favour, paste announcement, page-2

.
6 January 2005
ASX ANNOUNCEMENT





ACN 071 349 249
Level 3
457 Upper Edward Street
Brisbane
Queensland, Australia
PO Box 313
Spring Hill Qld 4004
Telephone +61 7 3839 4166
Facsimile +61 7 3839 7644
LAUNCH OF SHARE PURCHASE PLAN
The Board of SMC Gold Limited (ASX Code: SMO) is pleased to announce A
Shareholder Share Purchase Plan (SPP) to raise up to $5 million. Under the SPP
each shareholder will be offered up to 58,824 new fully paid ordinary shares in the
company, without brokerage costs, for 8.5 cents per share. The SMC Gold share
price at close of market yesterday was 10.0 cents per share.
Funds from the placement and SPP will be used to undertake further drilling and
mine planning at Cinabrio to delineate the reserve and test the resource boundary.
The budget for this work together with detailed design and implementation
planning for the expansion at the Punitaqui processing plant, is US$1 million.
Funds raised will also be used to provide equipment for the expanded operations
as well as working capital.
Terms of the SPP and key dates:
Each shareholder will have the opportunity to subscribe for up to 58,824 new fully
paid ordinary shares.
The purchase price of 8.5 cents per share represents:

a discount to yesterday’s closing price of SMC Gold shares quoted on the ASX
of 10 cents; and

a discount of 17% to the weighted average share price of the company’s
shares over the last 5 trading days immediately prior to the announcement of
the plan.
The proposed timetable for the offer of shares under the SPP is as follows:
.

Record date for entitlements: Friday 6 January 2006

Closing date for applications: Friday 10 February 2006

Issue and allotment of shares: Friday 17 February 2006
The right to participate in the SPP is available to all shareholders who are
registered as holders of fully paid ordinary shares as at 5.00 pm, AEST on 6
January 2005. The offer is non-renounceable and will close on 10 February 2006.
The SPP Offer Document, Application Form and detailed Terms and Conditions
will be forwarded to shareholders immediately following the record date specified
above.
Rob Kidd
Managing Director
For further information contact:
Simon Brodie
Chief Financial Officer
Tel: (07) 3839 4166, Mob 0411 558 544
Email: [email protected]
www.smcgold.com.au