SOURCE: Liberty Mines Inc.

July 31, 2006 12:04 ET

Liberty Finds 19.46m of 1.1% Cobalt and 0.77% Copper at McAra Lake

TIMMINS, ON -- (MARKET WIRE) -- July 31, 2006 -- Liberty Mines Inc. (TSX-V: LBE) ("Liberty") is pleased to announce additional results of the drilling program at the McAra Lake base metal deposit located in Dufferin Township 120 km S.E of Timmins. Borehole M06-27 returned a significant 19.46m intersection of 1.10% cobalt ("Co") and 0.77% copper ("Cu") including zones of 9.62% Co and 6.26% Cu as indicated in the accompanying table. Boreholes M06-23, M06-24, M06-26 and M06-27 intersected excellent cobalt values tabulated below in addition to that found in M06-22 as reported in the press release dated May 31, 2006.

M06-22, M06-23, M06-26 and M06-27 extended the mineralization of the main zone and intersected what appears to be cross or splay cobalt bearing structures associated with the main zone.

M06-24 was drilled 31m from an isolated value encountered in previous hole EDS-04-16 (5.73% Co over 0.50m). This hole confirmed a probable 31m extension of this isolated value.

M06-25 was drilled 25m from M06-24 and intersected veining with no cobalt values. This isolated zone remains a viable exploration target. Liberty's 2006 drilling program encountered encouraging cobalt intersections with wall rock copper values proximal to the cobalt structures. The cobalt mineralization is hosted in quartz-breccia zones and as replacements invading the wall rock. Significant copper appears to occur as a wall rock halo of chalcopyrite.

The cobalt structures appear to occur in two orientations: one trending east-northeast and the other sub-parallel to the direction of drilling. Drilling to date has focused on the north-northeast trending cobalt structures.

The borehole locations and orientations of the 2006 drill program are tabulated below.


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Borehole  Easting    Northing  Elevation     Dip       Azimuth    Depth of
             (m)         (m)      (m)                                Hole
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M06-19   0502536.0  5249378.0     400    -48 degrees   360 degrees    92
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M06-20   0502536.0  5249378.0     400    -56 degrees   360 degrees    92
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M06-21   0502536.0  5249378.0     400    -52 degrees   360 degrees    57
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M06-22   0502449.5  5249421.2     401.3  -45 degrees   175 degrees   179
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M06-23   0502476.5  5249427.1     398.8  -46.5 degrees 191 degrees   140
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M06-24   0502305.4  5249260.1     408.0  -42 degrees   355 degrees    90
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M06-25   0502281.6  5249254.5     407.2  -45 degrees   005 degrees   104
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M06-26   0502450.6  5249435.7     403.0  -46 degrees   176 degrees   179
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M06-27   0502475.0  5249414.8     397.3  -47 degrees   191 degrees   140
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The following is a summary of the results so far including a review of M06-22 from the previous news release on the current drilling program:


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Borehole   From (m)    To (m) Interval (m)  Ag g/t    %Co      %Cu     %Ni
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M06-22       71.76     81.60         9.84      2.2   1.229       -   0.085
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           Including
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M06-22       71.76     72.36         0.60      4.4   2.270       -   0.235
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M06-22       73.36     73.69         0.33      8.8   1.450       -   0.101
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M06-22       79.53     81.60         2.07      7.6   4.930       -   0.319
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M06-23       78.73     79.80         1.07    22.66   0.733   0.540   0.037
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M06-24       55.08     56.13         1.05     16.2   4.210       -   0.273
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M06-26       94.74     95.22         0.48    107.6   6.930   0.386   0.520
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M06-26      106.23    107.78         1.55      4.0   1.264    0.70   0.059
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M06-27       53.70     73.16        19.46     10.4   1.103   0.771   0.113
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           Including
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M06-27       53.70     54.12         0.42     35.0   0.018   6.260   0.024
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M06-27       54.78     59.00         4.22     16.8   2.731   0.028   0.270
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           Including
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M06-27       56.00     57.10         1.10     60.8   9.620   0.008   0.920
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M06-27       665.3     71.86         6.50     15.9   1.513   1.649   0.146
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           Including
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M06-27       65.36     66.33         0.97     35.0   8.380   0.105   0.690
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M06-27       71.00     71.86         0.86     23.5   1.177   3.325   0.188
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The diamond drilling program and information in this release is being carried out under the supervision of Doug Robinson P.Eng., a "qualified person" as defined by National Instrument 43-101. Liberty Mines Inc. follows a rigorous QA/QC protocol on all of its exploration projects. Drill core of interest is sawn in half, with one half retained for future reference and one half sent to a commercial laboratory, Swastika Laboratories Ltd. A rigorous quality assurance/quality control program is employed which includes the insertion of standards and blanks for each batch of samples.

About Liberty Mines Inc.

Liberty Mines Inc. is a mineral exploration and development company with a focus on the development and production of nickel, cobalt and platinum group metals from its properties in Ontario.

CAUTIONARY STATEMENT

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements." All statements other than statements of historical fact included in this release, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Liberty, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Liberty's expectations are exploration risks, commodity prices, assumed startup and operating costs detailed herein and from time to time in the filings made by Liberty with securities regulators.

Contact Information

  • For further information please contact:
    Dr. Gary Nash, PhD (Physics)
    President & CEO
    Liberty Mines Inc.
    Phone (416) 238-9736
    Fax 780-437-7898
    e-mail: Email Contact