|T.S.E. SYMBOL: SAO
S.E.C. Registration: 0-22216
|LIMITED PARTNERSHIP FINANCING|
|Vancouver, British Columbia, June 7, 1996: San Andreas Resources Corporation ("the Company') announces that it has extended the final completion date of the partnership financing ("the Financing") announced on May 13, 1996 from June 13, 1996 to July 10, 1996.
The response to the Financing, from high net worth investors (both individual and corporate) in continental Europe, the market to which the Financing has been primarily directed, has been encouraging. The Financing through the partnership structure for marketing in Europe is a new financial product for the financing of mining exploration.
In view of the Financing structure, and taking into account that it is being marketed through a number of intermediaries, the Board of Directors has decided that it is in the Company's best interest to defer the completion of the Financing to enable potential investors to obtain full and proper advice from their independent financial advisor. As previously announced, the maximum subscription for partnership units is $11.25 million and the minimum subscription is $4.725 million and the partnership units may be converted into between 5 million and 2.1 million common shares of the Company, in January 1998, depending upon the level of subscription.
On site preparation for the proposed 1996 drilling program at Prairie Creek is continuing so that the drilling can commence immediately following the completion of the Financing.
|FOR FURTHER INFORMATION PLEASE CONTACT:
SAN ANDREAS RESOURCES CORPORATION
|Tony Millar, Chairman & C.E.O.||(UK):||011 44 1252 794740|
|David Elgee, President||(CANADA):||(604) 688-2001|