Executive Council
Business, Tourism, Culture and Rural Development
June 6, 2016

Expanding Our Economic Potential

Anaconda Mining Receives Support to Expand Operations

The Provincial Government is supporting Anaconda Mining in its efforts to expand is operations through a $400,000 repayable loan under the Business Investment Program and a $100,000 investment through the Business Development Support Program. The Honourable Dwight Ball, Premier of Newfoundland and Labrador, announced the support at the 29^th Annual Baie Verte Mining Conference on June 3.

"As a small and growing mining company, Anaconda Mining holds great potential in our province for increased economic growth. Through our support, the company will continue to expand its operations and provide high skilled employment opportunities for our residents. Anaconda Mining has already demonstrated its commitment to giving back to the community and its corporate culture is one that leads by example. We are excited about the incredible potential of Anaconda Mining and believe this is just the beginning of this company's success in Newfoundland and Labrador"
- The Honourable Dwight Ball, Premier of Newfoundland and Labrador

Funding will support productivity through the construction of a control room and ore shed; the purchase of machinery and equipment (core crusher/automation) and includes technical support and set up.

"Supporting companies like Anaconda Mining helps to diversify and strengthen our economy. Each year, Anaconda Mining spends approximately $13 million with companies based in Newfoundland and Labrador or distributors within the province, contributing to the local economy. In addition, most employees and their families live in Baie Verte region."
- The Honourable Christopher Mitchemore, Minister of Business, Tourism, Culture and Rural Development

Anaconda Mining is a growth-oriented, gold mining and exploration company with a producing project called the Point Rousse Project and an exploration/development project called the Viking Project in Newfoundland. The Point Rousse Project is approximately 6,300 hectares of property on the Ming's Bight Peninsula located in the Baie Verte mining district. Since 2012, Anaconda has increased its property control by 10-fold on the peninsula and gold production to nearly 16,000 ounces per year. In an effort to expand production, it is currently exploring three primary, prospective gold trends, which have approximately 20 km of cumulative strike length and include five deposits and numerous prospects and showings, all within eight km of the Pine Cove mill.

"In the past five years Anaconda Mining has tripled production at the Point Rousse Project to 16,000 oz of gold per year. Our success has been fueled by a commitment to advance innovation and efficiency throughout our operations, including this mill automation project. We are a proud to be a part of a growing industry in the Baie Verte mining district and to contribute to long-term economic diversification in the region."
- Dustin Angelo, President & CEO, Anaconda Mining Inc.

Anaconda also controls the Viking Project, which has approximately 6,225 hectares of property in White Bay, Newfoundland, approximately 100 km by water (180 km via road) from the Pine Cove mill. The project contains the Thor Deposit and other gold prospects and showings. The company's plan is to discover and develop more resources within these project areas and double annual production at the Pine Cove mill from its current rate of nearly 16,000 ounces to 30,000 ounces.

QUICK FACTS

• The Provincial Government is supporting Anaconda Mining in its efforts to expand is operations through a $400,000 repayable loan under the Business Investment Program and a $100,000 investment through the Business Development Support Program.
• Funding will be used to assist with the building of a control room and ore shed; the purchase of machinery and equipment (core crusher/automation) and includes technical support and set up.
• Anaconda Mining is a growth-oriented, gold mining and exploration company with a producing project called the Point Rousse Project and an exploration/development project called the Viking Project.

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Media contacts:

Nancy O'Connor Director of Communications Office of the Premier 709-689-1825 nancyoconnor@gov.nl.ca	Erin Curran Communications Specialist Office of the Premier 709-725-9231 ErinCurran@gov.nl.ca
Tansy Mundon Director of Communications Department of Business, Tourism, Culture and Rural Development 709-729-4570, 693-1865 tansymundon@gov.nl.ca	Lynn Hammond Communications Consultant Anaconda Mining Inc. LH@LynnHammond.ca 709-330-1260

2016 06 06                              4:45 p.m.