Vancouver, B.C.: Southern Arc Minerals Inc. (TSX Venture: SA) is pleased to announce the granting of a further two exploration licenses (Kuasa Pertambangan "KP") to the company, through its locally-controlled Indonesian entity, over part of west Flores Island, East Nusa Tenggara Province. The KP areas Longgo (1,207 ha) and Bolol (550.4 ha) were previously explored by CSR-Billiton (1986-1993) and Aberfoyle Resources (1997-2001) under fourth and seventh generation Contracts of Work. The KP licenses, issued by the Manggarai and Ngada regencies, are valid for twelve months and can be extended for a further 12 months as part of the General Survey conditions of the licenses.

Previous exploration at Longgo reported anomalous Cu-Zn-±Pb soil geochemistry over an area of 2,500 m by 500 m, coincident with the trace of a prominent NW trending aerial photo lineament. Soil geochemistry values range from 380 ppm - 2.3% Cu, 0.1-5.0% Zn and 225 ppm - 0.73% Pb, with highest values from areas of gossanous sub outcrop. Limited sampling of gossanous outcrop returned values ranging from to 0.002-1.8% Cu, 0.005-7.9% Zn and 0.001-3.7% Pb, while rock float samples assayed between 0.002-4.1% Cu, 0.001-35.0% Zn and 0.001-0.1% Pb, respectively. Initial interpretation suggests that base metal anomalism is related to structurally and stratigraphically-controlled epithermal mineralization.

Previous exploration at Bolol reported extensive Au-Ag anomalous soil geochemistry over an area of 1,500 m by 200 m, coincident with outcropping high-level epithermal quartz veining and stockwork. Based on surface mapping and geochemistry it appears that entire paleo-geothermal system is intact and with this the potential for bonanza Au-Ag veins and/or bulk tonnage quartz Au-Ag stockworks. These results have not yet been verified by Southern Arc.

Both KPs are very accessible and the company anticipates that it will take only 3 to 4 months of field exploration to define initial drill targets. 

These are the third and fourth Flores Island KP licenses to be issued to the Company. The earlier two, Tebedo and Dalong, were reported in news release No. 05-05 on the 26th of August 2005. Assessment of the entire western part of Flores Island is on going and it is anticipated that the company will acquire further KP areas in the near future.

Southern Arc continues to expand its portfolio of exploration properties across Lombok Island, Sumbawa Island and Flores Island. These recent acquisitions form part of the Company strategy, which is to be an active junior mineral exploration company throughout the entire Sunda Banda magmatic arc of south-central Indonesia.

On behalf of the Board of 
Southern Arc Minerals Inc.

"John Proust"

President and CEO

Southern Arc Minerals Inc.
Suite 1500, Box 1078, 885 West Georgia Street, Vancouver, BC V6C 3E8 Canada
Telephone: (604) 676-5241 Fax: (604) 676-5246

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