Lysander Minerals Corporation
TSX VENTURE : LYM

Lysander Minerals Corporation

November 18, 2010 06:00 ET

Lysander Minerals Corporation: Early Progress Continues on Construction at Ukraine Anthracite Mine

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 18, 2010) - Lysander Minerals Corporation (TSX VENTURE:LYM)-

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Lysander Minerals Corporation(the "Company") is pleased to report that, at the Annual General Meeting of shareholders held on November 15, the President reported good progress on the start of construction at Verticalnaya North, the initial stage of development of the large Verticalnaya mine project. This follows completion of an $11.5 million equity financing on October 8.

The construction of two portals leading into two inclined drifts is well advanced. There has also been fast progress on initial surface work including a power line, a tip area, roads, ground-clearing and an explosives store. Work is successfully moving underground in advance of winter.

Enhancements of long range plans are being developed with the help of engineering consultants.

Other opportunities within the Donbass coal basin are also being examined consistent with the Company's long-term growth strategy.

Interests in copper-gold exploration prospects in British Columbia are being significantly reduced.

The approval of shareholders was granted to permit the directors to change the name of the Company. Subject to necessary further approvals, the new name is expected to be Ukraine Coal & Energy Limited.

By Order of the Board,

Bryce M.A. Porter, President

About Lysander

Using high standards of safety and efficiency, it is planned to develop the Verticalnaya mine in stages and lead developments by western companies in the Donbass coal basin.

Verticalnaya North is described in the March 2010 NI 43-101 technical report available on Sedar (www.sedar.com) and the Company's website (www.lysanderminerals.com). It represents the first phase in the redevelopment of the Verticalnaya mine, for which a NI 43-101 technical report was prepared in September 2008 and is also available on Sedar and the Company's website. Key indicators include:

Net present value @12%      US$ 352.1 million
Internal rate of return      35.2%
Average cash operating cost per saleable tonne      US$ 31.19/tonne
Proven reserves      16,200,000 tonnes
Probable reserves      11,000,000 tonnes
Measured resources      57,300,000 tonnes
Indicated resources      18,900,000 tonnes
Total resources      76,200,000 tonnes
(Resources are inclusive of reserves.) 

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