dik review letter, page-5

AVM Anvil may transfer Dikulushi project to DRC Mining Code
Source:Canada Stockwatch

Tuesday February 19 2008 - News Release

Mr. Craig Munro reports

ANVIL MINING LIMITED - GOVERNMENT REVIEW OF DIKULUSHI MINING CONVENTION CONFERENCE CALL THURSDAY, FEBRUARY 21 AT 8:00 AM (TORONTO TIME)

On Feb. 16 Anvil Mining Ltd. received a letter from the Minister of Mines for the Democratic Republic of the Congo (DRC) notifying Anvil of the results of the review by the Congolese government of the mining convention governing the Dikulushi copper-silver mine. The Dikulushi convention is held by Anvil Mining Congo SARL, a Congolese company in which Anvil holds 90 per cent of the shares. A 10-per-cent equity interest is held in trust for the benefit of the communities surrounding the Dikulushi mine.

The letter from the Minister of Mines includes a statement of terms upon which the government proposes discussions be based to balance the partnership between the DRC and Anvil. The position of the government under its proposed terms is that the Dikulushi convention should be cancelled but that the Dikulushi mine project may be transferred to the current DRC Mining Code.

The Dikulushi convention predates the current mining code. By its terms, the mining code specifically "grandfathers" all mining conventions that predate the adoption of the mining code and provides that the holders of mining rights described in a duly signed and approved mining convention are governed by that convention and not by the mining code.

The Minister of Mines further advised that it is the government's position that Anvil Mining Congo SARL should pay to the government of the DRC an amount in respect of the 10-per-cent interest in the Dikulushi mine held for local communities, from the date of inception of the Dikulushi convention.

Anvil has also been requested to submit to the government a plan for social programs that will have a visible impact. The 10-per-cent interest has been held in trust for the benefit of the people of the DRC since the inception of the Dikulushi project. Using earnings allocated for the trust, Anvil has financed, developed and continues to maintain numerous social and infrastructure projects including, among others, medical clinics and equipment, schools, fresh water wells, and a water pipeline to Pweto. In addition Anvil is rebuilding a 192-kilometre road from Kilwa to connect with the road to Lubumbashi at Kasomeno.

The letter from the Minister of Mines invites Anvil to respond to the government's position. Anvil will shortly submit a response to the letter and will seek discussions with the Minister of Mines.

Anvil understands that the DRC Ministry of Mines is in the process of issuing letters regarding its Kinsevere mine and Kulu copper tailings operation, but has not yet received them. A further news release will be issued promptly after receipt of those letters.

Conference call

A conference call will be held at 8 a.m. (EST -- North America, Toronto time) on Thursday, Feb. 21, coinciding with 10 p.m. (AWST -- Perth, Australia, time) on the same day, to discuss the matters referred to in this news release. Details to access the conference call and the live audio webcast are as follows:

Conference call (please call approximately five minutes prior to the scheduled start of the call):

- Toll-free within North America: 1-866-250-4877; or

- For local and overseas calling: 1-416-644-3433.

Replay information (available for a period of seven days):

- The conference call will also be recorded and a playback of the call will be available after the event by dialling 1-877-289-8525 or 1-416-640-1917, reservation No. 21263759 followed by the pound key.

As a consequence of the notifications Anvil has received and anticipates receiving, Anvil may be required to enter into discussions or negotiations with the DRC government and La Generale des Carrieres et des Mines (Gecamines) regarding its rights with respect to its properties in the DRC. No assurance can be given as to the outcome of any such discussions or negotiations or that Anvil's security of tenure and its ability to secure additional financing in the future may not be adversely affected so as to have a material adverse effect on its business, operating results and financial position.