RNS Number:8335Y
European Goldfields Ltd
19 May 2004


19 May 2004


   European Goldfields Accepts #10 Million Private Placement from Commerzbank

           Proceeds Will Be Used to Increase Interest in Hellas Gold

European Goldfields Limited (AIM: EGU / TSX-V: EGU) (the "Company") is pleased
to announce that it has accepted a non-brokered private placement proposed by
Commerzbank AG of up to 5,882,000 common shares at a price of #1.70 (Cdn$4.18)
per shares for total subscription proceeds of up to #10,000,000 (Cdn$24,586,760)
. As a result of the private placement, Commerzbank's shareholding in the
Company will increase from 8.6% to 18.8%. The private placement is subject to
the approval of the TSX Venture Exchange.


The Company intends to use the subscription proceeds to fund in part the
possible acquisitions of additional shares in Hellas Gold SA ("Hellas Gold")
from Mr. Dimitrios Koutras and/or Global Mineral Resources S.a.r.l. ( "GMR").
The Company, through a wholly-owned subsidiary, currently holds 30% of the
issued shares of Hellas Gold on a fully diluted basis.  The Company is currently
negotiating the terms of these acquisitions and has not entered into agreements
with either Mr. Koutras or GMR with respect to the same.  The Company cannot
confirm when or if these negotiations will be successfully concluded.  These
acquisitions would be subject to the approval of the TSX Venture Exchange.  To
the extent that the Company needs additional funds in connection with these
acquisitions, the Company is considering its options with respect of any future
funding required.  If additional funding is required, the Company cannot confirm
when or if such funding will be raised.


European Goldfields is a resource company involved in the acquisition,
exploration and development of mineral properties in Romania, Greece and the
Balkans.



For Further Information:

IR/Media Contact:
Ed Baer
London Office:   +44 (0)20 7763-7118  e-mail: info@egoldfields.com
London Mobile:   +44 (0)77 4681-5902  website: www.egoldfields.com

Buchanan Communications
Tim Thompson / Catherine Miles    +44 (0)20 7466 5000


The TSX Venture Exchange has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release and the information contained herein.







                      This information is provided by RNS
            The company news service from the London Stock Exchange

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