Midland Exploration Inc.
TSX VENTURE : MD

Midland Exploration Inc.

November 25, 2008 09:00 ET

Midland Discovers New Gold and Base Metal Mineralization on its James Bay Gold Project

MONTREAL, QUEBEC--(Marketwire - Nov. 25, 2008) - Midland Exploration Inc. ("Midland") (TSX VENTURE:MD) is pleased to announce that the first year exploration with Agnico-Eagle Mines Limited ("Agnico-Eagle") on the James Bay gold properties has been very successful in finding several new gold bearing outcrops with values as high as 9.1 g/t Au. Prospecting along aeromagnetic anomalies high has led also to the discovery of a significant new base metal and precious metal showing returning 6.1% Cu, 0.26 g/t Au and 30.8 g/t Ag. These gold properties are currently held 100% by Midland Exploration Inc and are under an option agreement with Agnico-Eagle.

These new diversified mineralization discoveries clearly demonstrates the significant potential for finding orogenic gold and gold-rich volcanogenic massive sulphide deposits in the Lac Trieste and Lac Duhesme greenstone belts lengthening through the Midland's Property. Midland is very encouraged by these results which dictate additional works in the form of ground geophysics, stripping and channel sampling, detail geochemistry and diamond drilling.

Lasalle claim bloc mineralizations

The Lasalle claim bloc is underlain by the Lac Duhesme metavolcano-sedimentary greenstone belt of the La Grande Subprovince. Several styles of mineralization were observed on the Lasalle property including shear associated gold occurrences, disseminated arsenopyrite gold bearing biotite-rich metasedimentary rocks and gold-bearing silicate-sulfide and oxide facies iron-formations.

Among the best new showings there are the Golden Idol Showing hosted in a sheared metavolcanoc-sedimentary structure in the eastern part of the Lasalle Property. Arsenopyrite-bearing metasediment grab samples returned up to 9.1 g/t Au. Other grab samples collected nearby returned 0.60 and 0.16 g/t Au respectively. This mineralized system is open in all direction and induces polarization (I.P) surveying, stripping and channel sampling is foreseen early next year to verify the extent of this new mineralization.

Prospecting and sampling 700 m east of the original Golden Idol Showing, selected grab samples 60 meters apart returned 0.33 g/t Au, 0.09% Zn and 0.09 g/t Au, 0.21% Zn respectively. The East Golden Idol Showing is also hosted in chloritized and silicified metasediments.

Prospecting along a northwest trending aeromagnetic high has led to the discovery of a new significant base metal and precious metal showing returning 6.1% Cu, 0.26 g/t Au and 30.8 g/t Ag. Although this new named Eade North Showing remains to be further investigated this mineralization is believed to be hosted in an altered felsic volcanic with 50% combined pyrite, pyrrhotite, chalcopyrite and arsenopyrite. This semi-massive sulfide mineralization sits stratigraphycally at the same level as the Eade showing located 900 meters southwest. The Eade showing found in 1966 is known to extend sporadically over 600 metres and contains 5 to 25% Py, 6 to 30% Po, trace to 1% Aspy and trace Cpy hosted in a felsic volcanic. The presence of rich concentration of copper near the iron formation within a felsic volcanic sequence is a good indicator for gold VMS type deposit. HLEM survey to define future drill targets is planned and more mapping and prospecting is required to confirm the exact nature of this new mineralized system.

Galinee claim bloc mineralizations

The Galinee claim bloc is underlain by the Lac Trieste metavolcano-sedimentary greenstone belt of the La Grande Sub-province. Different types of mineralizations were also observed on this bloc including hydrothermal gold occurrences in a metasediment-hosted pyrite-chalcopyrite veinlets, disseminated arsenopyrite gold bearig mineralization occurrig in a biotite-rich metasediment, and gold-bearing polymetallic silicate-sulfide and oxide facies iron formation.

