Century Mining Corporation

Century Mining Corporation

December 24, 2009 11:15 ET

Century Mining Signs Debt and Equity Agreements for Financing and Closes Flow-Through Financing

BLAINE, WASHINGTON--(Marketwire - Dec. 24, 2009) - Century Mining Corporation ("Century" or the "Company") (TSX VENTURE:CMM) is pleased to announce that it has signed all documentation and agreements related to the US$33 million prepaid gold forward facility and the CDN$17 million private placement. These financings have been fully described in previous corporate news releases and discussed at the Special Meeting of Shareholders on November 23, 2009.

Due to the signing of documentation for the above financings immediately prior to the Christmas / Boxing Day holiday weekend, the final closing and disbursement of funds to the Company cannot be completed until the week of December 28, 2009. A subsequent detailed press release will be issued at that time highlighting all terms of the completed financings.

"The signings of the prepaid gold forward agreement and the equity subscription agreements are major milestones for the Company and all of its stakeholders. With the funding of these financings next week, we will have achieved the final step to allow the Lamaque Gold Project in Val d'Or, Quebec to advance towards production in early 2010. On behalf of the Board of Directors and the management team, I would like to thank all our stakeholders for their support and strong vote of confidence in our company. Upon funding, Century will immediately pay the remainder of CDN$3.5 million financial guarantee requested by the Ministry of Natural Resources of Quebec for the reclamation of the Sigma site," commented Margaret M. Kent, President and CEO of Century Mining.

The Company also wishes to announce that it has closed the last flow-through equity financing, comprising 20 million units at a price of CDN$0.20 per share for gross proceeds of CDN$4.0 million. Each unit consists of a common share issued on a flow-through basis and one-half of a common share purchase warrant, with each full warrant exercisable for 18 months at a price of CDN$0.30. This financing was originally announced on November 27, 2009.

All of the securities issued under these private placements will be subject to a four-month hold period.

"We are very pleased to have completed this last tranche of flow-through financing. This $4 million allows the Company to continue its exploration, development, and resource delineation program at the Lamaque Gold Project. The Board of Directors would like to wish all of our stakeholders a happy holiday season, and we look forward to making 2010 a very prosperous year for our company. We will schedule a conference call for early January 2010, once funding is completed," added Ms. Kent.

About Century Mining Corporation

Century Mining Corporation is a Canadian-based gold producer with expanding gold production, late stage development and exploration properties, and holds strategic land positions in Canada, Peru, and the United States. The Company's strategy is to grow into a mid-tier producer through organic growth via existing mine expansions, and by pursuing other strategic and synergistic gold mining acquisitions.

On behalf of Century Mining Corporation,

Margaret M. Kent, President & CEO

Caution Concerning Forward-Looking Information

This press release contains forward looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of applicable Canadian securities laws. We use words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology to identify forward-looking statements and forward-looking information. Such statements and information are based on assumptions, estimates, opinions and analysis made by management in light of its experience, current conditions and its expectations of future developments as well as other factors which it believes to be reasonable and relevant. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors that may cause our actual results to differ materially from those expressed or implied in the forward-looking statements and information and accordingly, readers should not place undue reliance on such statements and information. Risks and uncertainties that may cause actual results to vary include but are not limited to the speculative nature of mineral exploration and development, including the uncertainty of reserve and resource estimates; operational and technical difficulties; the availability to the Company of suitable financing alternatives; fluctuations in gold and other commodity prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks arising from our South American activities; fluctuations in foreign exchange rates; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management's Discussion and Analysis included in this Annual Report, in our Annual Information Form and in other filings made by us with the Securities and Exchange Commission and with Canadian securities regulatory authorities and available at www.sedar.com.

While the Company believes that the expectations expressed by such forward-looking statements and forward-looking information and the assumptions, estimates, opinions and analysis underlying such expectations are reasonable, there can be no assurance that they will prove to be correct. In evaluating forward-looking statements and information, readers should carefully consider the various factors which could cause actual results or events to differ materially from those expressed or implied in the forward-looking statements and forward-looking information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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