New Millennium Capital Corp.
TSX VENTURE : NML

New Millennium Capital Corp.

September 14, 2007 13:09 ET

New Millennium Capital Corp. Reports Status of Its Asset-Backed Commercial Paper

CALGARY, ALBERTA--(Marketwire - Sept. 14, 2007) -

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

New Millennium Capital Corp. ("NML" or "the Company") (TSX VENTURE:NML) today announced that its $4,400,283 investment in Structured Investment Trust III, Series A ("SIT"), administered by Coventree Capital Group Inc. ("Coventree"), which was due and payable on September 13, 2007, was not paid.

Coventree announced in mid August that it was unable to meet its repayment obligations of its maturing asset backed commercial paper ("ABCP") owing to market disruptions that were precipitated by the sub-prime mortgage problem in the U.S. To mitigate this problem a number of major players in Canada's financial markets met in Montreal on August 16, 2007 to work out a solution to the liquidity problem affecting ABCPs.

The proposed solution to the liquidity problem in the non bank ABCP market was for holders of ABCP ("Holders") to roll their paper during a 60 day standstill period and not to take any action that would precipitate a default of any of these trusts. The standstill period will end on October 15, 2007 and Holders will have an opportunity at that time to accept or reject the full restructuring proposal once it is finalized.

The company believes that it has sufficient cash to continue its 2007 work program, but is currently reassessing its cash requirements and alternate sources of funds.

NML also has $1.0 million in other ABCP backed by Transcanada Pipelines Ltd. This note is not considered problematical owing to the high quality of the assets backing the security. A $0.3 million ABCP backed by Encana Corporation matured and was paid in full on August 31, 2007. As of August 31, 2007 a total of about $5.4 million of New Millennium's $8.6 million in cash and cash equivalents and term deposits was invested in Canadian ABCPs.

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.

The Corporation's mission is to add shareholder value through the responsible and expeditious development of the Millennium Iron Range and other mineral projects to create a new large source of raw materials to the world's iron and steel industries. 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.

NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE CONTENT OF THIS RELEASE. THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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