EURO Ressources S.A.
TSX : EUR.TO
PARIS : EUR.PA

EURO Ressources S.A.

August 25, 2005 19:18 ET

EURO Ressources S.A. Announces Private Placement of Common Shares and Share Purchase Warrants

PARIS--(CCNMatthews - Aug 25, 2005) -

EURO Ressources S.A. (TSX: EUR)(Euronext of the Bourse de Paris: EUR) today announced that it has entered into an agreement with Macquarie Bank Limited whereby Macquarie will purchase as principal 4,000,000 units (the "Units") at a price of C$0.30 per Unit on a private placement basis, for aggregate proceeds of C$1.2 million. No commission is payable by EURO in connection with this transaction.

Each Unit consists of one common share and one quarter of one share purchase warrant. Each whole share purchase warrant will entitle Macquarie to acquire, on or before the day that is two years after the date of issue of the Units one additional common share upon payment to EURO of additional consideration of C$0.65 per share.

James H. Dunnett, Directeur-General of EURO commented: "We are pleased to announce this strategic investment by Macquarie Bank Limited and look forward to their involvement in the Company as a significant shareholder. EURO will use the proceeds of this offering to augment its working capital which will enable it to continue to pursue new investment opportunities."

The common shares will be issued pursuant to prospectus exemptions in Canada and the United States. This transaction remains subject to regulatory approval, including the approval of the Toronto Stock Exchange, and is expected to close on or about September 9, 2005.

The common shares to be issued have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

EURO Ressources S.A. is a French company, presently focused on acquiring and holding mineral royalties on operating gold mines. Additionally, EURO continues to hold certain exploration and development mineral rights, principally gold, in French Guiana, which are subject to joint venture arrangements. EURO has approximately 45 million shares outstanding.

Additional information relating to EURO Ressources S.A. is available on SEDAR at www.sedar.com.

Contact Information

  • EURO Ressources S.A., Paris
    James H. Dunnett, 604-710-2242
    Directeur-General
    604-608-3283 (FAX)
    Email: jhdunnett@aol.com
    or
    Allan J. Marter, 303-894-4631
    President