MDN Inc.: Sale and Transfer of Tulawaka Mine to Stamico

MDN Inc.: Sale and Transfer of Tulawaka Mine to Stamico 
MONTREAL, QUEBEC -- (Marketwired) -- 11/15/13 -- MDN Inc. ("MDN")
(TSX:MDN) reports to its shareholders that African Barrick Gold plc
(ABG), the project operator at the Tulawaka gold mine in Tanzania has
reached an agreement with STAMICO, the Tanzanian State Mining
Corporation, whereby STAMICO will acquire the Tulawaka Gold Mine
("Tulawaka") and certain exploration licenses surrounding Tulawaka
for consideration of US$4.5 million and the grant of a 2% net smelter
royalty on future production in excess of 500,000 ounces, capped at
As part of the agreement, STAMICO will take ownership and management
of the rehabilitation fund established as part of the closure plan
for the mine, in return for the assumption of all remaining past and
future closure and rehabilitation liabilities for Tulawaka, and will
indemnify the other parties to the agreement in relation to these
liabilities. This will result in a cash payment by ABG to STAMICO of
the balance of the rehabilitation fund, which currently stands at
US$17.6 million, less the transaction consideration on completion.
Tulawaka is 100% owned by the Tulawaka Joint Venture, in which ABG
holds a 70% economic interest through a wholly owned subsidiary, with
MDN Inc holding the remaining 30% of the Joint Venture. Production at
Tulawaka ceased in Q2 2013. The transaction, which has been approved
by the Board of ABG and its subsidiaries and STAMICO, is subject to
the satisfaction of regulatory approvals before completion. 
After reviewing, operations lost since 2012, Tulawaka expenses, the
inventory of assets sold and this transaction, MDN is not
anticipating any benefits or liabilities from this transaction.   
A successful story for MDN  
Tulawaka was a successful story for MDN, a junior mining company. MDN
succeeded in financing the Tulawaka construction during an era of low
gold prices and kept up with the rapid building pace imposed by a
major gold producer to finally participate in the opening in March
2005. In less than 3 years, MDN succeeded to reduce its debt
obligation and started to accumulate profit from the production at
Tulawaka mine. Funds permitted MDN to increase it land package in
Tanzania and to develop quality exploration projects such as Ikungu,
Ikungu East, Nikonga and Isambara. It also permitted MDN to acquire
an interest in Crevier Minerals inc. in Quebec, where current
feasibility study in progress could make the Crevier project one of
the best mining projects to be developed in Quebec in the coming
years, and one of the most globally competitive tantalum projects. 
About MDN (TSX:MDN)  
MDN Inc. (TSX:MDN) is a mining exploration and development company
with properties in Quebec and Tanzania. In Quebec, MDN holds a 72.5%
interest in Crevier Minerals Inc., which owns an NI 43-101
niobium-tantalum resource that is presently undergoing a feasibility
Marc Boisvert, President and CEO of MDN, is a qualified person as
defined in National Instrument 43-101. He has reviewed the scientific
and technical information in this news release. 
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Forward-Looking Statements  
Other than statements of historical fact, all statements in this
release that address events or developments that the Company expects
to occur are forward-looking statements. Although the Company
believes that the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are
not guarantees of future performance, and actual results may differ
materially from those in the forward-looking statements. Factors that
could cause the actual results to differ materially from those in
forward-looking statements are discussed in greater detail in the
Company's most recent Annual Information Form filed on SEDAR, which
also provides additional general assumptions in connection with these
statements. Investors and others who base themselves on the Company's
forward-looking statements should carefully consider the factors
mentioned in the Annual Information Form, as well as the
uncertainties they represent and the risk they entail. The Company
believes that the expectations reflected in those forward-looking
statements are reasonable, but no assurance can be given that these
expectations will prove to be correct, and as such, the
forward-looking statements in this press release should not be unduly
relied upon. These statements speak only as of the date of this press
Marc Boisvert, Ing.
President and Chief Executive Officer
MDN Inc.
514 866-6500, Ext. 221
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