SOURCE: Legacy Mining Ltd.

March 10, 2008 07:00 ET

Legacy Announces Major Mining Activity in Miaozihe Gold Mine Area

MONTREAL--(Marketwire - March 10, 2008) - Legacy Mining Ltd. (OTCBB: LEYM) reports that the Company is encouraged by the ongoing activity surrounding the Miaozihe Gold Mine as referred to in its previous News Release dated January 14, 2008.

The Miaozihe Gold Mine property is located in the Henan Province of China which has at least (4) four producing mines, the most active being the Ying Silver Mine, owned and operated by Silvercorp Metals Inc., a Toronto Stock Exchange listed company. Silvercorp's recent record revenues are solely derived from its operations in the Henan Province area.

A Technical 43-101 Report for the Miaozihe Gold Mine which was completed January 2007 by Canadian Engineer Peter H. Cowdery, MBA, P.Eng, indicates the following:

The Miaozihe mine and plant are operated by Chinese Standards. There are 4 developed levels and one bottom level. The surface facilities consist of the100 ton/day flotation mill and all the necessary mine infrastructure. According to estimate data of sampling in the veins of the Exploration License Area the Maximum Estimated Grade in Au is 10.28 g/t.

Vein      Estimated Grade in gpt Au       Estimated Size of Resource (Tns)
A1        Min. 9.0         Max. 9.0       Min. 200,000     Max.   266,000
A3-A10    Min. 9.66        Max. 11.31     Min. 1,271,290   Max. 1,691,653
Totals    Min. 9.57        Max. 11.00     Min. 1,471,920   Max. 1,957,653

It is estimated that with the expansion of the existing 100 ton/day plant to 200 ton/day capacity and the additional construction of a 300ton/day plant, the project could produce up to 30,000ozs of gold/year, with a gross margin of $10-15 USD million/year. (These figures are based on gold prices being between $500-600 USD/oz).

With the exploration of all the ten veins and three potentially economic zones, the total resource could exceed 2 million ozs.

Legacy Mining President Robert Klein states: "The Company is very optimistic with regards to its continued exploration, development and production of the Miaozihe Gold Mine Project."

/s/ Robert Klein
Robert Klein, President

For further information contact: 1-888-488-6882

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical fact are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays in testing and evaluation of products and other risks detailed from time to time in Legacy Mining's filings with the Securities & Exchange Commission.

Contact Information

  • Contact:
    Legacy Mining Ltd.
    Tel: 1-888-488-6882
    Fax: 1-888-265-0498