Mr. Dwayne Yaretz reports

MUZHU COMMENCES 5,000 TON BULK SAMPLE AT WULONGGOU GOLD MINE

Muzhu Mining Ltd.'s wholly owned Chinese subsidiary, Luoyang Sow International Mining Company Ltd. (LSM), has completed the underground development at the Wulonggou gold mine. The mining team can now access the historical mine workings and the vein exposures. Bulk sampling has commenced.

The Wulonggou gold mine is in Xishan township, Luoning county, Henan province, China. Luoning county encompasses numerous gold-silver-producing mines and historical producers.

The historical F12 vein was exposed after excavating a new portal and drifting 70 m. The first 5,000-ton bulk sample will be sent to the Luoning county Jun De Hong Yu flotation mill for processing. The flotation mill is approximately 10 kilometres from the Wulonngou mine and has a 1,000-tonne-per-day capacity.

The F12 is one of several veins in the Wulonngou gold mine mineralized structure. Three of these currently identified veins are still being worked, but production from the F12 vein ceased in 1999 when a provincial highway was constructed and the mine entrance was deemed too close to the highway.

About Muzhu Mining Ltd.

Muzhu Mining is a Canadian publicly traded exploration company with a portfolio of highly prospective projects at various stages of development. Muzhu currently holds 100-per-cent interest in the Sleeping Giant south project, located in the Abitibi greenstone belt, approximately 75 kilometres south of Matagami, Que. Muzhu has also executed two option agreements to acquire up to 80 per cent of the silver, zinc, lead XWG and LMM properties in Henan province, China.