Refinancing of Ashton`s current long-term debt facility

Document date:  Wed 20 May 1998
Published:  Wed 20 May 1998 00:00:00
Document No:  137528
Document part:  C
Market Flag:  N
Classification:  

ASHTON MINING LIMITED                         1998-05-20  ASX-SIGNAL-G

HOMEX - Melbourne                                                     

+++++++++++++++++++++++++
                              APPENDIX 3B
                        NEW ISSUE ANNOUNCEMENT

Name of Entity
Ashton Mining Limited

ACN or ARBN
005 466 964

We (the entity) give ASX the following information.


PART 1 - ALL ISSUES


1. Class of securities to be issued    ordinary
                                                                    
 
2. Number of securities to be issued   30,805,561
                                                                    

3. Issue price of the securities       $1.15

4. If the securities are convertible,  na
   a summary of their main terms                                    

5. The amount to be raised by the      $35,426,395
   issue                                                            

6. Is there a right to accept or       no
   retain over-subscriptions                                        
                                                                    
   If so, give details                                              

7. Purpose of the issue                To raise funds to assist
                                       financing of Ashton Mining
                                       Ltd's Merlin Cempaka, and
                                       Cuango Development projects
                                                                    

8. Will the securities participate     The securities will
   in dividends (in the case of a      participate in any dividends
   trust, distributions) or            declared by Ashton Mining Ltd 
   interest                            after their allotment date
                                                                    
   If so, give the date from which                                  
   they will participate, and the                                   
   extent to which they will                                        
   participate                                                      

9. Dividend policy (in the case of     The directors determine
   a trust, distribution policy) on    whether dividends are to be
   the increased capital (interests)   paid by assessing a range of
                                       factors including the
                                       company's earnings, cash flow
                                       and outlook.


PART 2 - ISSUE TO A CLASS OF SECURITY HOLDERS

    Items 10 to 37 are Not Applicable
10. If the issue is to a class of      renounceable
    security holders, is it                                         
    renounceable or non-renounceable                                

11. Ratio in which the securities      1 for 10
    will be offered                                                 
                                                                    

12. Class of securities to which       ordinary shares
    the offer relates                                               

13. Record date to determine           2 June 1998
    entitlements                                                    

14. Will holdings on different         na
    registers (or subregisters) be                                  
    aggregated for calculating                                      
    entitlements                                                    

15. Policy for deciding entitlements   fractional entitlements will
    in relation to fractions           be rounded up to the next whole
                                       share

16. Names of countries in which the    Only security holders with
    entity has security holders who    registered addresses in
    will not be sent new issue         Australia and NZ will be
    documents                          entitled to participate in the
                                       rights issue.  Security holders
                                       in other countries will be sent
                                       new issue documents for
                                       information purposes only
                                                                    

17. Closing date for receipt of        1 July 1998
    acceptances or renunciations                                    
  
18. Places where applications may      Corporate Registry Services
    be lodged                          Pty Ltd, GPO Box 2975 EE
                                       Melbourne VIC 3001

19. Amount payable on acceptance       $1.15 per share

20. If the securities are partly       na
    paid, future call dates and                                     
    amounts payable                                                 
                                                                    

21. Names of any underwriters          ANZ Securities Ltd
                                       Merrill Lynch International
                                       (Australia) Ltd

22. Amount of any underwriting         $328,500
    fee or commission                                               

23. Are there any clauses in an        The Underwriting agreement sets
    underwriting agreement that        out events that entitle the
    may affect the obligation of       underwriter to terminate the
    an underwriter                     underwriting agreement.  Full
                                       details are set out in the
    If so, give details, and           Prospectus
    identify those that may be                                      
    invoked after it opens                                          

24. Names of any brokers to the        na
    issue                                                           
                                                                    

25. Fee or commission payable to       na
    the broker to the issue                                         
                                                                    

26. Amount of any handling fee         na
    payable to brokers who lodge                                    
    acceptances or renunciations                                    
    on behalf of security holders                                   

27. If the issue is contingent on      na
    security holders' approval,                                     
    the date of the meeting                                         

28. Date documents will be sent to     5 June 1998
    persons entitled                                                

29. If the entity has issued           na
    options, and the terms entitle                                  
    option holders to participate                                   
    on exercise, the date on which                                  
    notices will be sent to option                                  
    holders                                                         

30. How will entitlements not taken    The issue is underwritten as
    up by security holders be dealt    detailed in item 21 above
    with                                                            

31. Will securities be quoted          yes

32. Date rights trading will begin     25 May 1998 
    (if applicable)                                                 

33. Date rights trading will end       22 June 1998
    (if applicable)                                                 
                                                                    

34. How do security holders accept     In accordance with instructions
    their entitlements in full         contained in the entitlement
                                       and acceptance form
                                                                    

35. How do security holders sell       as in item 34 above
    their entitlements in full                                      
    through a broker                                                

36. How do security holders sell       as in item 34 above
    part of their entitlements                                      
    through a broker and accept                                     
    for the balance                                                 

37. How do security holders dispose    as in item 34 above
    of their entitlements (except                                   
    by sale through a broker)                                       


M Ziemer 
COMPANY SECRETARY
20/05/1998


                                                                                                                        1