Caledonian Pacific V.S.E. public offering raises C $1,625,000.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Feb. 24, 1997-- Caledonian Pacific Minerals N.L. (VSE CDM.) Caledonian Pacific Minerals N.L. (CDM) confirms that it has raised C $1,625,000 by issuing 6,500,000 ordinary shares through the Vancouver Stock Exchange (VSE). The issue was guaranteed by Whalen, Beliveau and Associates Inc., who were paid a 7.5 percent commission ($121,875).

The net proceeds from the VSE issue, together with private placement proceeds ($203,500) and working capital (as of January 31, 1997) gives Caledonian over $2.8 million to pursue Company objectives. The future exercise of agents' warrants will provide the Company an additional $1.4 million working capital.

CORPORATE INFORMATION COMPANY SUMMARY AND OBJECTIVES

Caledonian Pacific Minerals N.L. was incorporated in Australia on August 16, 1993. It was listed on the Australian Stock Exchange on April 30, 1996, and was listed on the Vancouver Stock Exchange on December 24, 1996.

The Company is primarily engaged in exploring, developing and mining mineral resource properties. Caledonian presently holds interests in nine mining concessions and exploration permit groups in New Caledonia (an overseas French territory Island in the South Pacific, located 1,600 kilometers east of Queensland, Australia) and four mineral lease and exploration license groups in New South Wales, Australia.

The Company's priority objectives are outlined in the Exchange Offering Prospectus dated January 30, 1997 (pages 3, 21 and 55). In summary, the Company aims to "identify gold mineralisation targets and to establish the presence of gold resources and reserves". The immediate Company programs will carry out detailed geophysical surveys (in New Caledonia and Australia), complete mapping, geochemistry / structural studies and test targets for gold (by trenching and drilling).

COMPANY PROPERTIES IN NEW CALEDONIA

New Caledonia is situated immediately west of the subjection zone between the Indo-Australian plate and the Pacific plate. The part of the subduction zone which is close to New Caledonia is marked by the New Hebrides ocean trench. The Indo-Australian plate is moving relatively faster than the Pacific Plate. The regional geology of the island reflects its proximity to the plate margin and the subduction zone.

The Company will explore mineralisation (gold, silver and base metals) which has received only cursory examination with the exception of recent work done by Bureau de Recherches Geologiques et Minieres (BRGM) and minor regional work done by others early this century. The Company has acquired the majority of significant available gold prospects in the Northern Province on the basis of previous mining and significant gold assays (in BRGM regional surveys). Drilling in 1996 intersected 16 meters at 6.1 grams/tonnes gold in the Fernhill Mine prospect.

COMPANY PROPERTIES IN AUSTRALIA

Three of the Company's Australian exploration areas lie within the New England Orogen of New South Wales, a highly-mineralised belt containing thousands of mineral deposits (most of which were formed during deformation and volcanic action as the continental margin built up during the Palaeozoic era).

The Attunga (copper-gold and tungsten) and Nundle (gold, antimony and tungsten) properties lie within the influence of the Peel Fault, a 300 kilometer mineralised system along which slices of metal rich oceanic crust have been intruded and act as a focus for hydrothernal mineralising fluids. Numerous occurrences of stratiform copper and both vein and disseminated gold define its position. The 1996 drilling program intersected 5 meters at 5.86 grams/tonne gold at Nundle.

The Dundurrabin Exploration Licence lies along a north-west fault structure which is complementary to the Demon Fault, a major north-south dislocation. The north-west fault has been intruded by a complex of gabbroic and granitic rocks which are associated with anomalous gold, silver, copper and molybdenum (Mo).

The fourth exploration area is the Southparkes Exploration Licence 4909 (Caledonian 25 percent). It covers a significant gravity anomaly of a similar intensity to the gravity low covering the Northparkes Mine. The 94 unit, 300 square kilometer licence lies between Northparkes copper-gold mine and the Lake Cowal gold development. The area has a well-developed infrastructure and is located 300 kilometers northwest of Sydney, Australia and 60 kilometers southwest of Parkes. The licence area is at the intersection of two metallogenic megalineaments which were recognised by Dr. Tim O'Driscoll in his paper (1980) regarding gravity lineaments. The major west-northwest megalineament contains the Broken Hill and Olympic Dam orebodies and is one of the megalineaments for which O'Driscoll coined the term "Highways of the Giants".

LOOKING TOWARDS A BRIGHT FUTURE

Caledonian Pacific Minerals N.L. has 13 high-potential properties within the "Pacific Rim Of Fire", an area containing the world's richest deposits of gold and base metals. The Company will use the most advanced exploration techniques and sound deductive geological reasoning (for target selection) to find and develop significant gold deposits.

ON BEHALF OF THE BOARD

Terence J.C. O'Leary, Executive Director

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

CONTACT: Corporation X Inc., 604/682-1991

604/682-4439 (FAX)

800/270-3024 US/CAN

North America

or

Caledonian Pacific Minerals N.L.

Terry O'Leary, +[phone]

+[phone]

[phone] International

Australia

Bruce Robinson, +[phone]

+[phone]

[phone] International

Australia