General Minerals Corporation Announces Termination of Joint Venture with Boliden on the Vizcachitas Project.

DENVER, Colo.--(BUSINESS WIRE)--July 24, 1998-- General Minerals Cor(TSE:GNM.) General Minerals Corporation ("GMC") announced today the termination of its joint venture agreement with Boliden Ltd. ("Boliden") on the Vizcachitas project in Chile. The first phase of the joint venture has now been completed and Boliden has decided not to proceed with Phase 2.

A total of Cdn$4.3 million was spent by Boliden and Westmin Resources ("Westmin"), the original joint venture partner on the project, during the first phase. This expenditure significantly advanced the project to the point that a preliminary feasibility study, currently being prepared independently by Kilborn International ("Kilborn"), is nearing completion. The results of this study are currently under review and are expected to be made available during the first week of August, 1998. GMC retained Kilborn in late April of this year and GMC management has worked closely with Kilborn's engineers in preparing this study. The Kilborn study incorporates the most recent resource update at Vizcachitas which has expanded the important near-surface, higher grade copper mineralization, now estimated to include 37 million tonnes grading 0.85 percent copper which is contained within 283 million tonnes with an average grade of 0.6 percent copper. Overall, the total resource, announced on June 17, 1998 (see GMC PR98-9), is now estimated to be 1,141 million tonnes grading 0.42 percent copper representing 10.6 billion pounds of copper.

GMC President and Chief Executive Officer Ralph Fitch stated that the decision by Boliden will not adversely affect the direction and plans for Vizcachitas. GMC remains encouraged by the project and expects to make a final decision to proceed with the bankable feasibility study following receipt of the final report from Kilborn. Fitch, although disappointed with Boliden's decision, stated that Vizcachitas has many positive attributes including the very near-surface, higher grade copper mineralization and its proximity to excellent infrastructure and support services.

Boliden acquired their option to earn an interest in Vizcachitas through their acquisition of Westmin earlier this year. In the notice sent by Boliden indicating their withdrawal from the project, they acknowledged the attributes of the Vizcachitas project but concluded that it is beyond the scope of their present strategic objectives. GMC enjoyed working with Boliden and appreciated their financial and technical support for the project. Technical result to date are very encouraging and GMC is pleased to have its interest in the project restored to 100 percent.

Vizcachitas is one of the core assets of GMC and management is confident that with continued positive feasibility work and an improvement in metals prices, the Vizcachitas project will provide a very significant asset base for the Company.

General Minerals Corporation is an international exploration company formed for the acquisition, exploration and development of mineral resources, primarily copper and gold. The Company is currently focusing on four advanced stage copper and gold properties in South American (Chile, Peru, and Bolivia), including Vizcachitas, which is at the preliminary feasibility stage.

CONTACT: General Minerals Corporation

Richard Doran, 303/863-7934

303/ 863-7965 (FAX)

E-mail: [e-mail]

Webpage: http://www.genmin.com