Rock sampling in the northwest portion of the Galinee property led to the discovery of the Pankot's Palace Showing characterized by millimetric pyrite-chalcopyrite veinlets hosted in a fine grained metasedimentary rock. Grab samples collected by Midland's geologist returned up to 5.20 g/t Au and 0.60 g/t Au respectively. Interestingly, an outcrop of paragneiss crosscut by K-feldpars-rich veinlets located 150 meters to the east, returns 0.15 g/t Au. This new mineralization is open in all direction and I.P., stripping and channel sampling is proposed to test the extent of this mineralized system.

Located in the north of the Galinee property and associated with a magnetic low the Lost Grub Showing is characterized by subtle disseminated fine-grained arsenopyrite hosted by a biotite-rich metasediment. Assay result from this outcropping zone returned 0.19 g/t Au. A challenging feature is that the outcrop's weathered surface reveals no sign that arsenopyrite mineralization is present (no rust). Consequently, this showing is very similar to other unmineralized metasediments present on the property. The significance and the overall size of this showing cannot be clearly determined until further stripping and channel sampling is completed because of overburden cover.

Elsewhere prospecting and reconnaissance mapping has identified other anomalous gold outcrops and boulders which requires more investigation. More prospecting and sampling is anticipated for the next year.

In conjunction with the prospecting program Midland has collected 317 basal till samples having for objective to discover new gold sources on the Lasalle and Galinee claim blocks where known first order gold, arsenic and antimony lake-bottom anomalies were historically found. The till samples were sent to Val D'Or's ExploLab Inc. for preparation where the heavy fractions will be separated from the lights. Upon separation completed, foreseen for the end of Novemberr, the heavy mineral concentrates (HMC) will be sent to ALS Chemex for assay. It is anticipated that this work will be successful in identifying new gold targets that will be follow-up next summer.

Midland controls more than 1240 claims totalling 640 km2 in this James Bay favourable area. The Midland properties are associated with first order, isolated or combined strong unexplained gold, arsenic and antimony lake-bottom sediment anomalies. Midland's properties are located near the contact between volcanic-plutonic units of the La Grande Subprovince and the metasedimentary units of the Opinaca Subprovince. This contact is recognized as a favourable setting for gold mineralization in the northeast Superior Province. The Eleonore gold deposit is also located along this favourable contact.

Terms of the Exploration Agreement

Agnico Eagle may earn 50% of Midland's interest in the property, by spending a total of $4,500,000 in exploration work and making payments totalling $300,000 over four years. Agnico-Eagle must spend $600,000 in exploration work during the first year (firm commitment). Midland will be the initial operator until Agnico-Eagle acquires 50% interest in the project. Upon acquiring 50% interest, the company will have the option to increase its undivided interest in the project from 50% to 65% over a period of three years, by solely financing a bankable feasibility study on the James Bay Gold project or by solely assuming all mining operations on the project, earning 1% additional interest for every $1,000,000 spent on the property (up to 15% by spending $15 million).

Quality Control

All analysis are perform by ALS Chemex in Val-d'Or, Quebec where all samples will be analysed for gold by fire assay with an ICP final over a 30g fraction whereas minors and trace elements were analysed by ICP. Certified standards and blanks were inserted regularly among the steam of samples for verification and QA/QC. The data is reviewed by Robert Banville, senior geologist for Midland Exploration and a qualified person as defined by National Instrument 43-101.

About Midland Exploration

Midland targets the excellent mineral potential and the favourable investment climate of Quebec to make the discovery of new world-class deposits of gold, base metals and uranium. Midland is proud to count on reputable partners such as Agnico-Eagle, Soquem Inc. and Quest Uranium Corporation. Midland prefers to work in partnership and intends to conclude quickly additional agreements in regard to lately acquired properties. Midland is currently evaluating other opportunities and other projects in order to increase the portfolio of the Company.

This press release was prepared by Gino Roger, geological engineer and a Qualified Person as defined by NI 43-101. For further information, please consult Midland's website or contact:

This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in Midland's periodic reports including the annual report or in the filings made by Midland from time to time with securities regulatory authorities. Midland undertakes no obligation to publicly release the result of any revision of these forward-looking statements to reflect events or circumstances after the date they are made or to reflect the occurrence of unanticipated events.

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

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