Day: September 29, 2011

War Eagle Mining Company Inc. has entered into a letter of intent dated September 26, 2011 with Andromeda Resources Inc., which is a private company incorporated under the laws of Ontario. It is contemplated that all the shareholders of Andromeda (other than War Eagle) will exchange each issued and outstanding common share of Andromeda for 6.67 common shares of War Eagle (the “RTO”) such that the current shareholders of War Eagle will own approximately 32% of the outstanding shares of the combined company resulting from the RTO and shareholders of Andromeda (other than War Eagle) will own the remaining 68% of the Resulting Issuer before the concurrent financing described below. Andromeda currently has 2,900,000 common shares issued and outstanding, of which War Eagle owns 500,000 common shares. There are no outstanding options or warrants exercisable into securities of Andromeda.