Asian Mineral Resources Announces Closure of Convertible Note Facility

Asian Mineral Resources Announces Closure of Convertible Note Facility

Asian Mineral Resources Limited (TSX VENTURE:ASN.V – News) announces that it has issued $2,500,000 of Series B Notes to AGD Mining Limited pursuant to a final drawdown under its $5,000,000 Convertible Note Subscription Agreement dated July 12, 2005 (the “Agreement”). The proceeds will be used for working capital and the funding of ASN’s purchase of an additional 20% project ownership in the Ban Phuc Nickel Project (“Project”), Vietnam.

ASN also announces that AGD Mining Limited has converted all of the Notes held by it into 9,632,820 common shares in accordance with the Agreement which has now terminated. Of the 9,632,820 common shares issued today, 5,000,000 are subject to a four-month hold period which expires on November 11, 2006.

ASN’s wholly-owned subsidiary, AMR Nickel Limited, expects to conclude shortly the acquisition of Mineral Development Company’s 20% interest in the Project for US$2.5 million in accordance with the terms of the definitive Purchase Agreement, thereby increasing ASN’s interest to 90%. The remaining 10% Project ownership will continue to be held by the other joint venture partner, Mechanical Engineering Company of Son La Province, Vietnam.

ASN is also pleased to announce that it has retained Toronto-based Mr. Harvey McKenzie as its Chief Financial Officer effective from July 1, 2006. As part of his remuneration package, Mr. McKenzie has been granted 100,000 common share options with an exercise price of $0.50 cents and a term of five years. The options are subject to approval by the TSX Venture Exchange and will be issued in accordance with all regulatory requirements.

Company Profile:

Asian Mineral Resources Limited is currently engaged in the exploration and development of the Vietnamese located Ban Phuc Nickel Project in which it currently has a 70% interest. The Project is part of a granted Foreign Investment License covering 150 square kilometres of highly prospective ultramafic hosted nickel occurrences. The Company expects to receive its mining license by the end of 2006 and is directing its Project implementation efforts accordingly. Negotiations with project financiers, engineering, construction, and smelter groups continue.

Forward-Looking Statements:

This press release includes certain “Forward-Looking Statements.” All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Asian Mineral Resources Limited are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Asian Mineral Resources Limited’s expectations are disclosed under the heading “Risk Factors” and elsewhere in Asian Mineral Resources Limited documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities.

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


Contacts: For further details on the Company and its projects please refer to the website at or contact: Asian Mineral Resources Limited David Woodhouse, President & CEO (416) 360-3412

Fax: (416) 362-6830

Grove Communications Kate Black (416) 360-3412 (416) 362-6830 (FAX) 144 Front Street West, Suite 780

Toronto ON, M5J 2L7, Canada

Source: Asian Mineral Resources Limited

Share this post