Atlas Mining Company Hires Top Industrial Minerals Consultant.

Business Editors

OSBURN, Idaho--(BUSINESS WIRE)--Dec. 4, 2002

Atlas Mining Company (OTCBB:ALMI) is pleased to announce that it has entered into a consulting agreement with Paul Adler, president of The Phlogiston Company, a Georgia-based consulting firm specializing in industrial minerals.

The Phlogiston Company has worked for companies throughout the world, representing many types of industrial minerals.

Under the agreement, Adler will actively assist Atlas Mining Company in the production, processing and sales of halloysite clay from its Dragon Mine operation. The clay, sold under the name "Phlosite HP," is scheduled to be on the market by the first-quarter of 2003.

Paul Adler was president of Australian Kaolin Ltd., a producer of kaolin clay. He was also Technical Director of Georgia Kaolin Company and worked under contract for Engelhard Corp. and English China Clays. Through The Phlogiston Company, he upgraded the processing plant at New Zealand China Clays to increase production capacity of halloysite clay from 20,000 to 30,000 tons per year. Mr. Adler is a well-known industry expert, especially in the area of clay processing systems. He has published a number papers related to this topic.

Mr. Adler has also stated that "the quality of the halloysite deposit eclipses anything every discovered in the global industry, including the Matauri Bay deposits of New Zealand China Clays. This judgement is not made lightly. It is based on the three most important inherent properties of the crude. They are brightness, particle size distribution and purity. The Dragon deposits in Utah have three unprecedented crude ore properties; a brightness in excess of 96 on the G.E. scale; a particle fineness of 97.5% less than 2 microns; and a grit content so low that silica levels are virtually undetectable."

William Jacobson, president of Atlas Mining Company, notes "We have been working with Mr. Adler for almost a year, and he has been instrumental in helping us reach this point. His reputation and expertise have opened many doors for us, and we are happy to have Paul on our team. The agreement announced today assures us of his continued participation."

About Atlas Mining Company

Atlas Mining Company is an exploration stage natural resource and mining company with an underground mining contracting business. Atlas Mining has mining and timber properties located in the Silver Valley of Shoshone County, in North Idaho. Atlas Mining also has interest in a halloysite clay property in Juab County, Utah, and, in the past, has pursued exploration targets in Mexico. This notice does not constitute an offer of any securities for sale.

Safe Harbor Statement -- As a cautionary note to investors, certain matters discussed in this press release may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; the Company's ability to execute its business model and strategic plans; and the risks described from time to time in the Company's SEC filings.