On June 17, 2008, Augusta Resource Corporation (TSX/AMEX: AZC) announced that its wholly owned subsidiary, Rosemont Copper Company had entered into a loan agreement with Sumitomo Corporation of America ("Sumitomo"), a wholly-owned subsidiary of Sumitomo Corporation. The material terms of the facility are that Sumitomo will provide US$40,000,000 to be drawn down by Rosemont over the next twelve months to fund major equipment contracts and general working capital. The loan is guaranteed by Augusta and secured against Rosemont's assets, including the deposits on the long-lead time equipment being ordered, and will mature in June 2010. Augusta anticipates having full project financing in place before the maturity date.

Josh Lewis of Fasken Martineau advised Augusta in the negotiation of this agreement.