Ashton Announces $3 Million Offering.

Business Editors

VANCOUVER, B.C.--(BUSINESS WIRE)--July 31, 2001

Robert T. Boyd, President and CEO of Ashton Mining of Canada Inc. (TSE:ACA.) ("Ashton" or the "Corporation") is pleased to announce that Ashton intends to raise up to $3,000,000 through the sale of common shares at $0.67 per share.

The offering is expected to close not later than August 31, 2001.

The transaction contemplates the issuance of an aggregate total of 4,477,612 common shares. Up to 2,835,820 flow-through common shares as defined under the Income Tax Act will be offered, with the balance being issued as non flow-through common shares.

Subject to the approval of their respective Boards of Directors, two member companies of the Rio Tinto group have agreed to participate in this offering by purchasing shares for total proceeds of $2 million. The shares purchased will include not less than 746,268 and not more than 1,343,283 flow-through common shares. Ashton is pleased that the Rio Tinto group has chosen to participate in this offering during the process of investigating alternatives for the divestment of Rio Tinto's controlling beneficial interest in the Corporation.

The shares to be issued under this offering will be sold on a private placement basis and will not be qualified by a prospectus. As a result, they will be subject to the applicable statutory hold periods. The offering is subject to a number of conditions including the execution of formal documentation, ratification by Ashton's Board of Directors and confirmation of the applicable regulatory approvals.

The proceeds from the offering will sustain the orderly progression of Ashton's ongoing programs in the Northwest Territories, Nunavut, Alberta and Quebec for the balance of the current year.