| Solomon to carry out $500,000 Private Placement Financing |
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Vancouver, Canada, May 31, 2007 Solomon Resources Ltd. (SRB: TSX-V) proposes to raise up to $500,000 through a private placement of up to approximately 1.43 million units at $0.35 CAD per unit. Each unit will be comprised of one common share and one share purchase warrant. Each warrant will be exercisable to purchase one common share of the Company at an exercise price of $0.50 for a period of two years. Subsequent to the expiry of the initial four month hold period, the expiry of the warrants may be accelerated, upon notice to holders and at the election of the Company, if the shares trade at a price equal to or greater than $0.75 per share for 20 consecutive trading days. If this condition is met and the Company so elects, the exercise period will be reduced to 25 business days from the date notice is provided by the Company to the warrant holders. The financing is subject to regulatory approval and finders fees will be paid in units to accredited agents on that portion of the funds raised from third parties introduced by the finders. The funds will be directed to funding uranium exploration of Mongolia and to general working capital. Solomon is currently well financed for the 2007 Canadian exploration season having recently completed two flow-through financings totalling $2.15 million together with over $1.25 million in unallocated cash and marketable securities. These funds will fund the Companys $1.0 million drilling program soon to commence on its COL-MAGNET, Cu-Au alkalic porphyry prospect located within the Hogem Intrusive Complex of the Quesnel Terrane in north central B.C. and the $1.0 million drilling program planned for its Eyapamikama Lake polymetallic VMS project located 190 km north of Pickle Lake Ontario. In both instances, the known mineralization is open in all directions with excellent potential for discovery of additional mineralization. Solomon is pleased to announce that it has appointed Randy Rogers of Vernon, British Columbia as its Vice-President, Corporate Development and Investor Relations. Mr. Rogers is a geologist and retired RCMP officer with an extensive background in the public securities markets. Solomon has granted him a stock option under its Stock Option Plan. Solomon is currently focused on copper-gold and zinc-lead-silver base metals projects in Canada, uranium and coal energy projects in Mongolia and western Canada. It is a Tier 1 Company whose shares trade under the banner SRB on the TSX Venture Exchange (TSX-V).For additional information visit Solomons website at www.solomonresources.ca.
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