Arehada Mining Limited

Arehada Mining Limited

June 26, 2008 16:45 ET

Arehada Announces Zinc Plant Startup

TORONTO, ONTARIO--(Marketwire - June 26, 2008) - Arehada Mining Limited (TSX:AHD) ("Arehada") today announces that its zinc plant in Dong Qi, Inner Mongolia, PRC has commenced production.

The plant, which has the capacity to produce 50,000 tonnes of zinc calcine and 90,000 tonnes of sulphuric acid per annum, will be operated at a reduced rate during the startup phase and until the second tranche of bank financing is received (expected to be in the third quarter of 2008).

This represents a major step in achieving the Company's goal of becoming the dominant base metal producer in Inner Mongolia which is poised to become one of the largest mining regions in China.

About Arehada Mining

Arehada Mining Limited is engaged in the exploration, development, extraction and production of zinc, lead and silver in Dongwuzhumuqinqi, located in Inner Mongolia, China. Arehada produces zinc and lead concentrates, which are then sold to smelters in China.

Arehada also operates a zinc plant to produce zinc calcine and sulphuric acid with a designed processing capacity of 50,000 tonnes of zinc calcine and 90,000 tonnes of sulphuric acid per annum.

Forward Looking Statements

The above contains forward looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, extent of resources actually contained in mineral deposits, actual recoveries achieved in processing ore, technological change, change to regulations affecting the mining industry, risks associated with mining operation in China, environmental and safety regulations risks, and risk associated with failure to obtain required regulatory or third party consent. Forward-looking statements in this release include statements regarding future programs, review completion dates and opportunities. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

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