Niobay Metals Inc V.NBY

news.......

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MONTREAL, QUEBEC--(CCNMatthews - Feb. 4, 2005) - NORTHERN MINING Explorations Ltd. (Explorations MINIERES du NORD) (TSX:MDN) is pleased to report that it has been invited by the Government of Eritrea to continue its exploration programs in the country. Dr. Tim Williams, Northern Mining's COO, met the Eritrean Minister of Energy and Mines, Mr. Tesfay Ghebreselassie, on February 1 in Asmara and received formal confirmation that its local subsidiary Eritrean Minerals Corp ("EMC") is welcome to continue its exploration of the four projects it currently holds. EMC had started exploration programs in the Harab Suit and Matite properties when it was asked to halt work by the Ministry of Energy and Mines on September 2, 2004. The Ministry has now extended the termination of the initial period of the current licenses to May 15, 2005, thus providing additional time for the exploration work to be completed. According to Minister Tesfay, the "Government of Eritrea had no intention to change the business rules stipulated in the Mining Proclamation and is committed as ever to undertake its contractual obligations towards the success of the partnership developed with Eritrean Minerals Corporation". The Minister also said, however, that "...in the event of windfall profits, the Government would like to exercise the option, within the framework of the project sustainability and mutual benefits, of raising the upper limit of its risk and optional equity share from 20% to a maximum of 30%". Northern Mining is currently studying the impact of the announced measures on its projects and is holding further discussions with the Government of Eritrea concerning its investments in the country. In addition, Northern Mining has applied for four additional groups of Prospecting Licences in Eritrea and is awaiting a decision on these from the Government of Eritrea. NORTHERN MINING is a Montreal-based Canadian exploration company that holds a 30% interest in the Tulawaka gold mine and a majority interest in 20 adjacent licences in Tanzania, a majority interest in four properties in Eritrea, and other gold and base metal exploration interests in Quebec, Canada. FOR FURTHER INFORMATION PLEASE CONTACT: NORTHERN MINING Explorations Ltd. Carlos H. Bertoni, M. Sc. CEO [phone] or NORTHERN MINING Explorations Ltd. Tim Williams, Ph.D. COO [phone]