New Millennium Capital Corp.
TSX VENTURE : NML

New Millennium Capital Corp.

January 23, 2007 09:30 ET

New Millennium Capital Corp. Provides Corporate Update

CALGARY, ALBERTA--(CCNMatthews - Jan. 23, 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) today provided an update on its iron ore development activities.

The Company is currently focused on two important activities:

- the optimization of its feasibility study ("FS") scope

- the identification of a strategic partner, or partners.

The FS scope review will consider the possibility of increasing production rates to 22 million tonnes per year ("mtpy") of iron ore products; the production of up to 7 mtpy per year of concentrate (in addition to 15 mtpy of pellets); the use of contract mining; the financing, construction, operation and maintenance of the slurry pipeline and power transmission lines by others; the sharing of existing facilities; and the sourcing and supply of equipment from China and India.

The objective of this work, which is currently in progress, is to maximize the internal rate of return of any of its iron ore development activities by lowering both operating costs and the capital cost per tonne of capacity from that presently contemplated by the LabMag Iron Ore Project.

NML continues to make progress in its strategic partner initiative. The Company, together with Miller Mathis, a New York based strategic advisory firm, is conducting a comprehensive search in order to identify the best strategic partner(s). To date about 50 major steel, trading, mining and financial institutions have been involved.

These internal studies (FS scope and strategic partner initiatives) are expected to take about three months to complete. The official FS will be launched following their completion and scope optimization.

Robert Martin, President and CEO of New Millennium, said, "Since the LabMag Project is a long life project, it is imperative to make the right choices now because their influence will be felt over the entire life of the project. Our current cash position means that we are comfortably funded until the end of 2007 at our current rate of activity. For that reason, New Millennium management is committed to maximizing project planning and not to undertake any financing that is unjustifiably dilutive to shareholders".

Other ongoing activities include the in-fill diamond drilling that was done on the LabMag Project between Blocks A & B, the bulk sampling on Block B and the diamond drilling that was done on the Quebec extension of the LabMag Project iron formation band. The work is currently being evaluated and it is expected that all results will be available before the end of February.

In addition, low silica concentrate that was produced from pilot plant tests on Block B during December 2006 have been sent to some potential customers. A large sample has also been sent to SGA in Germany to carry out pot-grate pellet testing in March. The direct reduction ("DR") grade pellets that will be made at this facility will be sent to direct reduction iron ("DRI") plants as part of the Company's on-going marketing activities.

About New Millennium

New Millennium holds an 80% interest in the LabMag Iron Ore Project, the world's largest known undeveloped magnetite reserve that is currently at an advanced stage of exploration. The project is located in the province of Newfoundland and Labrador ("NL") about 220 km north of Labrador City and 30 km northwest of Schefferville, Quebec. The development envisions the construction and operation of a mine, crusher, concentrator, slurry pipeline, pellet plant, shiploading facilities and related infrastructure. Subject to positive feasibility studies and project financing, it is expected that pellet production from LabMag would constitute a significant new source of global pellet supply and would be shipped by ocean vessels to markets in Canada, the United States, Western Europe and Asia.

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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