Chester Mining Signs Letter of Intent to Lease Silver Valley Properties to Sterling Mining Company.

Business Editors/Environment Writers

COEUR D'ALENE, Idaho--(BUSINESS WIRE)--Nov. 17, 2003

Chester Mining Company (OTC:CHMN) is pleased to announce that it has signed a Letter of Intent to lease its Silver Valley properties to Sterling Mining Company (OTC:SRLM), operator of the Sunshine Mine.

Chester owns two strategic claim groups in the immediate vicinity of the Sunshine Mine, the Chester and Bismarck properties, both of which are included in the proposed agreement. The lease term is for 25 years, in exchange for an up-front payment of 50,000 shares of Sterling stock, an annual payment of $7,200 and 5,000 shares of Sterling stock, and 20 percent of net operating profits from any future production from the properties. Sterling will also be granted an option to acquire 200,000 shares of Chester stock at a price of $1.00 per share as part of the agreement.

The Chester property consists of a 100-acre parcel, completely surrounded by the Sunshine Mine property and less than one mile east of its Jewell Shaft. Sterling has recently embarked upon a surface exploration program on portions of the Sunshine property near the Chester claims.

The Bismarck property consists of a 75-acre parcel, adjacent to the Sunshine Mine property and roughly one mile south-southwest of its Jewell Shaft. The Bismarck claims were developed by a 1,500-foot access drift from the surface and include over 1,000 feet of lateral development along the Bismarck Vein.

The final lease agreement is expected to be signed prior to December 31, 2003.

Chester Mining Company is a unique mineral exploration company with a strategy of acquiring properties in proven mining districts and leasing them out to generate an income stream while retaining speculative leverage to exploration success through royalty interests. Chester has approximately 2.3 million shares outstanding, positive working capital and no debt. Chester stock trades on the OTC Market under the symbol "CHMN".

Certain statements contained in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on beliefs of management as well as assumptions made by and information currently available to management. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from expected results.