New Millennium Capital Corp.
TSX VENTURE : NML

New Millennium Capital Corp.

July 17, 2007 16:15 ET

New Millennium Capital Corp. Provides Project Update-Increases LabMag Resources by 25% and Demonstrates Ability to Produce DR Pellets

CALGARY, ALBERTA--(Marketwire - July 17, 2007) -

NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

New Millennium Capital Corp. ("NML" or "the Corporation") (TSX VENTURE:NML) provided an update today about several corporate initiatives and activities, including results from its 18 hole (totaling 1,614 metres) diamond drilling program on Block C and in-fill drilling on Blocks A and B, at its 80% owned LabMag Iron Ore Property (the "LabMag Property") in Newfoundland and Labrador.

The objective of the 2006 LabMag drill program was primarily to further test the area between Blocks A and B, now called Block C, for continuity. Some in-fill drilling on Blocks A and B was completed to obtain hydro-geological information for future environmental studies and further delineation of the resource. For Block C, these results outline 695 million tonnes of Indicated Mineral Resources and an additional 233 million tonnes of Inferred Mineral Resources (See Table below). The total addition to Measured and Indicated Resources as a result of the 2006 LabMag drill program is 925 million tonnes. Based on the previously reported(1) total Measured and Indicated Resources(2) of 3,665 million tonnes, this represents a total increase of 25%.

The addition of the Block C resource to the previously defined LabMag resource, coupled with the KeMag resource, bring NML's total Measured and Indicated Resources in the Millennium Iron Range to 5.9 billion tonnes(3). This includes 3.5 billion tonnes(4) of Proven and Probable Reserves. In addition, the two deposits include a further 2.1 billion tonnes(5) which are classified as Inferred Mineral Resources.

Completion of the KeMag Economic Study

NML has completed its economic study on the KeMag deposit. The study is currently being reviewed by the Company's consultant, Watts, Griffis and McOuat Limited. It is expected that their technical review will be completed by the end of July, 2007. NML will report the results at that time and will make a decision to advance either the LabMag or the KeMag Project to the feasibility stage.

Robert Martin, President and CEO of NML said, "New Millennium is in the enviable position of having the choice of advancing either of two world class projects. We are working on a number of fronts so that we can make our decision as soon as possible. In addition to increasing our total resources, the positive test results from Germany about producing direct reduction grade ("DR") pellets offer the potential to significantly increase the returns on whichever project reaches production."

(1) News releases 06-07 (April 13, 2006), 06-13 (July 5, 2006) and 07-03 (February 6, 2007).

(2) Resources estimated using the Inverse Distance (ID) method.

(3) Measured: 3.768 billion tonnes; indicated: 2.171 billion tonnes.

(4) Proven: 2.981 billion tonnes; probable: 0.564 billion tonnes.

(5) Inferred: 2.143 billion tonnes.



Summary of Mineral Resource Estimate - for LabMag Blocks A, B, and C
(using a Davis Tube Weight Recovery ("DTWR") cut-off grade of 18%(6))

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Resource Tonnage
Block classification (Millions) DTWR % % Fe Head % Fe Conc %SiO2 Conc
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A Measured 2,088 26.52 29.60 69.62 2.51
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Indicated 56 24.14 28.54 69.90 1.74
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Measured +
Indicated 2,144 26.46 29.57 69.63 2.49
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Inferred 529 25.49 29.56 69.29 2.12
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B Measured 1,680 25.66 29.50 70.34 1.83
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Indicated 71 23.41 27.70 70.49 1.66
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Measured +
Indicated 1,751 25.56 29.42 70.35 1.82
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Inferred 390 25.61 29.23 70.34 1.76
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C Measured - - - - -
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Indicated 695 25.16 29.16 70.15 1.92
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Measured +
Indicated 695 25.16 29.16 70.15 1.92
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Inferred 233 26.50 28.94 69.84 1.94
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Total Measured 3,768 26.13 29.55 69.94 2.20
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Indicated 822 24.94 28.99 70.17 1.89
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Measured +
Indicated 4,590 25.92 29.45 69.98 2.15
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Inferred 1,151 25.73 29.32 69.76 1.96
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Note: There is no allowance for dilution in the above Mineral Resources.

(6) The cut-off of 18% used to determine the in-pit resources is based on
metallurgical weight recovery to cover mining, beneficiation,
transportation, other costs and the price of concentrate.


The results from the 2006 drilling of Block C confirm the continuation of the geological units and the Mineral Resource. NML expects to exploit the total resource in one continuous open pit over a distance of nine km.

