New Millennium Capital Corp.
TSX VENTURE : NML

New Millennium Capital Corp.

October 28, 2007 21:02 ET

New Millennium Capital Corp. Initiates Project to Develop Its Direct Shipping Iron Ore Holdings

CALGARY, ALBERTA--(Marketwire - Oct. 28, 2007) -

NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

New Millennium Capital Corp. ("NML" or "the Company") (TSX VENTURE:NML) announced today that it has begun an internal review of its Direct Shipping Ore ("DSO") Properties near Schefferville, Quebec.

Cautionary Note: The term "ore" in this news release is being used in a descriptive sense for historical accuracy, and is not to be misconstrued as representing current economic viability. A feasibility study has not been completed in respect of the DSO Properties and there is no certainty the proposed operations will be economically viable.

Management believes that these resources could be developed by NML within a shorter timeframe than the KeMag deposit and with less capital thereby potentially producing substantial cash flow for the Company as the larger KeMag Project is being developed.

New Millennium President and CEO, Robert Martin said, "The current unprecedented global demand for iron ore requires that New Millennium management pursue every significant opportunity to increase shareholder value. We believe, NML's DSO properties are unrecognized and unvalued by the market."

These properties were part of the Iron Ore Company of Canada's (IOC) historical resources when IOC was operating mines from 1954 to 1982. NML started to acquire these properties in 2004 and has carried out a development program since that time including field work such as geological mapping, trenching, sampling and analysis to establish the general extent and location of these historical resources. Over the coming weeks NML will accelerate its evaluation activities and develop a plan to bring product from this DSO resource to the marketplace.

NML is continuing its efforts to secure an appropriate strategic partner for its world class KeMag deposit. The Company is also in the advanced planning stage of its fully funded 2008 KeMag winter drilling program, metallurgical work program, and environmental program.

Background of DSO Properties

Iron formations were known to exist in the Schefferville area since the 1870's. Past Geological Survey of Canada reports1 state that "by 1949 more than 400 million tons of 'direct shipping quality ore' had been proven in the Knob Lake-Sunny Mountain ore zone". The Iron Ore Company of Canada ("IOC") was formed to mine the DSO and first started to ship DSO from the Schefferville area in 1954 over 360 miles of newly constructed railroad to the ore docks built at the natural harbour at Sept-Iles on the Gulf of St. Lawrence. The mining operations by IOC continued for 28 years or until 1982 by which time about 150 million tons of DSO had reported as produced and shipped. IOC decided to close the Schefferville operations in 1982, because of declining markets for DSO and the demand for higher grade concentrates and pellets in the modernized steel industry. Therefore, based on those estimates, the remaining direct shipping quality ore in Quebec ("QC") and Labrador ("NL") is approximately 250 million tons.

Between 2004 and 2006 NML staked claims covering many of the DSO deposits located in QC and NL. The Company's ownership includes 49 claims covering 2,020 hectares and 146 claims covering 3,650 hectares in the provinces of QC and NL, respectively. Based on historical estimates, NML's claims cover approximately 100 million tonnes of direct shipping quality ore. NML has on staff experienced geological, mine planning and operational personnel who are experienced with the earlier operations of the Schefferville mines. The Company believes that these ores can be suitably upgraded through a simple screening and washing process to meet current market requirements for an iron ore fines and lump product. Future evaluation of the DSO Project will focus on this possibility.

The historical estimates contained in this news release of quantities of direct shipping quality ore are not in accordance with the mineral resources or mineral reserves classifications contained in the CIM Definition Standards on Mineral Resources and Mineral Reserves, as required by National Instrument 43-101 ("NI 43-101"). Accordingly, NML is not treating these historical estimates as current mineral resources or mineral reserves as defined in NI 43-101 and such historical estimates should not be relied upon. A qualified person has not done sufficient work to date to classify the historical estimates as current mineral resources or mineral reserves.

NML will provide a DSO project update as soon as the development plan has been established.

About New Millennium

New Millennium holds a 100% interest in the KeMag Property (Quebec) and an 80% interest in the LabMag Property (Newfoundland and Labrador). Both properties are located within the Millennium Iron Range, the centre of which is located approximately 230 km north of Labrador City, NF and 40 km northwest of Schefferville, QC. The Company also has a 100% interest in 195 DSO claims in Quebec and Labrador that contain, based on historical estimates that are not in compliance with NI 43-101, in excess of 100 million tons of direct shipping quality ore.

Subject to the completion of positive feasibility studies, project financing and project construction, the concentrate from the KeMag Project would be pumped from the property through a slurry pipeline, about 750 kilometres, to Pointe-Noire, near the Port of Sept-Iles, QC, where it would be both pelletized and sold as concentrate. The concentrate from the LabMag Project would be pumped from the property through a slurry pipeline, about 230 kilometres, to Emeril, NL where it would be pelletized prior to rail transportation via an existing railroad about 390 km to Pointe-Noire, near the Port of Sept-Iles. DSO products are envisioned to be transported by rail to a Port at Pointe Noire.

These projects envision the construction and operation of ship loading facilities and related infrastructure at the Pointe-Noire terminus from where the various iron ore products would be shipped by ocean vessels to markets in Canada, the United States, Western Europe, North Africa, the Middle East and Asia.

The Corporation's mission is to add shareholder value through the responsible and expeditious development of the Millennium Iron Range and other mineral projects to create a new large source of raw materials for the world's iron and steel industries.

For further information, please visit www.nmlresources.com.

This release may contain forward looking statements within the meaning of the "safe harbor" provisions of US laws. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. New Millennium does not assume any obligation to update any forward looking information contained in this news release.

No regulatory authority has approved or disapproved the content of this release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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