Issue of Equity

Angus & Ross (AIM: AGU), the AIM quoted mining company is pleased to announce that it has secured £5.6 million by way of a Standby Equity Distribution Agreement ("SEDA") together with an equity placing. The Company owns the Black Angel zinc/lead mine in Western Greenland and has recently entered into non legally binding heads of terms to acquire and develop Nalunaq Gold Mine A/S ("NGM") in Southern Greenland.

The Company has entered into a £5.0 million SEDA with YA Global Master SPV Ltd, which was advised by Yorkville Advisors, LLC. The SEDA enables the Company, at its discretion during the next 32 months, to draw down funds in tranches in exchange for the issue of new equity on terms related to the prevailing market price at the time of each draw down. 

In addition, the Company has placed 30,000,000 new ordinary shares of 1 pence each in the Company (the "Placing Shares") at a price of 2 pence per share, raising gross proceeds of £600,000 through Fox-Davies Capital Limited.

It is intended that the funds raised, together with existing cash resources, will be used to acquire NGM from Crew Gold Corporation (as per the announcement of the 7 April 2009) and to advance the Company's Black Angel project.

Application will be made to the London Stock Exchange for the Placing Shares to be admitted to trading on AIM. It is expected that admission will become effective and that trading will commence on 30 April 2009.

CEO Nicholas Hall commented:

"This fundraising enables Angus & Ross to proceed with the acquisition of Nalunaq with confidence. With comparatively low start up costs and first production scheduled in 2H 2009, it is anticipated that the acquisition of Nalunaq will provide Angus & Ross with a positive and regular stream of cash flow for the first time since its inception. The terms of the SEDA mean that we will be able to raise cash, as it is needed for development, with the least possible impact in terms of shareholder dilution.Nalunaq complements our high grade lead-zinc Black Angel project where the main development work will commence in the Spring of next year. By that time it is envisaged that the Company will be benefiting from internal cash generation as well as the continued improvements in world commodity prices."