Indusmin Energy Closes Another Black Sea Oil & Gas Deal; Georgian Oil & Gas Property, Block VI B Exploration.

Business Editors

HOUSTON--(BUSINESS WIRE)--Dec. 6, 2000

Indusmin Energy Corp. ("Indusmin") (CDNX:IDM) is pleased to announce a signed Production Sharing Protocol ("PSP") dated as of November 3rd, 2000 with National Oil Company "Saknavtobi" ("Georgian Oil") for Block VI B, in the Republic of Georgia.

Indusmin's PSP calls for a production sharing model whereby Indusmin will receive 80% of the proceeds from production until its costs are recovered, then 30% of the total revenue net of operating costs for the remaining life of the project.

Indusmin's Block VI B covers an area of over 1000 square kilometers of untested basin area containing high quality oil and gas seeps indicating hydrocarbon source, and the known geology of the area indicates a variety of traps. Limited drilling has been completed in the northeastern part of the Imereti rising of Block VI B with measurable methane flow rates and oil and gas shows. Basin depth is estimated to be 3500 meters or more.

      Block VI B is bounded by the following line coordinates;

         Point 1. 42 37' 53"                         43 15' 18"
         Point 2. 42 30' 00"                         43 54' 30"
         Point 3. 42 00' 00"                         43 30' 00"
         Point 4. 42 02' 26"                         42 53' 31"

Returning from a visit in Georgia with the Chief Geologist of Georgian Oil and other members of his staff and a long review of available data, C. Alan Peyton, Jr, V.P. Oil & Gas Development for Indusmin, said "We are looking forward to commence exploration activity in the block as we have great confidence in the work that has been done which strongly indicates oil and gas reserves."

While the signing of the PSP has been a result of hard work by Indusmin personnel in the field, we are very fortunate to get the rights to explore and develop Block VI B in the face of stiff competition from some major players in the industry. For one, the entire region is historically oil rich. Directly east of Indusmin's property, within a 200 mile range, near Ziari, approximately 70 km east of Tibilis the capital city of Georgia, is Ramco PLC of the UK (LSE:ROS)(ASE:RCO) holding Block X. Conoco, a 125 year old Houston based oil company (NYSE: COC A)(NYSE: COC B) is developing Block XI C. Anadarko, one of the largest oil and gas companies in the world (NYSE: APC) is developing Blocks II and III. In November 1999, an agreement between Turkey, Azerbaijan and Georgia was signed to build an oil pipeline, bypassing Russian territory, straight through to the Georgian Black Sea port of Supsa. The pipeline is part of the European Master Plan (Eurasian Transport Corridor) or TRACECA which will bring oil and gas products from the Caspian Region to the rest of Europe. The construction of the pipeline will ensure long-term transport requirements of oil produced from Block VI B.

On account of these most recent developments, Indusmin's board of directors has decided to focus Indusmin's activities in Georgia on the oil and gas sector, specifically concession Block VI B, which they consider a very significant opportunity. The board believes Block VI B is the best option for the company and its shareholders at this time. As a result, Indusmin has put on hold the completion of the transaction for Georgian Zeolite, pending further review of project options.

About Indusmin Energy Corporation

Indusmin Energy is committed to the business philosophy of identifying and acquiring business opportunities in newly emerging markets. Indusmin's global network of personnel provides the company with a unique opportunity to actively pursue transactions worldwide.

Indusmin Energy is focused on oil and gas properties with proven reserves and base metal and industrial mineral properties in production or near production within emerging countries.

Indusmin Energy has 7,275,002 shares outstanding, with 9,978,852 fully diluted and trades on the Canadian Ventures Exchange Inc. under the symbol IDM.