Mr. Philippe Monier reports

TRAFIGURA WARRANT EXERCISE AND KINSEVERE STAGE II FUNDING UPDATE

Anvil Mining Ltd. has seen Trafigura Beheer BV exercise 6.0 million common share purchase warrants for proceeds of approximately $16.5-million (all amounts are expressed in United States dollars, unless otherwise stated). After the exercise of 6.0 million warrants and giving effect to the exercise of the 5,228,320 warrants remaining, plus Trafigura's existing holdings of 53,248,729 common shares, Trafigura's total equity interest in Anvil on a fully diluted basis remains at approximately 38.9 per cent.

Pursuant to a $200-million financing arrangement agreed with Trafigura in August, 2009, Trafigura was issued 11,228,320 warrants which entitle the holder to acquire one common share of Anvil upon payment of $2.75 per warrant. The remaining 5,228,320 outstanding warrants will expire on June 16, 2012. Trafigura's exercise of the warrants is consistent with its strategic support for the company's Kinsevere stage II 60,000-tonne-per-year solvent extraction electrowinning (SX-EW) plant development.

As previously announced in November, 2010, the company liquidated its available-for-sale equity investment in Chalice Gold Mines Ltd. for proceeds of approximately $5-million and during December completed the liquidation of its available-for-sale debt investments for proceeds of approximately $25.0-million.

Together with the $100-million project loan facility provided by Trafigura, the liquidation of the available-for sale investments and Trafigura's exercise of the warrants, the company now anticipates that it is fully financed to take Kinsevere stage II to construction completion, commissioning and ramp-up. Kinsevere stage II is currently approximately 82 per cent complete, with full commissioning expected to begin during the second quarter of 2011.

At Dec. 31, 2010, the company had cash balances of $56.0-million, all of which is held on deposit with major international banks and the loan facility, of which $58.0-million remains undrawn. Although the development of Kinsevere stage II is fully financed, the company is continuing work on refinancing the loan facility with a group of banks; however, that refinancing is no longer critical to the completion of Kinsevere stage II.

We seek Safe Harbor.