Baja Mining Corp.

Baja Mining Corp.

August 18, 2006 20:00 ET

CORRECTION FROM SOURCE: Baja Mining Updates Status of the Boleo Feasibility Study

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 18, 2006) - The following corrects & replaces the release issued August 17, 2006 at 6:42pm ET.

Baja Mining Corp. (the "Company") (TSX VENTURE:BAJ) is pleased to announce that the Company is moving forward to establish the base line work required for an early launch of detailed engineering on its El Boleo Project, Baja California Sur, Mexico. Feasibility level engineering work on the process plant has been completed. Release of the final Definitive Feasibility Study (DFS) report will be delayed to accommodate an extension to the in-fill drill program.

The drill program is being extended due primarily to delays in obtaining additional drill rigs, but also due to encouraging results being encountered at depth at the south end of the property which will require additional footage.

A bankable DFS requires the Company to determine sufficient reserves in the "Proven and Probable" category for the first five years of production. The drill program has been successful in converting "Inferred Resources" to "Indicated Resources" as expected (refer to news release dated July 24, 2006). The DFS portion of the drill program will be completed by the end of the first week of September and the resource model and final mine plan will be updated after assays are obtained, allowing the calculation of reserves. While these drill rigs are available, the Company will continue drilling to convert sufficient "Inferred Resources" to "Measured and Indicated Resources", as required for bank financing. The continuation of drilling for bank financing will be complete by the end of November 2006.

Release of the final DFS report is now expected in the 4th quarter 2006 and the Company is proceeding with preparation for the next phase of project execution which is detailed engineering procurement and construction financing.



The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company.

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

Contact Information

  • Baja Mining Corp.
    John Greenslade
    (604) 685-2323
    (604) 629-5228 (FAX)