MBMI Resources Inc.

MBMI Resources Inc.

March 03, 2005 09:00 ET

MBMI Signs Agreement on Additional Nickel Property


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MBMI RESOURCES INC.

TSX VENTURE SYMBOL: MBR

MARCH 3, 2005 - 09:00 ET

MBMI Signs Agreement on Additional Nickel Property

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 3, 2005) - MBMI
RESOURCES INC. (TSX VENTURE:MBR) "MBMI" announces that it has entered
into a Memorandum of Agreement (MOA) with Palawan Alpha South Resource
Development Corporation (Alpha) under which MBMI can earn a major
interest in the Alpha nickel property. The 3,277 hectare property is
located in Palawan, Philippines and is adjacent to MBMI's Bethlehem
nickel laterite property. The MOA, which enables MBMI to hold an initial
60% interest in the joint venture, is subject to completion of a
definitive joint venture agreement, Board of Director and regulatory
approval.

Drilling and exploration conducted during the 1970's by Pacific Metals
Company (Pamco) of Japan, Alpha and its affiliates, and in 2001 by QNI
of Australia, resulted in a resource profile which may not conform to
current NI-43-101 parameters. Evaluation of historic drill results and
geological data has, however, enabled MBMI to identify primary drilling
targets on this property.

The MOA contemplates completing a Joint Venture Agreement which is to be
structured in a series of phases to facilitate a cost effective
exploration program. MBMI has made a US$30,000 "due diligence" payment
and can maintain its interest in the joint venture by making a total of
US$220,000 in property payments on a phased basis and by financing
exploration costs through to production. Upon achieving "project
financing status", MBMI may dilute Alpha to a net smelter royalty
interest of 2.5%.

The acquisition of this project is a result of the Company's long term
presence in Palawan Philippines, and its expertise in nickel laterites,
and is part of MBMI's objective of becoming a supplier of high grade
nickel laterite material to the primary nickel consumers in Asia.

Mr. John Cook, (P.Eng.) is the qualified person as defined in National
Instrument 43-101, and has reviewed the contents of this news release.

MBMI maintains a major interest in three nickel properties in the
Philippines, and also holds the rights to three Canadian projects; the
McMillan gold mine property in Espanola, Ontario, the Copper Prince
Cu-Ni-Au/PGM property in Sudbury, Ontario, and the Squall Lake, Manitoba
gold project.

The statements made in this Press Release may contain forward-looking
statements that may involve a number of risks and uncertainties. Actual
events or results could differ materially from the Company's
expectations and projections.


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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    MBMI Resources Inc.
    David G. Tafel
    VP Corporate Development
    (604) 683-1991 or Toll Free: 1-877-399-1991
    (604) 683-8544 (FAX)
    mbr@mbmiresources.com
    www.mbmiresources.com
    The TSX Venture Exchange has neither approved nor disapproved the
    contents of this press release.