Midland Exploration Inc.
TSX VENTURE : MD

Midland Exploration Inc.

January 17, 2008 14:29 ET

Midland Exploration Options its James Bay Uranium Properties to Quest Uranium Corporation

MONTREAL, QUEBEC--(Marketwire - Jan. 17, 2008) - Midland Exploration Inc. ("Midland") (TSX VENTURE:MD) is pleased to announce the signing of a letter of agreement with Quest Uranium Corporation ("Quest Uranium") for its uranium properties located in the James Bay Area. These uranium properties, 100% held by Midland Exploration Inc. are formed of 130 claims totalling 66.0 km2. In addition, 119 new titles are currently pending which will bring, upon approval by the Quebec's Ministry of Natural Resources and Wildlife, the total to 126 km2.

Quest Uranium can acquire 50% of Midland's interest during a four-year period under the following conditions:

- Cash payment of $40,000 upon signing the agreement with additional payments of $160,000 for a total of $200,000 over four years.

- Exploration expenditures of $400,000 in the first year (firm commitment) with additional expenditures of $2,400,000 for a total of $2,800,000 over four years.

Quest Uranium will be the initial operator until they acquire a 50% interest in the project.

The area is underlain by Archean-aged basement rocks which are unconformably overlain by Proterozoic age Sakami Formation sedimentary rocks. Known uranium resources in the region (i.e. - Lac Gayot (Dieter Lake) Deposit; pre-43-101 Historical Resource - 50 million metric tonnes (t) grading 0.1% U3O8 ; reference MR-223 ; QUE-72, Energy, Mines and Resources Canada, November 1989) occur at, above or below the unconformity with Archean basement in Sakami Formation rocks and shows strong geological similarities with the Athabaska Basin in Saskatchewan.

The Midland claims are considered to be highly prospective for unconformity associated uranium deposits. The claim blocks which make up the project are referred to as the Sannon-Seggau (East Block) and the Ganiq (West Block) properties.

The Seggau property is located in the LG4 area includes an area where S.E.S. Mining Group has discovered in the seventies more than 47 radioactive boulders over more than 2 kilometres. Analytical results indicated values ranging from 1 to 2% uranium along with some nickel values. The Seggau boulder train remains unsourced. According to S.E.S., this uranium-nickel association is considered very significant and could correspond to a post mineralization activity commonly observed in the Athabaska basin. This new property is also located next to the Sannon uranium vein which returned values up to 6.28% uranium. The Seggau boulder train and the Sannon vein are located at the northern side of the LG4 basin near the base of the Sakami Proterozoic Formation.

The Ganiq property is located at the eastern part of the LG3 basin which is known to include the most important concentration of uranium showings in the James Bay region. The property also includes a 3 kilometer long train of boulders discovered by S.E.S. in 1975. Some 250 radioactive boulders were located with consistent values up to 15,000 counts per second. In addition, the property counted several uranium showings known as Ganiq North, Dominos, Danois and Prospector; all with significant radioactivity reported by S.E.S. In these showings uranium mineralization is found structurally controlled along N120 degrees trending fault and shear zones which seem to have played an important role in the uranium mineralization deposition.

Midland and Quest Uranium look forward to initiate its first phase exploration program on this uranium project.

About Quest Uranium

Quest Uranium Corporation is a Canadian-based, pure-Uranium exploration company focused on the identification and discovery of new World-class Uranium deposit opportunities. The company is publically-listed on the TSX Venture Exchange as "QUC" and is lead by a highly-respected management and technical team with a proven mine-finding track record. Quest is currently advancing several high-potential projects in Canada's Premier Uranium exploration areas : the George River belt of northeastern Quebec, the Kenora area of northwestern Ontario and the Plaster Rock area of northeastern New Brunswick. The company continues to identify new, high-potential project opportunities throughout North America.

About Midland Exploration

Midland's strategy to discover new world class gold, base metal and uranium deposits is based on Quebec's excellent mineral potential and favourable investment climate. Midland further intends to be pro-active in 2008 in the acquisition of new mineral exploration properties in Quebec. The Company recently signed important agreements with Agnico-Eagle for its James Bay Gold project and with Breakwater for the Weedon and Gatineau Zinc projects. Management is currently considering other opportunities and other projects in order to expand the Company's portfolio. Midland prefers to work in partnership and intends to quickly secure new agreements to this effect for its properties acquired in 2008.

Gino Roger, P.Eng., is the qualified person who has reviewed the content of this news release.

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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