Pan African Mining Corp.
TSX VENTURE : PAF

Pan African Mining Corp.

July 21, 2005 08:00 ET

Pan African Mining Corp. Closes Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 21, 2005) - PAN AFRICAN MINING CORP. (the "Company")(TSX VENTURE:PAF) is pleased to announce the completion of its non-brokered private placement offering, originally announced April 12, 2005 and amended July 11, 2005, of 1,500,000 units (the "Units") at CAD $1.00 per Unit for gross proceeds of $1,500,000. Such Units are subject to a four-month hold period expiring November 19, 2005.

Each Unit will consist of one Common Share of the Company and one-half of one share purchase warrant (the "Warrants"), where each whole Warrant will allow the subscriber to purchase one additional Common Share of the Company at $1.20 for a period of two years from the closing date. A Finder's Fee aggregating $75,000 in cash plus 120,000 Finders Warrants, exercisable at $1.20 for a period of one year from the closing date, was paid in respect of the financing to Credifinance Securities, Ltd. and Canaccord Capital Corporation.

Funding for the private placement was provided by RAB Special Situations (Master) Fund Ltd. and Sprott Asset Management, Inc. Proceeds of the offering will be added to the Company's working capital. They will be utilised for the Company's upcoming uranium exploration program under its Joint venture with L'Office des Mines Nationales et des Industries Strategiques ("OMNIS"), a Madagascar government agency, as well as for acceleration and expansion of the Company's gold and other explorations programs.

About Pan African

The Company is an exploratory resource company with approximately 10,000 square kilometres of diversified mineral properties in Madagascar. The Company is exploring these properties for gold, uranium, precious stones, base metals and industrial commodities. Its operations in Madagascar are carried out through its operating subsidiary, PAM Madagascar Sarl and its uranium activities are carried out through its 80% owned subsidiary PAM Atomique Sarl. The Company has offices in Vancouver, Canada and Antananarivo, Madagascar. More information about the Company is available at www.panafrican.com



ON BEHALF OF THE BOARD OF DIRECTORS OF
PAN AFRICAN MINING CORP.

"Irwin A. Olian"

Irwin A. Olian
Chief Executive Officer


The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein. The statements made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations.

Contact Information

  • Pan African Mining Corp.
    Irwin Olian
    President and CEO
    604-899-0100
    604-899-0200 (FAX)
    tigertail@panafrican.com
    or
    Pan African Mining Corp.
    Karim Gangji
    Technical Operations Manager
    604-521-6846
    604-899-0200 (FAX)
    karim@panafrican.com