Ivernia Inc.

Ivernia Inc.

June 07, 2007 09:29 ET

Ivernia's Subsidiary Magellan Metals Clarifies Key Issues for Esperance Lead Inquiry

TORONTO, ONTARIO--(Marketwire - June 7, 2007) - Ivernia Inc.'s (TSX:IVW) wholly-owned subsidiary, Magellan Metals, today appeared for the second time before the Western Australian Parliamentary Committee inquiry into the cause and extent of lead pollution in Esperance and provided further clarification on key issues.

The full release from Magellan Metals is as follows:

June 7, 2007 - Magellan Metals appeared today for the second time before the Western Australian Parliamentary Committee inquiry into the cause and extent of lead pollution in Esperance.

Magellan Metals Managing Director, Patrick Scott, submitted to the committee evidence on two key issues:

1. The status of Magellan's lead carbonate concentrate as Dangerous Goods.

Magellan's product has always been classified as Dangerous Goods. At different times, however, reputable experts have rated it either a class 9 dangerous good or a class 6.1 dangerous good.

In either classification, lead carbonate can be transported legally and safely in bulk and in the land transport vessels (kibbles) that were used to take it by road and rail from the mine at Wiluna to Esperance.

The major difference between the two classifications is the signage to be placed on the packaging or kibbles. Class 6.1 requires the signage to include the word "Toxic" and show a skull and cross bones. Class 9 requires the signage to be a yellow and black bar design with the words "Miscellaneous Dangerous Goods".

A recent review of the product's Dangerous Goods status requested by the Department of Consumer and Employment Protection re-rated it from class 9 to class 6.1.

2. The use of "box-hold" ships.

Box-hold ships are used routinely worldwide (including Australia) for the transport of metal concentrates.

This type of vessel is commonly used throughout the world for general cargo including metal concentrates and was used on four occasions for the transport of Magellan lead concentrate - January 10, 2006, October 10, 2006, October 31, 2006 and December 12, 2006. The inquiry has heard that the loadings at Esperance on October 10 and December 12 caused dust emission incidents. It has been asserted that this type of ship, because of its physical characteristics is inappropriate for loading bulk concentrate.

However, the inquiry has so far overlooked the successful January 10 and October 31 loadings. Magellan received reports from the Port on the October 31 loading and it proceeded with very little dusting because of the use of a telescopic loading chute and dust suppressions systems including citrus binding agents. The same equipment should have been used on all loadings.

Magellan believes the major contributors to the dusting incidents at the port were:

- product being loaded in high winds and at night with insufficient
attention being paid to dust minimisation;
- not using the telescopic extension for the ship loader;
- inadequate timely use of the dust suppression systems;
- product being loaded when it was too dry.

Magellan hopes the provision of material to the committee on these issues will assist the committee in its investigation. The company continues to maintain that, while the escape of lead into the environment beyond the Port of Esperance is unacceptable, lead carbonate concentrate can be handled and transported safely and in an environmentally appropriate manner.

Magellan Metals Pty Ltd.
Patrick Scott
Managing Director
Tel: (08) 9267 7000
Fax: (08) 9267 7070
E-mail: info@magmetals.com

Forward-looking Statements

This document contains certain "forward-looking statements". All statements included in this document (other than statements of historical fact) which address activities, events or developments that management anticipates will or may occur in the future are forward-looking statements, including statements as to the following: future targets and estimates for production, capital expenditures, operating costs, cash costs, mineral resources and ore reserves, recovery rates, grades and prices; business strategies and measures to implement such strategies; competitive strengths; estimated goals and plans for Ivernia's future business operations; and other such matters. These statements are based upon certain assumptions and analyses made by management in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances such as the results of the government's continuing investigations into the matters resulting in the suspension of mining operations including the impact on the Company resulting from any legal or regulatory action which may be taken in connection with the matters being investigated, the timing of the receipt of required regulatory approvals required to resume shipment of lead concentrate of either the stranded lead at the Port of Esperance or further lead shipments from the mine of which such approvals may not be received until well after the parliamentary inquiry report is presented currently scheduled for August 16, 2007, the duration of the suspension of mining and milling operations, the approval of the independent shareholders of the Company to the terms of the financing entered into and closed by the Company on April 27, 2007, resources and reserves, metal price volatility, exchange rates, single mineral property, metallurgy, environmental factors, mining risks, insurance, labour and employment regulations, health and safety, government regulations, dependence on key personnel, constraints on cash flow and nature of mineral exploration and development.
These factors may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and there can be no assurance that the actual results or developments anticipated by management will be realized or, even if substantially realized, that they will have the expected results on Ivernia. The reader should not place undue reliance on them. Other risks and factors that could cause actual results to differ are described in Management's Discussion and Analysis ("MD&A") for the year ended December 31, 2006 under the heading "Risks and Uncertainties". Our MD&A and additional information on Ivernia are available on the Company's website at www.ivernia.com and on Ivernia's SEDAR profile at www.sedar.com. All of the forward-looking statements made in this document are qualified by the foregoing cautionary statements. The Company expressly disclaims any obligation to update or revise any such forward-looking statements.

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