This share is probably going to get somewhere but issued these...

This share is probably going to get somewhere but issued these shares rather low 3c + free 10c opt

Email: [email protected] Internet: www.unionresources.com.au
Union Resources Limited
A.B.N. 40 002 118 872
_______________________________________________________________________________________
Tel: +61 7 3833-3833 Level 6, 200 Creek Street, Brisbane Postal Address:
Fax: +61 7 3833-3888 PO Box 728
Spring Hill Q
Australia 4004
21 October 2005
Company Announcements Office
Australian Stock Exchange Limited
20 Bridge Street
SYDNEY NSW 2000
Dear Sir
RE: Share Placement Lundin Mining AB

We advise that shareholders of the Company at the General Meeting held on 7 October, 2005 approved the issue of 75,000,000 new ordinary shares in Union Resources Limited (“UCL”) at an issue price of 3 cents ($0.03) per share together with the issue of a further 151,000,000 options (“UCLOB”) exercisable at A$0.10 up to and including 31 March 2009 to Lundin Mining
AB (“Lundin Mining”) pursuant to the Share Placement Agreement that was entered into on 20 August 2005.
The $2,250,000 raised will be used for working capital requirements, pilot plant test work and the completion of the Bankable Feasibility Study for the Company’s Mehdiabad Zinc Project in Iran.

We wish to give notice for the purpose of section 708A(5)(e) of the Corporations Act 2001
that:
• The new ordinary shares were issued without disclosure to investors under Part 6D.2
of the Corporations Act 2001;
• UCL has complied with relevant provisions of Chapter 2M of the Corporations Act
2001 and section 674 of the Corporations Act 2001 as they apply to the Company;
and
• The Company has no excluded information with the meaning of sections 708(A)(7)
and 708(A)(8) of the Corporations Act 2001.

As the result of the investment, Lundin Mining will become a substantial shareholder holding approximately 19.9% of the issued capital, which reflects a vote of confidence in the Company by a substantial mining company.

Yours faithfully
UNION RESOURCES LIMITED
Michael Ilett
Company Secretary