Sunburst Acquisitions IV, Inc.
OTC Bulletin Board : SBAQ

Sunburst Acquisitions IV, Inc.

August 10, 2005 11:12 ET

Sunburst Re-Negotiates Agreement With Minera Rio Tinto and Signs an Agreement to Repay Debenture Holders

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 10, 2005) - Sunburst Acquisitions IV, Inc. (OTCBB:SBAQ) ("the Company") has negotiated an agreement with debenture holders to repay the principle of $500,000 plus 8% interest. The debenture is to be repaid in full by September 1, 2005. On repayment the shares and warrants associated with the debentures will be cancelled. If the debenture is not repaid Mario Ayub, a director of Sunburst will resign and 2 new directors will be appointed at the request of the debenture holders.

The Registration Statement filed with the SEC for the purpose of registering for issuance the shares underlying the debenture and the warrants as free trading has been withdrawn.

Also, Tracy A. Moore of Vancouver, BC has been appointed interim COO.

In addition, Sunburst has signed a Memorandum of Understanding with Minera Rio Tinto ("MRT") re-negotiating the terms with MRT of the acquisitions of three (3) mining properties in the state of Chihuahua, Mexico.

Under the final agreement being prepared Sunburst will acquire 100% interest in three (3) properties called Cieneguita, Guazapares & Encino Gordo located in the Sierra Madre Gold Belt of Mexico subject to certain conditions including payments and royalties. In addition, the company must raise $2,000,000 for production costs and working capital.

The properties will be acquired through a newly formed Mexican subsidiary of Sunburst Acquisitions IV, Inc.

The Company is confident that a revised agreement can be reached, but cautions that significant funds must be raised to complete the agreement.

On Behalf of the Board of Directors

SUNBURST ACQUISITIONS IV, INC.

Terry Fields, President

The Private Securities Litigation Reform Act of 1955 provides a "Safe harbor" for forward-looking statements. Certain of the statements contained herein, which are not historical facts, are forward-looking statements with respect to events, the occurrence of which involved risks and uncertainties. These forward-looking statements may be impacted, either positively or negatively, by various factors. Information concerning potential factors that could affect the company is detailed from time to time in the company's reports filed with the Securities and Exchange Commission.

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