Weda Bay raises C$600,000

Canadian junior mining company Weda Bay Minerals Inc. announced on Thursday it had entered into agreements, dated November 12, 2003, with Haywood Securities Inc. and Regent Mercantile to raise gross proceeds of C$ 6,000,000 through a brokered private placement of 5,000,000 Units at a price of C$1.20 per Unit.

Each Unit consists of one common share of the Company and one-half of one Common Share Purchase Warrant (the "Warrants"). Each whole Warrant entitles the holder to purchase one common share of the Company for $1.50 for eighteen months after the closing date. The closing date is expected to be on or about December 2, 2003.

According to the company, net proceeds of this private placement will be used to continue funding property exploration and metallurgical studies leading to the completion of a full feasibility study on the company's nickel and cobalt property on Halmahera Island in Indonesia.

The company?s property in Halmahera island contains a total measured, indicated and inferred resource within the Weda Bay Contract of Work of 215 million dry tonnes of 1.35% nickel and 0.11% cobalt with potential for a further 300 million dry tonnes. A Pre-Feasibility Study completed showing the project to be economically robust.

However, the company is still struggling to realize the development of the project, since some part of the deposits are located in the areas declared as protected forest where open-pit mining is prohibited. The company?s financial backer last year decided to stop funding the project?s expenditure.

Weda Bay Minerals Inc through its subsidiary PT Weda Bay Nickel owns 90 percent of the project while state miner PT.Aneka Tambang holds the remaining 10 percent stake. (alex)