Lydian Reports Bulk Surface Sample and Further Drill Core Metallurgical Results from Kappes, Cassiday & Associates

TORONTO, ONTARIO--(Marketwire - March 6, 2012) - Lydian International Ltd. (TSX:LYD) ("Lydian" or "the Company"), a gold-focused mineral exploration and development company, today announced further metallurgical results from its Amulsar gold project in Armenia. Amulsar is a high-sulfidation style gold project which currently hosts a CIM compliant Indicated Resource of 2.1 million ounces at 0.98g/t gold, plus an Inferred Resource of 1.1 million ounces at 0.92g/t gold (0.4g/t gold cut-off grade).

As part of the metallurgical testwork requirements for the Amulsar Full Feasibility Study (FFS), testwork was carried out at Kappes, Cassiday & Associates (KCA) on representative bulk samples (surface outcrop), half core reserve samples, and whole core generated from specific metallurgical PQ-diameter diamond drill-holes.

The KCA testwork program included fine intermittent bottle roll cyanidation and column leach tests. Results of the column leach test results for gold and silver are detailed in Tables 1 and 2.

Table 1: Column Leach Test Results - Gold

KCA Composite No.	KCA Test No.		Material Type		Description	Crush Size, mm	Calculated Head, gms Au/MT	Extracted, gms Au/MT	Weighted Avg. Tail Screen, gms Au/MT	Extracted, % Au	Calculated Tail p80 Size, mm	Days of Leach	Consumption NaCN, kg/MT	Addition Hydrated Lime, kg/MT
61723	61738		Bulk		TM-1 thru TM-18	12.5	4.500	4.078	0.422	91%	9.60	75	0.34	1.51
61724	61741		Bulk		ATM-1 thru ATM-26	12.5	0.674	0.602	0.072	89%	9.15	75	0.12	1.00
61730	61744		1/2 Split Core		DDA-018	12.5	0.556	0.523	0.023	96%	9.27	70	0.18	2.03
61731	61747		1/2 Split Core		DDA-022 and DDA-055	12.5	0.498	0.459	0.039	92%	9.44	70	0.17	1.99
61732	61750		1/2 Split Core		DDA-033	12.5	0.950	0.880	0.070	93%	9.30	70	0.15	2.45
61733	61753		1/2 Split Core		DDA-035 and DDA-055	12.5	1.127	1.027	0.100	91%	9.22	70	0.22	2.50
61734	61756		1/2 Split Core		DDA-046 and DDA-076	12.5	1.638	1.587	0.051	97%	8.76	70	0.32	3.08
61735	61759		1/2 Split Core		DDA-055	12.5	1.177	1.134	0.043	96%	9.29	70	0.18	2.01
61736	61762		1/2 Split Core		DDA-076	12.5	2.442	2.365	0.077	97%	8.69	70	0.23	1.49
61768	61775		Whole Core		DDAM-130	12.5	1.274	1.171	0.103	92%	9.34	60	0.14	2.02
61769	61778		Whole Core		DDAM-137	12.5	1.600	1.467	0.133	92%	9.58	60	<0.05	2.00
61770	61781		Whole Core		DDAM-140	12.5	--*	1.166	--*	--*	--*	60	*0.17	*2.00
61771	61784		Whole Core		DDAM-148	12.5	0.757	0.676	0.081	89%	8.73	60	<0.05	2.01
61772	61787		Whole Core		DDAM-169	12.5	0.453	0.418	0.035	92%	9.70	60	0.17	2.00
61773	61790		Whole Core		DDAM-174	12.5	--*	0.612	--*	--*	--*	60	*0.29	*2.00

*Note: Values unavailable/estimated due to detox test work

Table 2: Column Leach Test Results - Silver

KCA Composite No.	KCA Test No.		Material Type		Description	Crush Size, mm	Calculated Head, gms Ag/MT	Extracted, gms Ag/MT	Weighted Avg. Tail Screen, gms Ag/MT	Extracted, % Ag	Calculated Tail p80 Size, mm	Days of Leach	Consumption NaCN, kg/MT	Addition Hydrated Lime, kg/MT
61723	61738		Bulk		TM-1 thru TM-18	12.5	8.72	0.44	8.28	5%	9.60	75	0.34	1.51
61724	61741		Bulk		ATM-1 thru ATM-26	12.5	4.11	1.96	2.15	48%	9.15	75	0.12	1.00
61730	61744		1/2 Split Core		DDA-018	12.5	0.52	0.18	0.34	34%	9.27	70	0.18	2.03
61731	61747		1/2 Split Core		DDA-022 and DDA-055	12.5	1.21	0.52	0.69	43%	9.44	70	0.17	1.99
61732	61750		1/2 Split Core		DDA-033	12.5	0.76	0.17	0.59	22%	9.30	70	0.15	2.45
61733	61753		1/2 Split Core		DDA-035 and DDA-055	12.5	13.21	4.83	8.38	37%	9.22	70	0.22	2.50
61734	61756		1/2 Split Core		DDA-046 and DDA-076	12.5	1.30	0.95	0.35	73%	8.76	70	0.32	3.08
61735	61759		1/2 Split Core		DDA-055	12.5	1.44	0.69	0.75	48%	9.29	70	0.18	2.01
61736	61762		1/2 Split Core		DDA-076	12.5	0.47	0.14	0.33	30%	8.69	70	0.23	1.49
61768	61775		Whole Core		DDAM-130	12.5	1.35	0.27	1.08	20%	9.34	60	0.14	2.02
61769	61778		Whole Core		DDAM-137	12.5	1.16	0.10	1.06	9%	9.58	60	<0.05	2.00
61770	61781		Whole Core		DDAM-140	12.5	--*	0.40	--*	--*	--*	60	*0.17	*2.00
61771	61784		Whole Core		DDAM-148	12.5	3.91	0.32	3.59	8%	8.73	60	<0.05	2.01
61772	61787		Whole Core		DDAM-169	12.5	8.90	8.30	0.60	93%	9.70	60	0.17	2.00
61773	61790		Whole Core		DDAM-174	12.5	--*	1.22	--*	--*	--*	60	*0.29	*2.00

