Sultan Minerals Inc.

Sultan Minerals Inc.

May 03, 2007 09:00 ET

Sultan Minerals Announces Private Placement Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 3, 2007) - Sultan Minerals Inc. (TSX VENTURE:SUL)(FRANKFURT:RZN) ("Sultan") is pleased to announce that, subject to regulatory approval, Sultan will carry out a non-brokered private placement of up to 16,000,000 units (the "Units") at a price of $0.22 per Unit, for gross proceeds of approximately $3,500,000. Each Unit is comprised of one (1) common share in the capital of Sultan, and one-half of one non-transferable share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one additional common share of Sultan for a period of 18 months from closing, at an exercise price of $0.30 per share.

Sultan may pay a cash finder's fee equal to eight percent (8%) of the gross proceeds received by it from the sale of Units arranged by an arm's length finder (the "Finder"), and may also grant to such Finder non-transferable warrants (the "Finder's Warrants") to purchase that number common shares of Sultan (the "Finder's Warrant Shares") as is equal to eight percent (8%) of the aggregate number of Unit sales to eligible investors arranged by such Finder. Each Finder's Warrant issued in relation to the sale of Units is exercisable to acquire a Finder's Warrant Share, at a price of $0.30 per share for a period of 18 months from the closing date of the private placement.

All shares, warrants and any shares issued upon exercise of the warrants with respect to the above private placements are subject to a hold period and may not be traded for four months plus one day from the date of closing.

Proceeds from the non-brokered private placement will be used to fund Sultan's work programs in Canada and for general working capital.

Arthur G. Troup, P.Eng., Geological, President and CEO

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This release has been prepared by management and no regulatory authority has approved or disapproved the information contained herein.

SEC 12g3-2(b): 82-4741

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

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