Mr. Dwayne Yaretz reports

MUZHU CLOSES PRIVATE PLACEMENT

Muzhu Mining Ltd. has closed a private placement of 1,259,000 units at 10 cents per unit for gross proceeds of $125,900. Each unit comprises one common share of the company and one non-transferable share purchase warrant. Each warrant entitles the holder to purchase one common share at a price of 14 cents per share for the first year and 20 cents per common share for the second year, subject to the following acceleration provision: if the closing price for the common shares of the company as traded on the Canadian Securities Exchange is equal to or greater than 30 cents per common share for any 20 consecutive trading days occurring any time after the expiry of the four-month hold period, then the subscriber shall have until 4 p.m. (Vancouver, B.C., time) of the 30th calendar day after the company's news release announcement of the occurrence of the threshold period to exercise the share purchase warrants (the accelerated expiry date). The share purchase warrants shall expire on the earlier of the last day of the two-year exercise term or the accelerated expiry date. The issuer shall issue no other notice other than such news release.

All of the securities distributed under the foregoing private placement are subject to a four-month hold period from the date of issue, proceeds will be used for working capital and exploration projects.

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. As well, Muzhu has executed two option agreements to acquire up to 80 per cent of the silver, zinc, lead XWG and LMM properties, and is currently pursuing an exploration agreement at the WLG mine, all located in the Henan province, China.