Santa Fe Metals Corp.

Santa Fe Metals Corp.

April 22, 2009 19:15 ET

Santa Fe Metals Announces Financing Plans

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 22, 2009) - Santa Fe Metals Corp. ("the Company") (TSX VENTURE:SFM) announces that it plans to raise $500,000 by way of a non-brokered private placement of 10 million shares at a price of $0.05 per share. No warrants are being issued in connection with the placement and no commissions are payable. The private placement is subject to regulatory approval. Proceeds will be used primarily for working capital. Management and directors and other insiders will take approximately 20% of this current offer.

During the quarter ended March 31, 2009, directors exercised options to purchase 628,572 shares at $0.10 per share.

The Company is in discussions with a Mexico-based lender that has expressed an interest in providing a Peso-equivalent loan of US$3million to fund the cost of exploration and production activities at its Cuatro Cienegas project. Leaching operations are scheduled to commence in November 2009. An announcement will be made once loan details and documentation have been finalized. The Company is also in discussions to arrange other debt financing for working capital purposes that would be repaid from cash flow generated by the anticipated Cuatro Cienegas production.


IAN SMITH, President & CEO

This release contains forward-looking statements, including statements relating to Santa Fe Metals' future plans and objectives with respect to the exploration and development of its properties. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in Santa Fe Metals' business, including risks inherent in resource exploration and development. There can be no assurance that economic resources will be developed at any of its properties. Actual results may vary materially from those described in forward-looking statements.

The TSX Venture Exchange Inc. does not accept responsibility for the adequacy or accuracy of this news release.

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