San Andreas Resources - Conversion of Debenture

Business Wire, Oct 2, 1995

VANCOUVER, BC--(BUSINESS WIRE)--Oct. 2, 1995--SAN ANDREAS RESOURCES (TSE:SAO) San Andreas Resources Corporation announces that it has exercised its right to convert the $750,000 convertible debenture due June 22, 1996, held by Nanisivik Mines Ltd., into 600,000 shares of the Company.

Under the terms of the debenture, as amended by agreement dated June 22, 1995, the Company had the right to require conversion of the debenture into shares provided that the closing price of the shares on the Toronto Stock Exchange had been not less than $1.50 per share for 20 consecutive trading days. The closing price on the Toronto Stock Exchange was not less than $1.50 from August 31, to September 28, 1995.

CONTACT: Tony Millar,

Chairman & C.E.O.

011-44-1252-794740

or

David Elgee,

President

604/688-2001 REPEATS: New York 212-575-8822 or 800-221-2462; Boston 617-236-4266 or

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