SOURCE: Sao Luis Mining, Inc.

December 18, 2006 09:00 ET

Advanced Satellite Study Reports a High Level of Probability That Sao Luis Mining's Properties Are Highly Economically Profitable

LAS VEGAS, NV -- (MARKET WIRE) -- December 18, 2006 -- Sao Luis Mining, Inc., (PINKSHEETS: SAOL), a diamond mining and precious metals exploration company, reports that a recently completed advanced satellite study of the Company's properties shows a positive, scientific and reasonable inferential high level of probability that Sao Luis Mining's properties are highly economically profitable.

The satellite remote sensing study used advanced multi-spectral exploration analysis to evaluate the probable abundance and location of diamondiferous kimberlites to determine the probability of diamonds and arrive at the conclusion that Sao Luis Mining's properties 117 and 231, located in the Juina Area of the State of Mato Grasso, Brazil, are economically viable for mining.

In addition to the positive overall assessment of Sao Luis Mining's properties, the data acquired enables the company to focus its work on areas that show an abundance of the minerals associated with the kimberlic materials that exist in the upper levels on the properties. This is a good indication that the primary diamond sources are nearby and will facilitate pinpointing the drilling program in 2007, while indicating areas with richer surface deposits. This study complements the bulk sampling work currently in progress, as well as other geologic opinions the company has received.

The U.S. Government developed the Spectral Libraries for Remote Sensing Multi-Spectral Analysis. It includes files from the library of the Jet Propulsion Laboratory-NASA, Mineral Spectral Library, John Hopkins University, International Geoscience Programme, and the USGS Vegetation Spectral Library. American institutions and universities worldwide use this as the accepted standard in Multi-Spectral Exploration and Analysis.

About Sao Luis Mining:

Sao Luis Mining, Inc. is a diamond mining and precious metals exploration company. Its strategy is to acquire interests in producing mines and develop properties that have the promise to be economically viable. Sao Luis Mining has a 51% joint venture interest in Comercio e Mineracao Sao Luis Ltda., which operates two diamond properties and an existing processing plant in the São Luis River Basin. The operation is located in the state of Mato Grosso, which is the most productive diamond district in Brazil. Additional information, including a photo gallery and geological report, is available at the Company's website www.saolmining.com.

Forward-Looking Statements:

This news release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. When used in this release, words such as "estimate," "expect," "anticipate," "projected," "planned," forecasted" and similar expressions are intended to identify forward-looking statements, which are, by their very nature, not guarantees of Sao Luis Mining, Inc.'s future operational or financial performance, and are subject to risks and uncertainties. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Due to the risks and uncertainties, actual events may differ materially from current expectations. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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