Results Of An Exploration Hole Between LabMag and KeMag

In confirming options for potential tailings storage areas, NML drilled one hole in 2006, approximately 2.5 km south of the KeMag Property and 16 km north of the LabMag Property. This hole encountered 89 m of iron formation under 2.2 m of overburden. The hole returned average values of 31.8% DTWR with 70% Fe and 2.5% SiO2 in the concentrate over the first 80 metres of core length in iron formation. This result indicates a potential for additional resources along the iron formation which has been mapped between the two Properties. NML does not currently plan further drilling between the Properties as the LabMag Proven and Probable Reserves are sufficient for a 15 mtpy pellet operation for over 60 years.

Direct Reduction Grade Pellets

LabMag concentrate was sent to Studien Gesellschaft fur Eisenerzaufbereitung ("SGA") in Germany where DR pellets were produced having the following chemical composition: 67.5% Fe, 1.71% SiO2 and 1.34% CaO.

These pellets underwent standard physical, chemical and reduction tests at SGA as well as at Midrex Technologies Inc's. ("Midrex") Lab located in Charlotte, North Carolina. Midrex is the world's largest supplier of direct reduced iron ("DRI") plants and its test results are followed world wide to evaluate raw material quality by plant operators.

Based on the results, Midrex concluded "The New Millennium DR pellets (laboratory produced) performed well in standard Midrex tests. Chemical and physical characteristics were comparable to commercially produced pellets that have been used successfully in Midrex DR Process®. Based on the results, it is expected commercially produced pellets made from this ore would be a suitable feedstock for the Midrex DR Process®". Midrex further added that these results do not necessarily guarantee good results in a commercial direct reduction plant. Full scale trials were recommended to ensure satisfactory performance.

The production of DRI is the fastest growing sector in the steel industry. According to Midrex's projection, world DRI production is forecast to grow at an annually compounded rate (CAGR) of 7.2% to 2015. DR pellets are expected to have a CAGR of 6.5% during the same period. NML has now the opportunity to participate in this rapidly growing segment of the iron ore market and is currently expanding its marketing efforts to include DRI producers.

Attachments

1. To view the plan map of LabMag Property, please click http://www.ccnmatthews.com/docs/ResourceMapJul16.pdf.

2. To view the Cross-sections for Blocks A, B, and C, please click http://www.ccnmatthews.com/docs/CrossSectionsJul16.pdf.

Qualified Persons

The Corporation engaged Geostat Systems International Inc. ("Geostat") to model the iron ore deposits using results from the 2006 drill holes. The geological model was used as the basis for a categorized block model resource estimate to complete a "Mineral Resource Certification" for the Properties.

NML will integrate these results into its own geological software system for future open pit design and mine planning.

These mineral resource and reserve estimates are provided subject to a number of assumptions including that the project is economic and technically feasible, that all regulatory and environmental approvals and permits will be obtained, that sufficient financing can be raised to develop the project and that sufficient markets are available to accept the products produced. There is no assurance that the commercial production of iron ore concentrate or pellets will achieve the test results noted above. Mineral resources which are not classified as reserves do not have demonstrated economic viability.

Mr. Robert de l'Etoile, Eng., of Geostat, is the Independent Qualified Person responsible for the Mineral Resource Estimate provided herein and Dean Journeaux, Eng., of NML, is the Qualified Person, as defined in NI 43-101, who has reviewed and verified the scientific and technical mining disclosure contained in this news release.

About New Millennium

New Millennium holds a 100% interest in the KeMag Property (Quebec) and an 80% interest in the LabMag Property (Newfoundland and Labrador). Both properties are located within the Millennium Iron Range, the centre of which is located approximately 230 km north of Labrador City, NF and 40 km northwest of Schefferville, QC.

Subject to the completion of positive feasibility studies, project financing and project construction, the concentrate from the KeMag Project would be pumped from the property through a slurry pipeline, about 750 kilometers, to the Port of Sept-Iles, QC, where it would be both pelletized and sold as concentrate. The concentrate from the LabMag Project would be pumped from the property through a slurry pipeline, about 230 kilometers, to Emeril, NL where it would be pelletized prior to rail transportation via an existing railroad about 390 km to the Port of Sept-Iles.

These projects envision the construction and operation of ship loading facilities and related infrastructure at the Sept-Iles terminus where the various iron ore products would be shipped by ocean vessels to markets in Canada, the United States, Western Europe, North Africa, the Middle East and Asia.

For further information, please visit www.nmlresources.com.

This release may contain forward looking statements within the meaning of the "safe harbor" provisions of US laws. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. New Millennium does not assume any obligation to update any forward looking information contained in this news release.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No regulatory authority has approved or disapproved the content of this release.

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