Eastplats Eastern Limb Development Plan

VANCOUVER, BRITISH COLUMBIA, Jun 03, 2010 (MARKETWIRE via COMTEX News Network) --

Mr. Ian Rozier, President and CEO of Eastern Platinum Ltd. (TSX: ELR)(AIM: ELR)(JSE: EPS) ("Eastplats" or the "Company") is pleased to report on the Company's development plan for its PGM assets on the eastern limb of the Bushveld Complex in South Africa. Once fully implemented, annual group production has the potential to increase to over 600,000 ounces per annum ("opa"), with eastern limb production alone contributing approximately 400,000 ounces.

CRM Update

Ongoing underground development at CRM's Crocette underground mine is progressing as planned and the Company is currently on track to increase production to 210,000 opa from existing operations at CRM by the end of 2013. Additional expansion opportunities exist at the Crocodile River Mine complex (CRM) on the western limb with the potential future development of the Kareespruit underground mine.

Development Plan for Eastern Limb Projects

An increase in annual production to 325,000 opa will be achieved by developing the Mareesburg open-pit mine and building a new 90,000 tonne per month concentrator to be located on the Kennedy's Vale site. As the Mareesburg open-pit is depleted, the production level from the eastern limb will be supplemented and increased to 135,000 opa with the development of the Spitzkop underground mine. Additional future production of 30,000 opa will be available from the development of the Mareesburg underground mine, with the De Goedegevagting ("DGV") and Kennedy's Vale deposits each having the potential to produce an additional 120,000 opa of PGM.

Eastplats plans to take a phased approach to development of its eastern limb projects as this will mitigate the risks associated with multiple new mines and a new processing facility being under construction at the same time, and optimizing capital requirements. Should market conditions permit, the Company has the flexibility to immediately initiate the proposed production build-up at the Spitzkop, Mareesburg, DGV and Kennedy's Vale underground mines after the construction of the Kennedy's Vale concentrator is complete.

Phase 1 - Mareesburg

Phase 1 will be the development of the Mareesburg open-pit mine to feed a 90,000 tpm processing plant to be built at Kennedy's Vale. The planned production ramp up from the open pit will be rapid to allow the mill to operate at full capacity from commissioning. To accommodate potential future capacity increases, the plant will include the civil and other surface infrastructure work required for an additional 90,000 tpm processing stream and appropriate tailings facility infrastructure to process up to 180,000 tpm of ore.

The capital cost for Phase 1 is estimated to be US$227 million and will produce approximately 115,000 opa of PGM. Phase 1 build out will take approximately 18 months from approval to proceed and will have a five year mine life, during which time the Spitzkop mine will be developed. The Phase 1 capital cost estimate includes the cost of electrical infrastructure so that Eskom can guarantee the provision of sufficient power for the processing plant at Kennedy's Vale to handle the mining and processing of up to 180,000 tpm of ore. A number of financing options for Phase 1 are currently being considered and the Company expects to provide an update in the second half of 2010.

Phase 2 - Spitzkop

Phase 2 will be the construction of the Spitzkop mine to supplement and subsequently replace the Mareesburg open-pit production. The capital cost for Phase 2 is estimated to be approximately US$98 million.

Phase 3 - Mareesburg and DGV underground mines

Phase 3 entails the development of the underground mines at Mareesburg and DGV, which has a measured resource in the UG2 reef alone containing 4.8 million PGM ounces, with grades of 5.2 g/t 4E.

Phase 4 - Kennedy's Vale

Phase 4 will be the development of the Kennedy's Vale mine where two 1,000m vertical shafts are already in place.

Financing options for Phase 2, 3 and 4 will be dependent upon the prevailing market conditions, future metal prices, foreign exchange rates and the revenues generated from CRM and Phase 1 operations.

"Our multiple properties on the eastern limb provide us with several options for further production expansion depending on market conditions. We have balanced our risks through this phased approach which in our view is both rational and achievable, and we are confident that we can execute this growth plan and deliver value to our shareholders. Phase 1 alone will increase our production by over 100% from our 2009 production level," stated Ian Rozier, President and CEO.

The qualified person having prepared the contents of this news release is Mr. Brian Montpellier, P. Eng.

Total shares issued and outstanding: 682,911,198

Certain statements included herein constitute "forward-looking statements" within the meaning of applicable Canadian securities legislation. These forward-looking statements are based on certain assumptions by Eastplats and as such are not a guarantee of future performance. Actual results could differ materially from those expressed or implied in such forward-looking statements due to factors such as general economic and market conditions, increased costs of production and a decline in metal prices. Eastplats is under no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.

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No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

Contacts: Eastern Platinum Limited Investor Relations (604) 685-6851 (604) 685-6493 (FAX) info@eastplats.com www.eastplats.com

SOURCE: Eastern Platinum Limited

mailto:info@eastplats.com http://www.eastplats.com

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