Intrepid Mines Limited
TSX : IAU
ASX : IAU

Intrepid Mines Limited

December 09, 2009 18:40 ET

Intrepid Mines Limited: Tujuh Bukit Project New Porphyry System Discovered

- New porphyry system, named Katak Prospect, discovered 2.5km NE of the known Tumpangpitu mineralisation

- Highest copper level in soils from entire project sampling to date

- Located in Production Forest, in low rolling topography. Easily accessible - drilling scheduled next month.

BRISBANE, AUSTRALIA--(Marketwire - Dec. 9, 2009) - Intrepid Mines Limited (TSX:IAU)(ASX:IAU) (the "Company") is pleased to report that interpretation of semi-regional soil sampling, recently completed detailed heli-magnetic surveys, and geology over the Tujuh Bukit project area has identified several new anomalies that will be systematically followed up over the next few months.

The first of these is Katak Prospect located 2.5km NE of the known Tumpangpitu mineralisation.

Katak is a coincident copper-gold-molybdenum soil anomaly covering an area of 650 x 500m, with a peak copper value in soils of 0.235% – the highest copper-in-soils response from the project. The copper-in-soils anomaly is coincident with molybdenum and gold-in-soil anomalies. The surface geochemistry is coincident with mapped diorites exhibiting high level porphyry alteration and veining, and with a discrete magnetic response. The coincidence of anomalism from the integrated datasets is striking and provides confidence for the upcoming drill program.

The magnetic response has been modelled in 3-D and defines a steeply north plunging body of >500m vertical extent.

This is considered a significant discovery and it is expected that drilling will commence in early 2010 once drilling rigs have completed the current phase of the oxide drilling program.

The prospect is located within Production Forest and so does not carry additional risk of limitations on development.

To view the image, please visit the following link - http://media3.marketwire.com/docs/int11209.pdf

Location of Katak Prospect relative to the main Tumpangpitu drilling area. Katak is located within Production Forest. The background image is Reduction to Pole detailed magnetics data.

To view the image, please visit the following link - http://media3.marketwire.com/docs/int21209.pdf

Katak Prospect showing coincident magnetic anomaly (Reduction to Pole processing), copper-in-soil geochemistry, and gold-in soil geochemistry. The black line shows the forest boundary with Protection Forest in the south and Production Forest in the north.

To view the image, please visit the following link - http://media3.marketwire.com/docs/int31209.pdf

Image showing coincident magnetic anomaly (Reduction to Pole processing), and mapped extent of Diorite

To view the image, please visit the following link - http://media3.marketwire.com/docs/int41209.pdf

Images showing the 3-D model of the Katak heli-mag anomaly with contours from surface geochemistry – red = copper, yellow = gold, blue = molybdenum. The magnetic anomaly is coincident with mapped diorite and soil geochemical anomalies.

FORWARD-LOOKING STATEMENTS

This announcement contains certain forward-looking statements, relating to, but not limited to Intrepid's expectations, intentions, plans and beliefs. Forward-looking information can often be identified by forward-looking words such as 'anticipate', 'believe', 'expect', 'goal', 'plan', 'intend', 'estimate', 'may' and 'will' or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future outcomes, or statements about future events or performance. Forward-looking information may include reserve and resource estimates, estimates of future production, unit costs, costs of capital projects, and timing of commencement of operations and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied.

Shareholders and potential investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Intrepid undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

Statements relating to gold reserve and resource estimates are expressions of judgment, based on knowledge and experience and may require revision based on actual production experience. Such estimates are necessarily imprecise and depend to some extent on statistical inferences and other assumptions, such as gold prices, cut-off grades and operating costs, which may prove to be inaccurate. Information provided relating to projected costs, capital expenditure, production profiles and timelines are expressions of judgment only and no assurances can be given that actual costs, production profiles or timelines will not differ materially from the estimates contained in this announcement.

QUALIFIED PERSON

The information in this announcement that relates to exploration results is based on information compiled by or under the supervision of Malcolm Norris, who is a full-time employee of Intrepid Mines Limited. Mr Norris has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" and a Qualified Person as defined in the Canadian National Instrument 43-101 (standards of Disclosure for Mineral Projects). Mr Norris consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

SAMPLE ANALYSIS

Intrepid exercises a strict chain of sample custody in its drilling program at Tujuh Bukit. Joint Venture personnel remove core from the drill rig and deliver it to a project geologist who logs the core and marks the core into two metre sample intervals. Intrepid and Joint Venture personnel supervise the immediate splitting, sawing and bagging of samples, and packaging of groups of samples for dispatch to the laboratory. The remainder of the split core remains on site.

Samples are securely packaged, batched, and then transported under supervision to Intertek's laboratory facility in Jakarta. At the laboratory, the samples are prepared by crushing and pulverizing and a 30 gram charge is assayed for gold by conventional fire assay and/or atomic absorption methods. Multi-element ICP analysis is carried out using a multi-acid digestion process. All samples that contain silver and/or copper, lead, and zinc values that exceed the upper detection limits for ICP are re-analysed by conventional atomic absorption methods to determine the absolute values of these metals.

FORESTRY ACTIVITIES

The Indonesian Forestry Law restricts non forestry activities within protection forests and prohibits mining using an open pit method in protection forest areas. Accordingly, Intrepid's Alliance partner, PT IMN, is working with relevant Indonesian authorities to allow for a review of forest land status.

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