Strike Minerals Inc.

Strike Minerals Inc.

July 27, 2011 16:48 ET

Strike Minerals Inc. Corporate Update

TORONTO, ONTARIO--(Marketwire - July 27, 2011) - Strike Minerals Inc. (TSX VENTURE:STK) ("Strike" or the "Company"), announces that dewatering has commenced on its Edwards property.

Mobilization is 90% complete with all the necessary equipment delivered to the site. The camp has been repaired to accommodate the dewatering crew. Electrical power including new transformers has been re-established to mine portal. Pumps vent fan and compressed air have been installed at the mine portal. The settling pond and discharge line has been rehabilitated and upgraded to regulatory standards. The water has been lowered sufficiently to expose the entire portal and allow the contractor to make necessary repairs.

The Company has framed a development plan for the Edwards mine that it expects to implement over the next six to eight months. Once dewatered to the 90 metre level the Company is planning to extend this level north-east for approximately 1,000 feet to the property boundary. This drift will enable the Company to conduct underground sampling and exploration drilling of the five gold mineralized zones that have been identified since Strike acquired the property in 2002. The company has engaged Caracle Creek Consultants to complete a 3-D model of the underground from all of the historical drilling that will assist in the design and location of the drift. The drift will also allow the company to conduct drilling from underground to further delineate the new gold zones. The current gold price is significantly above the $300/oz when operations ceased in 2002 and the dewatering will assist the company in assessing those historic production zones that were prepared but not mined for a resource estimate and to complete a Preliminary Economic Assessment to determine parameters that could be used to establish the criteria for production in the near future.

Mike Newbury, President and CEO of Strike comments "The dewatering of the Edwards Mine creates a unique opportunity to conduct underground exploration on the identified gold mineralized zones and will provide significant advantages including reduced costs of the exploration program. The 90 meter level is expected to be dewatered in the next four to six weeks and enable the Company to obtain larger samples that will provide a better indication of the grade of the gold mineralization zones. The work will be completed in a manner that will be compatible with parameters that can be used in potential future production".

About Strike

Strike Minerals is a TSX-V listed company that is engaged in the exploration and development of precious metal properties in Canada. Its primary property is the former producing Edwards Gold Mine property in the Goudreau – Lochalsh Gold Camp near Wawa Ont. Historic production in the camp between 1930 and 2001 is estimated at 500,000 ounces. Between 1996 and 2001 underground development was completed through a decline to a depth of approximately 290 m and mining over the period resulted in 145,000 oz being produced from the Edwards property at an average grade of 0.39 oz/t. More recent exploration of the property has delineated an additional number of mineralized zones that require follow-up.

Forward-Looking Statements

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Strike., including, but not limited to, the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of exploration results and estimates and that the resource potential will be achieved on exploration projects, currency fluctuations, dependence upon regulatory approvals, and the uncertainty of obtaining additional financing and exploration risk. There is no assurance that the company's exploration projects will add to Strike's resource base in the short-term, or at all. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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