American Resource Concludes $10 Million Loan Agreement.

GREENBRAE, Calif.--(BUSINESS WIRE)--May 19, 1995--American Resource Corporation Inc. (ARC)(NASDAQ:AREE) announced today the completion of a loan agreement in which Miramar Mining Corporation is making C$10 million available to ARC. The first tranche of US $3 million has been drawn down by ARC. The remaining funds may be drawn down under requirements of the agreement and following completion of the sale of ARC's Argentine subsidiary Recursos Americanos Argentinos (RAA), to Miramar's subsidiary Northern Orion Explorations Ltd. (VSE:NNO) for 15 million shares of Northern Orion.

The company also announced that the due diligence process has been satisfactorily completed as part of the proceedings in the sale of RAA to Northern Orion Explorations Ltd.

At the conclusion of this agreement, which is subject to Canadian regulatory requirements, ARC will be a substantial shareholder of Northern Orion. The acquisition will result in Northern Orion adding RAA's five Argentine projects, most of which are at advanced stages of exploration, to its existing portfolio of over 30 mining property interests in Argentina.

American Resource Corporation Inc. is a gold and copper exploration, development and mining company headquartered in Greenbrae, California with mineral property interests in Argentina, Uruguay and the United States.

CONTACT: American Resource Corporation, Greenbrae

Stephen N. Anderson, 415/461-6868