NEWS RELEASE

ECUADORIAN MINERALS CORPORATION

May 17, 1999

Trading: TSE.EMC

ECUADORIAN ANNOUNCES PRIVATE PLACEMENT FINANCING

Ecuadorian Minerals Corporation (“EMC”) is pleased to announce that as of May 17, 1999 the Company has completed the previously announced (April 8, 1999) non-brokered private placement of Cdn$2,225,000 (approximately US$1.5 million). A total of 4.45 million units at a price of Cdn$0.50 per unit were issued to five placees, all located in Europe. Each unit consists of one common share and one share purchase warrant exercisable at Cdn$0.60 for the first year, Cdn$0.80 for the second year and Cdn$1.00 for the third year. A finder’s fee of 178,000 units has been paid to an arm’s length individual with respect to the placement. The proceeds of the financing will be used for drilling this summer at the Vetaspata gold project in southeastern Peru and the Beroen gold-silver project in Ecuador, for other exploration activities in Peru and Ecuador and for working capital for general corporate purposes.

EMC is a Toronto Stock Exchange listed mineral exploration and development company with a focus on high quality gold and silver deposits in Peru and Ecuador. As a result of the new funding EMC’s share capital will consist of approximately 50.2 million shares on an issued and outstanding basis and approximately 56.5 million on a fully diluted basis.

The common shares and the warrants (together with the shares deliverable upon the exercise of the warrants) have not been, and will not be, registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent registration under such act or compliance with an applicable exemption from such registration requirements.

Stephen J. Kay, President and CEO

The Toronto Stock Exchange neither approves nor disapproves the information contained in this News Release.

For additional information, contact Linda North at Tel: (480) 483-9932 or Fax: (480) 483-9926.

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