ADEX CONCLUDES ACQUISITION OF 100 PERCENT OF MOUNT PLEASANT MINE.

TORONTO, ON--(BUSINESS WIRE)--JUNE 30, 1995--ADEX MINING CORP. (TSE: AMG ) ADEX Mining Corp. announced today that it has completed the acquisition of a 100 percent interest in the Mount Pleasant Mine in New Brunswick. ADEX acquired all of the shares of Piskahegan Resources Limited, which holds a 100 percent interest in the mine property for an aggregate consideration of $9.3 million paid as to $2 million cash and the issuance of 22 million shares of ADEX. The property which includes a 2,500 tonne per day mine and mill complex has seen a total investment of over $200 million in the last 20 years.

A recent Pre-Feasibility Study and Business Plan for the Mount Pleasant property completed by D.M. Fraser Services concluded that the mine could be re-opened at a capacity of 2,000 tonnes per day treating 6,800,000 tonnes of tin-indium ore over a ten year mine life. This production scenario would generate an operating profit of $160 million over the ten year period for an internal rate of return of 27.2 percent on a full equity basis. Subsequently, plans are to increase the mining rate to 2,500 tonnes per day to include production from the original tungsten-molybdenum orebody.

The three main orebodies at Mount Pleasant include the North Zone with a combined reserve of 18.5 million tonnes including 5.0 million tonnes of proven and probable ore with an average grade of 0.78 percent tin and 2.53 oz idium per tonne; the Saddle Zone containing possible reserves of 2.0 million tonnes averaging 0.92 percent tin and 1.6 oz indium per tonne and the Fire Tower Zone containing proven reserves of 9.0 million tonnes averaging 0.20 percent MoS2 (molybdenum ore) and 0.40 percent WO3 (tungsten ore). Recent drilling programs have indicated the continuity of ore horizons significantly increasing potential mine reserves.

This polymetallic mine will produce tin, indium, tungsten, bismuth, copper, molybdenum, zinc, and gallium using a combination of improved metallurgical techniques and bio-leach extractions. The Mount Pleasant mine represents the world's largest known resource of indium, a high tech metal used as a coating agent for computer and television screens as well as new lead free solders and alloys. Indium was not recognized by previous operators of the mine but discovered during a recent re-sampling program. The current price of indium is about $450 per kilogram.

At a mining rate of 2,500 tonnes per day, and using current metal prices, the annual operating profit for Mount Pleasant exceeds $40 million; or approximately $0.37 per share of ADEX (fully diluted). The company currently estimates that the mine can be brought into production with no further dilution to shareholders. A bankable feasibility study will be commissioned shortly with mine start-up expected to begin in 1997.

On behalf of the Board of Directors

CONTACT: Investor Relations 

416/947-1179