Lydian International Ltd.
TSX : LYD

Lydian International Ltd.

March 18, 2009 10:17 ET

International Finance Corporation to Further Invest in Lydian

IFC Board approves an additional CAD 1.4 million investment in Lydian

TORONTO, ONTARIO--(Marketwire - March 18, 2009) - Lydian International Ltd. (TSX:LYD) ("Lydian" or "the Company"), a diversified mineral exploration and development company, today announced that the Board of Executive Directors of International Finance Corporation ("IFC"), a member of the World Bank Group, has approved an additional equity investment in Lydian of CAD 1.4 million at a price of CAD $0.42 per share. The IFC's intention to make such an investment was announced on January 28th 2009.

This IFC investment, when coupled with the recently announced placement of CAD 1.6M from the European Bank of Reconstruction and Development, puts the Company in a strong financial position, providing the capital required to advance current projects through important decision gates and add shareholder value.

Following these private placements, IFC's interest in Lydian will increase to approximately 18% (on a non-diluted basis). IFC's new shares will be accompanied by a full warrant with a five-year exercise period and an exercise price of CAD $0.59.

"Lydian continues to produce good results from its drilling program," said William Bulmer, Global Head for mining at IFC. "We are pleased to provide continued support for this company, even when the markets are difficult."

"The investment will be IFC's fourth investment in Lydian. As an equity partner, IFC has provided Lydian with continued access to finance, influential in-country support, and valuable advice to manage environmental, social and governance risks of our projects", said Tim Coughlin, Lydian's CEO.

The placement is subject to shareholder approval and to regulatory approval of the Toronto Stock Exchange.

About Lydian International

Lydian is a diversified mineral exploration and development company incorporated in Jersey, with expertise employing "first mover" strategies in emerging exploration environments. Currently the Company is focused on Eastern Europe developing advanced precious and base metal assets in Armenia and in Kosovo (under UNSCR 1244). The two main projects are gold at Amulsar in Armenia, and zinc, lead, silver and gold at Drazhnje in Kosovo. Lydian also has a pipeline of promising gold and base metal exploration projects in the Balkans region, and operates a 50/50 gold and copper exploration joint venture with Newmont Overseas Exploration Limited, a subsidiary of Newmont Mining Corporation in the south Caucasus region.

Lydian's management team has a track record of success in grassroots discovery, in acquiring and developing undervalued assets, and in building companies. Lydian has a strong social agenda and a unique understanding of the complex social and political issues that characterise emerging environments. The Company's two largest shareholders are Newmont Mineral Holdings B.V. (owned by Newmont Mining Corporation), and International Finance Corporation (part of the World Bank Group). More information can be found on Lydian's web site at www.lydianinternational.co.uk.

Dr Tim Coughlin, MAusIMM is the Qualified Person overseeing Lydian's exploration programmes. Dr. Coughlin has supervised the preparation of the technical information contained in this press release.

Lydian employees are instructed to follow standard operating and quality assurance procedures intended to ensure that all sampling techniques and sample results meet international reporting standards. All assay work for the released results was carried out by ALS Chemex analytical laboratory in Rosia Montana, Romania, in Perth Australia, or in Vancouver, BC. Please see Lydian's web site for more information.

Forward-looking Information

Securities regulators encourage companies to disclose forward-looking information to help investors understand a company's future prospects. This press release contains statements about our future financial condition, results of operations and business. These are "forward-looking" because we have used what we know and expect today to make a statement about the future. Forward-looking statements usually include words such as may, expect, anticipate, believe or other similar words. We believe the expectations reflected in these forward-looking statements are reasonable. However, actual events and results could be substantially different because of the risks and uncertainties associated with our business or events that happen after the date of this press release. You should not place undue reliance on forward-looking statements. As a general policy, we do not update forward-looking statements except as required by securities laws and regulations.

Contact Information