Century Mining Corporation

Century Mining Corporation

October 31, 2006 13:22 ET

Century Mining Receives First Drilling Permit for San Juan Mine

BLAINE, WASHINGTON--(CCNMatthews - Oct. 31, 2006) - Century Mining Corporation (TSX VENTURE:CMM) is pleased to announce that it has received a Class B drilling permit for the Company's exploration program at the San Juan Mine in Peru.

This is the first drill permit ever issued for the San Juan property that has historically produced over 1.2 million ounces of gold. This drilling program will also be the first ever conducted on this 20,000 hectare concession block. The Company is mobilizing its exploration management team in Blaine to Peru this week to commence this program. Drilling from underground and surface will begin to test extensions to the Mercedes and San Juan veins, which are the only veins that have been mined to date, as well as 33 additional veins that parallel and are diagonal to the Mercedes and San Juan veins. The initial 4,880-metre surface drilling program will consist of 29 diamond drill core holes. All veins are well mineralized as shown by recent sampling and have potential to host significant gold resources. The drilling program will provide the basis for the preparation of an NI 43-101 technical report.

The Company has commenced the application process for an additional drilling permit to explore the Alpacai area on the San Juan property. This area is immediately across from the Quebrada Chorunga where surface exploration has identified numerous veins. Regarding multiple permit applications, the Ministry of Mines of Peru will only review one application at a time, and will not accept new applications until permits have been issued for prior applications.

Also at San Juan, as previously announced, a widely spaced reconnaissance sampling program has been completed on the Santa Clarita porphyry Cu-Au target. Age-date samples have been collected on the Erika porphyry property to investigate its relationship to the Paleocene porphyry belt of southern Peru.

The Company is pleased to announce the appointment of Larry Hillesland as Exploration Manager, Peru. Larry has over 25 years of experience in field exploration of which five years were spent in Peru. Larry was instrumental in the exploration and development of Gold Fields' Cerro Corona project in northern Peru. Mr. Hillesland and Mr. Burns, Century's Vice President of Exploration will travel to Peru this week to start this exciting exploration program at San Juan.

Margaret Kent, President and CEO commented, "We are pleased with the efforts of our Peruvian staff who have worked diligently with the Ministry of Mines. Receiving approval for the first drill permit for any property is always difficult, but now our Peruvian team has all the background studies necessary to continue with additional permitting for the other targets on this 20,000 hectare property. We are excited about the potential of the exploration program that will now commence as a result of receiving the permit for the San Juan Mine."

About Century Mining Corporation

Pursuant to its recent announcement of the acquisition of a 38% interest in CMPSA, which is expected to close in mid-November, the Company's consolidated production and mine site cash cost estimates from the Sigma, Lamaque, San Juan and Poderosa mines for 2006 through 2008 are:

Year Production Cash cost
Oz/year gold US$/oz gold
2006 88,100 385
2007 163,000 331
2008 243,000 319

Caution Concerning Forward-Looking Information

This press release contains forward-looking information within the meaning of applicable securities laws. We use words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology to identify forward-looking information. It is based on assumptions, estimates, opinions and analysis made by management in light of its experience, current conditions and its expectations of future developments as well as other factors which it believes to be reasonable and relevant. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause our actual results to differ materially from those expressed or implied in the forward-looking statements and accordingly, readers should not place undue reliance on those statements. Risks and uncertainties that may cause actual results to vary include but are not limited to the speculative nature of mineral exploration and development, including the uncertainty of reserve and resource estimates; operational and technical difficulties; the availability to the Company of suitable financing alternatives; fluctuations in gold and other resource prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks arising from our South American activities; fluctuations in foreign exchange rates; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management's Discussion and Analysis and in other filings made by us with Canadian securities regulatory authorities and available at www.sedar.com.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this press release.

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