Inspiration Mining Corporation

Inspiration Mining Corporation

November 04, 2009 12:48 ET

Inspiration Completes Its Jasper Property Spin-Off

TORONTO, ONTARIO--(Marketwire - Nov. 4, 2009) - Inspiration Mining Corporation ("Inspiration" or the "Corporation") (TSX:ISM)(FRANKFURT:OI8) is pleased to announce that further to its various press releases, Nitinat Minerals Corporation ("Nitinat"), an arm's length third party to the Corporation, has completed its initial public offering and will commence trading through the facilities of the TSX Venture Exchange on Monday November 9, 2009 under the symbol "NZZ".

Pursuant to a purchase agreement dated December 1, 2007 but effective as at July 30, 2007, the Corporation received an aggregate of 13,367,904common shares (the "Shares") in the capital of Nitinat upon the automatic exercise of the 13,367,904 special warrants previously issued to the Corporation. The Shares are subject to a twelve (12) month hold period. Upon the expiration of the hold period, the Corporation will evaluate all options available to it with respect to the Shares including the proposal, which is subject to the prior approval of the Toronto Stock Exchange (the "TSX"), to distribute up to 100% of the Shares on a pro rata basis to all of the Corporation's shareholders as at July 30, 2007. There can be no assurance that the Shares will be distributed to the Corporation's shareholders.

Management believes that, on the closing of its initial public offering, Nitinat has the necessary funds to develop the Jasper Property and that the Corporation will be rewarded as Nitinat unlocks the true value of the Jasper Property.

The Jasper Property claims are located in the Victoria Mining Division, southwestern Vancouver Island, British Columbia. The property is approximately 80 kilometres northwest of Victoria. The southern portion of the claims overlie much of the Caycuse River and its tributaries Four Mile Creek and Seven Mile Creek, extend northwards over the height of land to the tributaries of Jasper Creek, and westwards to a no staking reserve along the eastern shore of the Nitinat River. The Jasper Property consists of the Jas 3 legacy mineral claim and nine cell mineral claims that comprise ten contiguous claims which total 6,615 hectares. The property is currently 100% owned by Inspiration.

The Jasper Property does not constitute all or substantially all of the assets of the Corporation and as such shareholder approval is not required for the divesture.

Forward Looking Statements

This news release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "anticipated", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Inspiration is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. Inspiration cannot assure investors that actual results will be consistent with these forward looking statements and Inspiration assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.

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

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