Finders Resources aims to raise funds to construct a heap leach SX-EW pilot plant for the Wetar Copper Project in Indonesia.

The company hopes to raise the funds for construction and additional working capital through a share placement valued at Aus $15.8 million.

Production from the pilot plant is expected to be around 5 tonnes per day from July 2008, as a precursor to full scale production of 20-25,000 tonnes per annum of cathode copper from mid 2009.

The current Wetar resource base of 248,000 tonnes of contained copper in two low strip ratio deposits supports an expected mine life of more than eight years at this production rate. However, Finders believes there is excellent exploration potential on Wetar Island to delineate further copper rich massive sulphide deposits and significantly expand the current resource base and mine life.

The financing is in the form of a placement of 4 million shares at Aus$1.10 per share through Southern Cross Equities, and an agreement with Tennant Metals whereby Tennant and its associated shareholder, Meridian International Capital, will subscribe for US$5 million in shares at Aus$1.10 per share, and will also provide a secured loan facility of US$5 million, in return for the off-take rights for all copper production from the Wetar pilot plant, plus off-take rights for 10% of copper production from the planned full scale mining operation at Wetar.

Finder's executive chairman Dr Russell Fountain says: "This financing represents a significant milestone for the company in its move to producer status. The funds will enable us to complete fast track development of the Wetar Copper Project pilot plant, which will produce cash flows for the company from mid 2008, and also allow us to continue an aggressive exploration program at Ojolali, aimed at defining a start-up oxide gold resource.

www.findersresources.com