OTC Bulletin Board : POMGF


November 10, 2005 09:30 ET

Minnesota State Agency Boosts PolyMet Mining Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 10, 2005) - PolyMet Mining Corp. (TSX VENTURE:POM)(OTCBB:POMGF) -

Iron Range Resources (IRR), a regionally-based state agency created to strengthen the northeastern Minnesota economy, is making a substantial non-cash or "in-kind" contribution toward advancing Minnesota's first major base and precious metals mining project, it was announced today by IRR Commissioner Sandy Layman.

IRR has waived an option it held on the former LTV Steel Mining Company (LTVSMC) tailings basin near Hoyt Lakes, MN. The agency's option was acquired in 2001 as a part of a state of Minnesota master agreement negotiated following the LTV Steel Company bankruptcy, and pre-dates PolyMet Mining's current plan to purchase the plant assets from successor Cliffs Erie, LLC, a subsidiary of Cleveland-Cliffs, Inc.

"Iron Range Resources had the foresight to recognize the potential for re-use of the extensive LTVSMC infrastructure after the economically devastating LTV bankruptcy. The state of Minnesota, led by IRR, supported the joint bid by Cliffs and Minnesota Power to purchase the LTVSMC assets out of bankruptcy, which in turn, preserved these assets intact for future opportunities," said James Trethewey, senior vice president of business development for Cleveland-Cliffs.

"We applaud the agency's decision to forgo its option and step forward as a champion of PolyMet's plan to re-use the plant assets for non-ferrous mineral processing," said William Murray, president and chief executive officer of PolyMet Mining.

"This is a favorable and timely action. It is a creative way for Iron Range Resources to assist a major economic development like ours, even though PolyMet is not seeking direct financial support from the agency at this time," Murray said.

"The NorthMet Project is a great opportunity for our company and its investors, as well as the citizens of Minnesota, especially Iron Range residents who possess the skills and work ethic we're counting on to help make us successful."

"PolyMet intends to be a good neighbor and work collaboratively with other projects, such as Mesabi Nugget, on the 60,000 acre former LTV site to achieve synergies and capital cost savings for all participants," Murray said.

The IRR action now clears the way for PolyMet Mining to move forward with closing on its previously announced acquisition of specified plant assets, including the tailings basin, from Cliffs Erie, LLC. The asset acquisition is scheduled to be completed before year end.

PolyMet's NorthMet Project, now undergoing final feasibility study and environmental review and permitting, is tentatively scheduled to begin commercial operations in early 2008 and provide full-time employment for an estimated 400 people. The company plans to produce copper, nickel, cobalt, platinum, palladium and gold from the NorthMet deposit near Babbitt, Minnesota.


William Murray, President

The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company.

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

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