Midlands Minerals Corporation
TSX VENTURE : MEX

Midlands Minerals Corporation

July 12, 2010 08:30 ET

Midlands Drills 15 Meters @ 2.2 g/t, and 17 Meters @ 2.1 g/t and Continues to Expand Sian Resource at Depth-Ghana

- Drill Results Below 120 Meters Show Potential to Significantly Increase the Sian Resource to a Million Ounces of Gold in Current Drilling Program

- Current 400,000 Ounce Gold Resource @ 2.3 g/t on Sian Is Based on Drilling to 120 Meters

- There Is Continuity of Grades at 2.2 g/t Well Below the 120 Meter Level Used to Calculate the Current Sian Resource

TORONTO, ONTARIO--(Marketwire - July 12, 2010) - Midlands Minerals Corporation (TSX VENTURE:MEX) ("Midlands" or the "Company") is pleased to announce Sian assay results returning 15 meters @ 2.2 g/t, and 17 meters @ 2.1 g/t, thereby confirming the potential to significantly expand the current 400,000 ounces of gold grading 2.3 g/t on Sian. The current Sian resource is based on drilling down to 120 meters and new results show continuity of grades at 2.2 g/t well below the 120 meter level used to calculate the current Sian resource.

"We are pleased to see drill results below the 120 meter level are consistent with what we have been getting above the 120 meter level. This gives us more confidence that we are going to meet our goal of a million ounces of gold in this current drilling program. Current drill holes are spaced 50 meters apart and the spacing permits upgrading of the resource to at least an indicated or measured category when we present our interim report card in September", said Kim Harris, President and Chief Executive Officer.

The Company's short term goal from this phase of drilling is to:

  • increase the current 400,000 ounces of gold @ 2.3 g/t to a million ounces
  • have at least 30% of the one million ounces in an indicated category or better
  • expand the Sian deposit north and south into the contiguous Praso project

The Company has drilled 35% of the planned 20,000 meter drilling program in this current phase. The zone below 120 meters has returned 22 meters with an average grade of 1.72 g/t, and 24 meters with an average grade of 1.64 g/t in Hole Number 22 and Hole Number 23 respectively. 

Dr. Derek McBride, P. Eng, VP Exploration who is currently in Ghana overseeing drilling on the Sian project said: "The results we are getting show continuity of grades and confirm that two mineralized structures are present, as reported in the May 11, 2010 News Release. The more extensive structure is along the contact between mafic volcanic rocks and a 10 metre wide felsic tuff, and can be traced in all of the new holes drilled under the Sian pit". Present drilling indicates that the mineralization plunges steeply north from the pit and dips westerly.

Summary of Results Below 120 Meters

Hole Number From To Length M Grams/Tonne
MEDD-10-22 156 178 22 1.72
including 159 174 15 2.2
including 164 165 1 4.29
including 168 169 1 4.12
including 171 172 1 4.65
  193 193.8 0.8 0.75
MEDD-10-23 174 198 24 1.64
including 181 198 17 2.10
including 193 198 5 4.10

Core samples were taken at one meter intervals by SEMS Exploration Services Ltd. ("SEMS") utilizing sampling techniques widely accepted in diamond drilling programs. SEMS is an international geological consulting company with offices in Ghana. All samples were split on site and sent to the SGS Laboratory in Tarkwa, Ghana, where they were assayed using standard 50 gram fire assay with atomic absorption finish. QA/QC programs are in place using blanks and external standard samples. 

Grade zone Intercepts shown above were calculated using a minimum of a 0.5 g/t cut-off at the beginning and end of the intercept and allowing for no more than 3 consecutive samples (three meters) of less than 0.5 g/t Au. Anomalous zones are calculated using a cut-off grade of 0.1 g/t Au instead.

All DDH holes were drilled at dips of 55 or 70 degrees perpendicular to the deposit trend. The dip of the deposit is varying between 70 to 80 degrees. 

The technical information in this news release has been reviewed by Dr. Derek McBride, P.Eng., and Dr. David Groves, PhD, who are Qualified Persons under National Instrument 43-101.

ABOUT MIDLANDS MINERALS

Midlands is a growth oriented and value based gold exploration company operating in Ghana and Tanzania, two stable countries with a history of gold mining. Midlands' top priority project is the fully permitted Sian gold project in Ghana. The Sian property contains Esaase and Ampeha, two previously producing open pit mines with a resource with significant growth potential. Midlands' contiguous Kwahu Praso project, which was once part of Sian, contains extensions of the Esaase and Ampeha trends. Sian and Praso are just 30 kilometers northeast of Newmont Mining's +8.7 million ounce Akyem gold deposit. Midlands also holds highly prospective licences for gold and diamonds in the Lake Victoria Goldfields in Tanzania.

The Company has a highly qualified management and technical team with broad African experience and extensive experience in the countries in which the Company operates. For more information on the Company, please visit Midlands' Web Site at www.midlandsminerals.com.

On behalf of the Board

Kim Harris, President and Chief Executive Officer

Certain statements contained in this news release constitute forward-looking statements. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from actual results and achievements expressed or implied by such forward-looking statements. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect.

The Company adds a cautionary statement to the effect that the potential quantity and grades referred to in this press release are conceptual in nature. There has been sufficient exploration to evaluate a mineral resource. However, the Company is uncertain if further exploration will result in a mineral reserve. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statements were made. Readers are also advised to consider such forward looking statements while considering the risks inherent in the business of mineral exploration. For more information, investors should review the Company's filings that are available at www.sedar.com.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

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