East Asia Minerals Closes Second Tranche of $4.4 Million Financing FOR Proceeds of $2.3 Million FOR Sangihe GOLD Project
News Release
East Asia Minerals Corporation
Corporate Office:
9
th
Floor – 1021 West Hastings
Vancouver, BC V6E 0C3
T +1-604-684-2183 F +1-604-357-1987
www.eastasiaminerals.com
October 2, 2020 Trading Symbol: “EAS: TSX.V | EAIAF:US”
EAST ASIA MINERALS CLOSES SECOND TRANCHE OF $4.4 MILLION FINANCING
FOR PROCEEDS OF $2.3 MILLION FOR SANGIHE GOLD PROJECT
East Asia Minerals Corporation (the “Company”, “East Asia” or “EAS”)(TSX -V) is pleased to
announce that it has closed an additional $2. 3 million of the $4.4 million financing previously
announced on September 10 th, 2020. Due to significant investor interest in the financing, on
September 17, 2020, the Company announced the increase of the financing to 29,333,333 units
priced at $0.15 per unit for an aggregate of $4.4 million. Each unit will be comprised of one
common share in the capital of the Company (a "Share") and one common share purchase
warrant (a "Warrant"). Each Warr ant shall b e exercisable into one Share at an exercise price of
$0.25 for 3 years from the date of issuance.
The Company received aggregate gross proceeds of $2,313,998.55 for the issuance of 15,426,657
units. All securities issued in the second tranche of the private placement will be subject to a four-
month hold period expiring January 30, 2021.
The Private Placement is subject to certain conditions including, but not limited to, the receipt of
all necessary regulatory approvals, including acceptance of t he TSX Vent ure Exchange . This
news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall
there be any sale of the securities in any state in which such offer, solicitation or sale would be
unlawful. The securities have not been registered under the United States Securities Act of 1933,
as amended, and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements.
In consideration for their services, the Company has paid the Finders a total of $47,081.99 in cash
commission, a n amount equal to 6.0% of the gross subscription proceeds raised and is in
accordance with the policies of the TSX Venture Exchange
Mr. Terry Filbert, CEO and President of East Asi a, comments, “Along with our recent warrant
exercises, this additional capital allows EAS to fully construct and build out our initial heap leach
operation at Sangihe. With the recent milestone s of, obtaining the environmental per mit and
applying to upgrade of our Contract of Work (CoW), Sangihe go ld’s operation will start
construction as soon as the production licence upgrade is received . We expect to begin initial
production during 2021. I would like t o thank our loyal team and our long-term investors and
stakeholders for their support of our project development and growth strategy.”
Subject to the Indonesian Government Opera tions Production License being granted, the
Company intends to proceed to production without the benefit of first establishing mineral
reserves supported by a feasibility study. The Company cautions readers that the any production
decision made by the Comp any will not be based on a NI 43 -101 feasibility study of mineral
reserves that demonstrates economic and technical viability and as such, there may be involved
increased uncertainty and various technological and economic risks such as the interpretation o f
drill results; the geology, grade and continuity of mineral deposits; the possibility that future
exploration, development o r mining results will not be consistent with our expectations;
commodity and currency price fluctuation; failure to obtain adequat e financing; regulatory,
recovery rates, refinery costs, and other relevant conversion factors, permitting and licensing
risks; general market and mining exploration risks and production and economic risks related to
design and engineering, manufacturing, technological processes and test procedures and the risk
that the project’s output will not be salable at a price that will co ver the project’s operating and
maintenance costs.
ABOUT SANGIHE GOLD PROJECT
The Sangihe gold -copper project is located on the island of Sangihe off the northern coast of
Sulawesi and has an existing National Instrument 43 -101 inferred mineral resource of 11 4,700
indicated and 105,000 inferred ounces of gold as reported in the Company's "Independent
Technical Report on the Mineral Resource Estimates of the Binebase and Bawone Deposits,
Sangihe Project, North Sulawesi, Indonesia" dated May 30, 2017. Only 10% of the gold bearing
area has been explored. Readers are cautioned that mineral resources that are not mineral
reserves do not have demonstrated economic viability. The Company's 70 -percent interest in the
Sangihe-mineral-tenement contract of work ("C oW") is held through PT Tambang Mas Sangihe
(TMS). The remaining 30 -percent interest in TMS is held by three Indonesian corporatio ns. The
term of the Sangihe CoW agreement is for 30 years upon commencement of the production phase
of the project.
ABOUT EAST ASIA MINERALS CORPORATION
East Asia Minerals is a dynamic junior gold developer with NI43 -101 gold resources in
Indonesia, one of the leading gold producer countries in the world. EAS plans to advance and
permit Sangihe in near term and raise funds fo r a heap leach operation. East Asia has a team of
mining professionals in North America and locally in Indonesia with extensive ex perience in
starting and operating small-scale gold and coal assets. With the team in place, East Asia plans to
raise capital and market awareness to develop it’s highly prospective project portfolio.
Frank Rocca, BAppSc.(Geology), MAusIMM, MAIG, Chief G eologist of East Asia Minerals
Corp. is the Qualified Person as defined under NI 43 -101 who has reviewed and approves the
content of this release.
EAST ASIA MINERALS CORPORATION
Per: “Terry Filbert”
Terry Filbert, Director
President & CEO
+1-206-890-8285
For investor contacts more information, please contact:
Kevin Shum
Investor Relations
647-725-3888 ext 702
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Certain statements in this News Release , which are not historical in nature, constitute “forward looking statements”
within the meaning of that phrase under applicab le Canadian securities law. These statements include, but are not
limited to, statements or information concerning future work pro grams, results and timing of any work programs, the
Company’s performance or events as of the date hereof. These statements re flect management’s current assumptions
and expectations and by their nature are subject to certain underlying assumptions, known a nd unknown risks and
uncertainties and other factors which may cause actual results, performance or events to be materially di fferent from
those expressed or implied by such forward looking statements. Those risks include the interpretation of drill result s;
the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining
results wi ll not be consistent with our expectations; commodity and currency price fluctuation; failure to obtain
adequate financing; r egulatory, recovery rates, refinery costs, and other relevant conversion factors, permitting and
licensing risks; general market and mining exploration risks and production and economic risks related to design and
engineering, manufacturing, technological processes and test procedures and the risk that the project’s output will not
be salable at a price that will cover the project’s operating and maintenance costs. Forward-looking statements should
not be construed as investment advice. Readers should perfo rm a detailed, independent investigation and analysis of
the Company and are encouraged to seek independent professional advic e before making any investment decision.
Accordingly, readers should not place undue reliance on any forward -looking statement. Ex cept as required by
applicable securities laws, the Company disclaims any obligation to update or revise any forward looking statements to
reflect events or changes in circumstances that occur after the date hereof.