Atlas Mining Enters Joint Venture to Find New Properties.

OSBURN, Idaho -- Atlas Mining Company (OTCBB:ALMI) announced today that it has entered into a joint venture arrangement with Kat Exploration of Canada to explore, locate and stake mineral claims in the province of Newfoundland. According to William Jacobson, President and CEO, "Newfoundland is one of the least explored provinces in Canada, and we think it will be the next boom area in Canadian mining. We have already found some decent copper, nickel and gold deposits there, similar to the one being mined by Inco, which is one of the world's largest Nickel/Cobalt deposits. As the Dragon Mine comes into reality, it will be important for us to have other properties available. This relationship with Kat does not cost the company much and it gives us an inside track on the deposits of the province." To date Kat Exploration holds claims to a number of properties with potential for world class copper deposits in which a number of mining companies have already shown interest.

Under the joint venture arrangement Atlas earns a 50% interest in all properties staked by Kat Exploration. Also according to the agreement it will be the intent of the joint venture to either move the newly located properties into feasibility or to find other participants in the properties. Jacobson went on to explain, "By becoming involved on the ground level we can earn more interest by taking the properties beyond this point or spinning them off to others. We are working with a couple of good prospectors. Ken Stead and his brother Tim are both founders of Kat Exploration, are natives of the Newfoundland province and know the lay of the land as well or better than any other prospectors there."

About Atlas Mining Company: Atlas Mining Company is a diversified natural resource company with its primary focus on the development of the Dragon Mine in Juab County, Utah, the only known commercial source of halloysite clay outside of New Zealand. The unique purity and quality of the Dragon mine halloysite is unmatched anywhere in the world and has spawned considerable research in the nanotechnology fields and has created exciting new applications for this product. Atlas also holds mining and timber interests in Northern Idaho, and operates an underground mining contracting business. Atlas stock trades on the OTC Bulletin Board under the symbol "ALMI". More information about Atlas Mining Company can be found at www.atlasmining.com.

Safe Harbor Statement: Except for the historical statements made herein, the statements made in this release are forward-looking statements. Risk factors that could cause actual results to differ materially from those projected in forward-looking statements include, but are not limited to, general business conditions, managing growth, and political and other business risks. All forward-looking statements are expressly qualified in their entirety by this Safe Harbor Statement and the risks and other factors detailed in the Company's reports filed with the Securities and Exchange Commission. Atlas Mining Company undertakes no duty to update these forward-looking statements.