SOURCE: Sao Luis Mining, Inc.

April 16, 2007 05:00 ET

Sao Luis Mining Retains Top U.S. Accounting Firm to Lead Audit to Become Fully Reporting

GARDNERVILLE, NV -- (MARKET WIRE) -- April 16, 2007 -- Sao Luis Mining, Inc. (PINKSHEETS: SAOL) (FRANKFURT: F5G) (www.saolmining.com), a "conflict free" diamond mining and precious metals exploration company, has engaged Kabani & Company, one of the nation's leading CPA/Consulting firms, to prepare its audits to become a fully reporting company.

"We are taking this important step to become a fully reporting company and advance to a higher stock exchange," says Michael J. Dillon, the Company's President and Chairman. "We want to raise our visibility among institutional and retail investors alike, and broaden and deepen the market for our shares."

"Our commitment to become a fully reporting company comes at an exciting time for Sao Luis Mining," continued Mr. Dillion. "The geological surface report on our joint venture Brazilian Property 231 estimates 12.7 million carats of diamonds with an approximate value in excess of $300 million. Additional diamond resources at lower depths, as well as encouraging bulk samplings from our adjacent property 117, may further increase our properties value."

"We are getting ready to begin production mining later when we receive our first Extrac-TEC 40 ton per hour mobile pilot processing plant, expected in early May. This mobile plant can increase production capacity upwards of 10,000 carats per month, with the addition of a second laser diamond sorter. After installation and test mining, we then intend to order at least one additional 100-ton-per-hour plant."

"In addition to our new management team, the internationally regarded business executives elected to our Board are already having a dramatic impact on our company," concluded Mr. Dillion. "For example, Stephan P. Müller, who has held senior executive management positions with such well-known companies as Eurocellular, Apple Computer Europe and Reuters Switzerland, has just assisted us to obtain a significant private placement."

About Sao Luis Mining:

Sao Luis Mining, Inc. (PINKSHEETS: SAOL) (FRANKFURT: F5G) (www.saolmining.com) is a "conflict free" diamond mining and precious metals exploration company. Its strategy is to acquire interests in producing mines and develop properties that have the promise to be economically viable. Sao Luis Mining has a 51% joint venture interest in Comercio e Mineracao Sao Luis Ltda., which operates two diamond properties and an existing processing plant in the Sao Luis River Basin. The operation is located in the state of Mato Grosso, which is the most productive diamond district in Brazil and responsible for 61% of all the legally mined diamonds in Brazil in 2005. Additional information, including a photo gallery and geological report, is available at the Company's website www.saolmining.com.

About Kabani & Company:

Kabani & Company, Inc. (www.kabanico.com) has just been recognized by the PUBLIC ACCOUNTING REPORT (PAR), a national monthly newsletter focused on the public accounting industry, as the second fastest growing accounting firm and among the top 30 SEC auditors in the USA. INSIDE Public Accounting (IPA) has named it one of the top 5 All-Star in 2006 for growth, an elite honor because it's based entirely on fiscal and operation performance. Hamid Kabani, formerly with Deloitte & Touche LLP and Ernst & Young LLP, is currently a member of the qualification committee of the Board of Accountancy in California. He was also appointed to serve on the AICPA's Group of One Hundred (G100) for the year 2002-03, and also serves on AICPA's Virtual Grassroots Panel (VGP) for the year 2003-05.

Forward-Looking Statements:

This news release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. When used in this release, words such as "estimate," "expect," "anticipate," "projected," "planned," forecasted" and similar expressions are intended to identify forward-looking statements, which are, by their very nature, not guarantees of Sao Luis Mining, Inc.'s future operational or financial performance, and are subject to risks and uncertainties. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Due to the risks and uncertainties, actual events may differ materially from current expectations. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information