East Asia Minerals announces private placement

East Asia Minerals Corporation has entered into an agreement with a syndicate of agents led by RBC Capital Markets and including Haywood Securities Inc and PI Financial Corporation to act as agents on a best efforts agency basis to sell, on a private placement basis, up to $37.5 million of subscription receipts (the “Offering”) of the Company (the “Subscription Receipts”).

It is anticipated that the Subscription Receipts will entitle the holders thereof to acquire, for no additional consideration, one common share of the Company and one-half of one common share purchase warrant (a “Warrant”) upon the satisfaction of certain conditions precedent (the “Release Conditions”) which includes the closing of the Acquisition.

The definitive pricing of the Offering and terms of the Warrants will be determined in the context of the market.

It is expected that the proceeds of the Offering (less certain fees) will be held in escrow pending the satisfaction or waiver of the Release Conditions.

All securities issued in connection with the Offering will be subject to a 4 month hold period.

On May 12, 2008, East Asia announced that it had signed a Heads of Agreement to earn-in a 71.8% equity interest in PT Cibaliung Sumberdaya (the “Acquisition”) from Austindo Resources Corporation N.L. (ARX). PT Cibaliung Sumberdaya is currently owned 89.75% by ARX and 10.25% by PT Antam TBK (Antam) and owns a 100% equity interest in the Cibaliung Joint Venture (the “CSD JV”).

The main asset of the CSD JV is the Cibaliung Gold Project, gold mine located in Banten Province, Java, Indonesia which is expected to be commissioned in 2008. East Asia can complete its earn-in by making staged payments into the CSD JV totalling US$35 million.

The net proceeds of the Offering will be used to fund the staged payments required for East Asia to earn-in a 71.8% equity interest in PT Cibaliung Sumberdaya.

The earn-in is expected to occur over 3 tranches as follows and all funds are to be used for the project completion and working capital:

• US$5 million on execution of a definitive agreement in respect of the Acquisition (anticipated for the end of May 2008);

• US$20 million upon completion of the Acquisition (anticipated for end of June 2008);

• US$10 million on an as needed basis but no later than December 31 2008.