Romarco Minerals Inc.

Romarco Minerals Inc.

August 28, 2006 13:24 ET

Romarco Increases Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 28, 2006) - ROMARCO MINERALS INC. (TSX VENTURE:R) is pleased to announce that it is increasing its brokered private placement to $8,532,950 in units.

The terms of the private placement are C$0.19 per unit with each unit consisting of one full common share and one full purchase warrant. Each full warrant is exercisable at C$0.30 per share for a two year term. If the shares of the Company trade at C$0.40 or higher for 20 consecutive days, the warrants will expire 30 days following notice to warrant holders. All of the securities will be subject to the customary four month hold period in Canada following the closing.

The issue is being led by M Partners who will receive a cash commission equal to 7% of the gross proceeds of units sold and broker's warrants to acquire units equal to 7% of the number of units sold pursuant to the private placement. A President's list has been established in connection with this arrangement, which separates funds brought in by management of Romarco; such subscriptions are not subject to the commission being paid to M Partners.

Closing of the private placement is subject to certain customary conditions, including, but not limited to, the approval of the TSX Venture Exchange. Romarco expects $8,000,000 of the private placement to close today with the balance of the private placement expected to close on August 30.

The proceeds of the private placement will be used to fund the exploration and development work on Romarco's Pinos Gold District in Mexico, drilling of Romarco's Nevada projects, and for general working capital purposes.

This press release is not an offer for sale in the United States. The securities will not be registered under the U.S. Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration under the U.S. Securities Act.


Diane R. Garrett, President and C.E.O.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release, which has been prepared by management.

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