Iron Lake Minerals Inc.
NEX BOARD : ILM.H

March 28, 2006 16:45 ET

Iron Lake Minerals Inc. Announces Pricing for the Sale of Special Warrants of Alturas Minerals Corporation

PENETANG, ONTARIO--(CCNMatthews - March 28, 2006) -

This news release is not for distribution to U.S. newswire services or for dissemination in the United States.

IRON LAKE MINERALS INC. ("ILM" or the "Company") (NEX:ILM.H), further to its announcement of February 14, 2006, with respect to the proposed amalgamation (the "Amalgamation") of a wholly owned subsidiary of the Company and Alturas Minerals Corp. ("Alturas"), is pleased to announce the pricing of a $4 million brokered private placement offering (the "Offering") of special warrants (the "Special Warrants") of Alturas with a $2 million Agent's option as disclosed in a news release on March 8, 2006.

The Special Warrants will be sold at a price of $0.215 per Special Warrant and each Special Warrant will be exchanged for one special warrant of ILM (the "New Alturas Special Warrants") upon completion of the Amalgamation and name change of ILM to "Alturas Minerals Corp." (following the Amalgamation and the name change, "New Alturas"). Each New Alturas Special Warrant will be immediately exercisable, for no additional consideration, for one unit (a "Unit") of New Alturas, with each Unit comprised of one common share (a "Common Share") and one half of one Common Share purchase warrant (each whole warrant, a "Warrant") of New Alturas. Each Warrant will entitle the holder thereof to acquire an additional Common Share at a price of $0.25 for a period of two years from the date of issue. Closing is scheduled for March 31, 2006.

The completion of the Offering will be subject to the satisfaction of certain conditions, which conditions shall include the concurrent completion of the Amalgamation and related transactions. Assuming satisfaction of such conditions, purchasers of Special Warrants will be entitled to receive common shares of New Alturas upon exercise of the New Alturas Special Warrants and the Warrants.

The completion of the Amalgamation and related transactions is subject to the receipt of all applicable TSX Venture Exchange, regulatory and shareholder approvals. Proceeds of the Offering will be used for the exploration of the Peruvian gold and copper-gold properties held by Alturas and for working capital purposes.

About Alturas Minerals and Iron Lake Minerals

Alturas is a Canadian corporation and is the parent company of Alturas Minerals S.A. ("Alturas Peru"), which is indirectly owned by Alturas through its wholly-owned subsidiaries. Alturas Peru is an exploration company that has been actively exploring various mineral projects in Peru since its incorporation in January 2004. Alturas' strategic objective is to expand its operations from exploration to development, produce cash flow to sustain further exploration, and maximize shareholder returns through capital appreciation. The principal assets of Alturas are four mineral exploration projects located in southern Peru, being the Huilacollo Gold Project, the Banos del Indio Gold Project, the Utupara Copper-Gold Project and the Huajoto Gold-Silver-Zinc Project. Each of the four principal mineral exploration projects of the Company have been the subject of at least preliminary drill testing in the past by other parties. Alturas has undertaken limited exploration work on these four projects to date, including the compilation of historical exploration data and reviewing of geological mapping completed by third parties. In addition, Alturas has interests in seven other exploration projects in Peru. Alturas' exploration strategy is focused on the discovery of large epithermal gold mineralized deposits. Please see the preliminary prospectus of Alturas dated June 8, 2005 at www.SEDAR.com for additional information in respect of the business, assets and operations of Alturas.

ILM is an Alberta corporation engaged in the business of acquiring, exploring and developing mineral properties in Canada. ILM currently holds a 100% interest in the mineral rights of twelve unpatented claims (21 contiguous unpatented claim units) located in the Duffell Lake Area, Patricia Mining Division, Ontario, Canada (the "Duffell Lake Property"). Previous exploration conducted on the Duffell Lake Property has focused on gold mineralization in the sulphidized oxide facies iron formation, sulphide-mineralized tuffaceous volcanics and quartz vein stockworks. These exploration activities have delineated the presence of gold mineralization. Mineralization discovered to date is sub-economic, however the zones discovered have been tested only to vertical depths of approximately 70 meters. The Company has drilled 14 diamond drill holes on the Duffell Lake Property to date. Previous geophysics performed on the Duffell Lake Property appears to have adequately delineated the target conductors. ILM has not yet established whether the Duffel Lake Property contains mineral resources that are economically recoverable.

Forward-Looking Statements

This press release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of failure to complete the propose financing, failure to obtain necessary regulatory or shareholder approvals, exploration and other risks factors beyond its control and actual results may differ materially from the expected results.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or any applicable exemption from the registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

Shares Outstanding: 16,300,000

The NEX exchange does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Iron Lake Minerals Inc.
    Deborah J. Bazinet
    President
    (705) 533-3430
    (705) 533-1521 (FAX)
    or
    Alturas Minerals Corp.
    Miguel Cardozo
    President
    (416) 856-6875