*Note: Values unavailable/estimated due to detox test work

Table 1 shows that high leach recoveries can be obtained over a range of gold head grades; 0.453g/t gold to 4.5g/t gold. The silver leach recoveries are variable due to the silver mineralization at Amulsar which is fine grained, and requires further liberation.

The column leach tests also exhibit rapid leach kinetics (see leach curves in Appendices). Based on these laboratory leach cycle times an overall leach cycle of 110 days will be used in the final full scale design.

The average cyanide and lime consumption rates were 0.20kg/t and 2.01kg/t respectively. As a result of optimizing the cyanide dosage addition, cyanide consumption rates have decreased relative to the column leach tests conducted at Wardell Armstrong International (average 0.47kg/t).

Typically laboratory column leach test recoveries are corrected to take into account metal losses on the sides of the heap, and inefficiencies arising from percolation within the heap. The standard industry correction factor, for gold, ranges from 2-5%. The average gold leach recoveries from the column leach test results have been corrected by deducting 5% to take into account full-scale leach performance. Table 3 shows the final recoveries to doré taking into account CIL and gold room losses.

Table 3: Gold and Silver Recoveries to Doré

Deposit	Tigranes		Artavasdes		Erato*
	%Au	%Ag	%Au	%Ag	%Au	%Ag
Corrected Leach Recovery	89.43	23.29	86.00	33.83	92.67	56.10
CIL/Goldroom Recovery	99%	99%	99%	99%	99%	99%
Recovery to Doré	88.53	23.05	85.14	33.50	91.74	55.54

* Gold and silver recoveries calculated based on test work completed by WAI on a master composite sample.

The individual deposit gold recovery to doré values will be used in the planned Whittle optimization runs and the Feasibility financials.

"The KCA metallurgical results once-again demonstrate the amenability of ore to processing by heap leach technology. The results will further enhance the projects Feasibility stage financials given that a recovery of 85% only was used for the PEA level study last year," said Tim Coughlin, Lydian's President and CEO. "Higher recoveries, coupled with the reduced cyanide consumption, will also result in lower operating costs for the project."

About Lydian International

Lydian is a gold-focused mineral exploration and development company with expertise employing "first mover" strategies in emerging exploration environments. Currently Lydian is focused on Eastern Europe and on developing its flagship Amulsar gold project in Armenia. The current resource at Amulsar comprises of 68.2 Mt at 1.0 g/t Au (2.1 million ounces) of Indicated Category resources and 36.1 Mt at 0.9 g/t Au (1.1 million ounces) of Inferred Category resources based on a 0.40 g/t gold cutoff grade. The Amulsar group of licenses is wholly owned by Lydian's Armenian subsidiary (Geoteam CJSC). Lydian also has a pipeline of promising early-stage gold and base metal exploration projects in the Caucasus regions.

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 characterize emerging environments. The Company's significant shareholders include the International Finance Corporation (IFC) which is a member of the World Bank Group and the European Bank for Reconstruction and Development (EBRD). More information can be found on Lydian's web site at www.lydianinternational.co.uk.

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. More information can be found on Lydian's web site at www.lydianinternational.co.uk.

Gary Anthony Patrick, BSc (Chemistry/Extractive Metallurgy), MAusIMM CP; is the Qualified Person overseeing Lydian's metallurgical testwork programs. Mr. Patrick 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. More information can be found on Lydian's web site at www.lydianinternational.co.uk.

Forward Looking Statement

This news release may contain certain information that constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices and other factors described above and in the Company's most recent annual information form under the heading "Risk Factors" which has been filed electronically by means of the Canadian Securities Administrators' website located at www.sedar.com. The Company disclaims any obligation to update or revise any forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

APPENDICES FIGURES

To view "Figure 1: Bulk Composite Samples", please visit the following link: http://media3.marketwire.com/docs/lyd0305_append1.pdf.

To view "Figure 2: Half Core Composites", please visit the following link: http://media3.marketwire.com/docs/lyd0305_append2.pdf.

To view "Figure 3: Whole Core Composites", please visit the following link: http://media3.marketwire.com/docs/lyd0305_append3.pdf.