Eurasia Mining Regulatory News (EUA)

21 Sep 2006 16:49

Eurasia Mining PLC21 September 2006 Eurasia Mining Plc ("Eurasia" or the "Company") Strategic change by AngloGold precludes continuance of joint exploration with Eurasia AngloGold Ashanti Limited ("AngloGold") has informed Eurasia it intends towithdraw from the gold exploration alliance established between the parties inApril 2005. The arrangement had covered the exploration for gold and otherminerals in certain areas of eastern Siberia, as well as the future developmentof any suitable sites which were discovered. The withdrawal is prompted by apotential conflict of interest following a new alliance involving AngloGold inRussia. Eurasia Managing Director Christian Schaffalitzky said: "While this jointoperation with AngloGold is ending, we are pleased the alliance has given us afirm footing in gold exploration in Russia and achieved significant progress atno expense to Eurasia as well as developing a good portfolio of projects forEurasia to follow up. We will be continuing this work on our own account afterAngloGold leaves the alliance at the end of this year". To enter the alliance, AngloGold paid a fee of US$100,000 to Eurasia inrecognition of Eurasia's previous costs and it has subsequently spentapproximately US$1 million on the project. These costs are not refundable butthe final details of the termination of the alliance have yet to be determined. Christian Schaffalitzky also said: "Meanwhile work continues at an rapid pace inour joint venture with Anglo Platinum Limited ("Anglo Platinum") in both theUrals and Kola Peninsula where Anglo Platinum have committed to spend up to $10million to earn 40% on three licence areas where drilling is currently underway." For further information contact: Christian Schaffalitzky/Michael Martineau/Michael de Villiers, Eurasia Mining Plc: +44 (0) 20 7976 1222Laurie Beevers, W H Ireland: +44 (0) 7903 164 004Allan Piper, First City Financial Public Relations: +44 (0) 20 7436 7486Nicholas Bealer King & Shaxson Capital Limited +44(0)20 7426 5975 This information is provided by RNS The company news service from the London Stock Exchange