VANCOUVER, BRITISH COLUMBIA - AsiaBaseMetals Inc. (the "Company") (TSX VENTURE:ABZ) is pleased to announce that it has closed its previously announced private placement by raising gross proceeds of $400,000 through the issuance of 2,000,000 common shares at a price of $0.20 per share.

The proceeds of the private placement will be used for general working capital.

The common shares issued under the private placement are subject to a hold period under applicable Canadian securities laws expiring September 4, 2011, in addition to such other restrictions as may apply under applicable securities law outside Canada.

Raj Chowdhry, the President and Chief Executive Officer and a director of the Company, Rick Van Nieuwenhuyse, the Chairman of the Company and Joseph Piekenbrock, a director of the Company, have acquired securities under the private placement. Such participation is considered to be a "related party transaction" as defined under Multilateral Instrument 61-101 ("MI 61-101"). The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of any shares issued to or the consideration paid by such persons exceeded 25% of the Company's market capitalization.

Raj Chowdhry, C.A.
President & CEO

Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release, including statements regarding the Company's intention to carry out a private placement financing and the use of proceeds from such financing constitute "forward-looking statements" within the meaning of Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company is able to obtain regulatory approval of the private placement financing and is otherwise able to complete the private placement financing. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks include, among others, financing risks, delays in obtaining or inability to obtain required regulatory approvals and inability to complete the private placement financing. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

AsiaBaseMetals Inc.
Philippe Van Nieuwenhuyse
(604) 628-1162
(604) 628-1163 (FAX)

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