquisition of an interest in the Groblersdal Project will be effected by Easton's acquisition of all of the outstanding shares of Fannor Trading 108 (Proprietary) Limited, a wholly-owned South African subsidiary of EBCK and applicant for Prospecting rights to the Groblersdal Project. The consideration for the purchase, payable on completion of the transaction, will be: (i) CDN$2,850,000; (ii) the issuance by Easton of 20,000,000 post-consolidated common shares and warrants to acquire a further 20,000,000 post-consolidated common shares exercisable at a price of CDN$0.10 per share and expiring June 30, 2007; and (iii) a royalty of US$10 per ounce on all platinum group metals extracted from the Groblersdal Project. A deposit of C$200,000 has been provided to EBCK, which will be applied against the cash portion of the purchase price on closing or refunded to Easton if the conditions to the completion of the transaction are not satisfied.

The transaction is subject to due completion of a number of conditions, including: (i) satisfactory due diligence review by Easton; (ii) all necessary regulatory, shareholder and other approvals, consents and registrations being received; (iii) the completion by Easton of a corporate reorganization involving the consolidation of all outstanding shares on a 1 for 8 effective basis and the conversion of all outstanding indebtedness into common shares; (iv) the completion of private placement financing of a minimum of $4,000,000; (iv) revocation of the cease trade orders imposed against the securities of Easton; and (v) conditional approval for the re-listing of the common shares of Easton on the TSX Venture Exchange.

Easton intends to fund the purchase of the Groblersdal Project, through one or more equity financings. Easton is currently subject to cease trade orders imposed by the B.C. and Alberta securities commissions. To complete the proposed acquisition and the equity financings, it will be necessary for Easton to obtain revocations of the cease trade orders.

Easton currently has 27,881,425 common shares outstanding. Due to the imposition of the cease trade orders, the common shares of the company are currently suspended from trading on the NEX Board of the TSX Venture Exchange.

It is currently anticipated that an annual and special meeting of Easton shareholders will be held in November 2005 and if all shareholder and regulatory approvals are obtained, it is anticipated that the transactions will be completed in December 2005.

The head office and the registered office of Easton Minerals are located at 2838 Bovaird Drive West, Norval, ON L0P 1K0. The Corporation has spent the past 24 months engaged in identifying and securing international reactivation opportunities.

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

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