East Asia Minerals Corporation - News Releases - Walloper Closes $5M Private Placement and Completes merger with East Asia Minerals




	2006 \| 2005

	March 04, 2005 Walloper Closes $5M Private Placement and Completes merger with East Asia Minerals
	VANCOUVER, B.C. -- Walloper Gold Resources Ltd. (the "Company") is pleased to announce the completion of the private placement previously announced on August 4, 2004. Pacific International Securities Inc. (the "Agent") sold a total of 11,249,444 units (the "Units") at a price of $0.45 per Unit for gross proceeds of $5,062,249.80. Each Unit consists of one common share and one half of one common share purchase warrant. Each whole warrant will be exercisable into one common share for two years from the date of closing at a price of $0.75 per share for the first year and $1.00 per share for the second year. The Company paid a 7% commission from the gross proceeds of the Offering, consisting of cash and 407,276 Units. The corporate finance fee of the Agent was, in part, paid with 13,333 Units. In addition, the Agent was granted 1,343,933 compensation options which will entitle the Agent to purchase, at an exercise price equal to $0.50, one common share and one half of one non-transferable common share purchase warrant. Each whole warrant will be exercisable into one common share for two years from the date of closing at a price of $0.80 per share for the first year and $1.05 per share for the second year. The Company has also received regulatory approval for the share purchase agreement dated February 16, 2005 between the Company and East Asia Minerals Corporation ("EAM") a privately held Ontario company, for the purchase of all of the issued and outstanding shares of EAM. Pursuant to the share purchase agreement, EAM's shareholders sold 100% of their shares of EAM to the Company in exchange for consideration consisting of one of the Company's shares for each EAM share held. EAM had 7,115,678 shares issued and outstanding. As a result of the share exchange EAM shall become a wholly owned subsidiary of the Company. The shares of the Company issued to EAM founders totaling 3,900,000 shares, shall be subject to a 3 year escrow schedule under the policies of the TSX Venture Exchange. A finder's fee of 400,000 common shares of the Company was paid to Parolini Marketing Services Ltd. Proceeds of the private placement will be used towards funding exploration on EAM's four existing projects in Mongolia, acquiring additional projects and for general corporate purposes. Finally, pursuant to agreements dated January 28, 2005 in respect of an aggregate principal of $360,000 loaned to the Company, the Company has issued as a bonus to the lenders under such agreements an aggregate of 129,167 common shares at a deemed price of $0.48 per common share and 20,000 common shares at a deemed price of $0.50 per common share. All of the common shares issued on the completion of the foregoing transactions and any common shares issuable upon the exercise of any of the convertible securities shall be subject to a hold period expiring July 4, 2005. New Management The Board has accepted the resignation of Darren Pylot as interim President of the Company. Lyndon Bradish will be the new President and CEO of the Company. Mr Bradish was the managing director of Noranda Pacific Ltd. (Australia) and Noranda Asia Ltd. (Hong Kong). Mr. Bradish is currently the President and director of Manila Mining Corporation, and a director of Lepanto Mining Co. Mr. Pylot will remain a director and Chairman of the Board. Dr. (Antony) Tony Page will be the Vice President Exploration. Dr. Page was the past manager of RTZ Russia and has over 10 years of work experience in China. Dr. Page will be replacing Jack Marr who will remain a director of the Company. Edward Van Ginkel will be the Corporate Secretary (Legal Counsel). Mr. Van Ginkel was the past Vice President International Projects and Vice President General Counsel for Noranda Inc. John Gingerich will remain the Chief Financial Officer of the Company's wholly owned subsidiary East Asia Minerals Corp. Mr. Gingrich was the past Director of Research and Technical Innovation for Noranda. Current Projects Khok Adar Copper-Gold Project The Khok Adar project is a copper-silver-zinc system that has been overprinted by several phases of epithermal alteration/mineralization. EAM has an option to acquire a 75% interest in the Khok Adar project, located in Bayan Olgii Province of Mongolia. EAM must fund US$1,000,000 in exploration expenditures over 3 years from the anniversary date of August 15,2004. The minimum first year expenditures of US$150,000 have been completed as part of a US$216,000 Phase 1 exploration program completed in 2004-05. This program included 450 m of trenching and 1,000 m of diamond drilling (KA-04-01 to 06). Assay results for these holes are pending. A current Phase 2 drill program is planned for the project. Tavt Gold-Copper (porphyry) Project EAM has an option to acquire a 100% interest, subject to a 1% NSR, in the Tavt project located in Bulgan Aimag Province in northern Mongolia. EAM must fund minimum first year exploration expenditures of US$500,000, of which US$320,000 must be spent on drilling programs. EAM must also make option payments of US$25,000 on July 15, 2004 (paid), US$25,000 on August 15, 2004 (paid) and US$1,000,000 within 20 days from the first year anniversary date of October 21, 2004. US$150,000 has been spent on the project to date. The project has been shown to be a copper-gold mesothermal vein system. There is a small interior claim on which a small scale gold operation is in development. EAM has a right of first offer on this claim. A 500 m shallow drill program is currently underway. Assay results will be reported when they have been made available to the Company. Tsambagarav Epithermal Gold-Silver Project EAM has an option to acquire a 75% interest in the Tsambagarav project, located in Bayan Olgii Province of Mongolia. EAM must fund US$1,000,000 in exploration expenditures over 4 years from the anniversary date of September 16, 2004, A minimum first year work commitment of US$200,000 is required. Approximately $50,000 has been spent on the project to date. The Tsambagarav project is comprised of two epithermal systems. Orientation geophysics has been completed over one of the two targets. Yamaat Gold-Copper Project EAM has an option to acquire a 77% interest in the Yamaat project, located in Bayan Olgii Province of Mongolia. EAM must fund US$2,055,000 in exploration expenditures over 4 years from the anniversary date of June 4, 2004. A minimum first year expenditure of US$245,000 is required. US$210,000 has been spent to date on mapping, sampling and geophysical surveying. The Yamaat project is a mesothermal turbidite hosted gold- copper vein system. ON BEHALF OF THE BOARD "Darren Pylot" Director For further information about the Company, please contact: Mark Patchett, Telephone: (604) 684.2183 / Facsimile: (604) 688.2180 Email: [email protected] THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED OR DISAPPROVED OF THE CONTENTS HEREIN. This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

	You can view the Next News Releases item: Tue Mar 29, 2005, Walloper Confirms High Grade Copper Oxide Zone, Khok Adar Project, Mongolia You can return to the main News Releases page, or press the Back button on your browser.