Afferro Mining Inc. Receipt of TSX-V Approval for Divestment of Putu Project

/NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES./

TSX-V: AFF
AIM: AFF

TORONTO, Jan. 16, 2012 /CNW/ - The Board of Afferro Mining Inc. ("Afferro" or the "Company") announces that it has received final approval from the TSX Venture Exchange for completion of the Sale and Purchase Agreement dated 23 December 2011, under which the Company will sell its remaining 38.5% interest in the Putu iron ore project, located in Liberia, to Lybica Holdings B.V., an affiliate of ZAO Severstal Resources.

A special meeting of shareholders will be held at the Company's offices at 20 Southampton Street, London, WC2E 7QH, United Kingdom, on 31 January 2012 at 11:00 (GMT) to consider a resolution approving the sale.  An information circular, setting out the details of the sale and incorporating a notice of the special meeting, has been sent to the Company's shareholders and is available on www.sedar.com and the Company's corporate website www.afferro-mining.com.  Closing of the sale also remains subject to certain other customary conditions and deliveries.

About Afferro Mining Inc.

Afferro Mining is an established exploration and development company listed on the TSX-V (AFF) and London's AIM (AFF). Afferro Mining's portfolio includes the Nkout iron ore project, which has an estimated Indicated Mineral Resource of 944.4 million tonnes grading 32.7% Fe, 45.6% SiO2 and 2.3% Al2O3 and 0.05% P and an Inferred Mineral Resource of 1,054 million tonnes grading 31.6% Fe, 45.2% SiO2 and 3.9% Al2O3 and 0.05% P, and surrounding iron targets in Cameroon, which is subject to a resource expansion drilling programme targeting 4Bt. Afferro Mining also has a 38.5% interest in the Putu iron ore project in Liberia (the "Putu Project"), which has an estimated Inferred Mineral Resource of 185 Mt of oxide material with a grade of 37.8% Fe, 17 Mt of haematite itabirite at 48.25% Fe, and 2,173 Mt of magnetite itabirite at 33.7% Fe. The Putu Project is subject to a resource expansion drilling programme and is moving through pre-feasibility managed by joint venture partner Severstal Resources (the mining division of London and Moscow listed OAO Severstal). In September 2010, Putu was granted a 25 year renewable Mineral Development Agreement by the Government of Liberia. As announced on 28 December 2011, Afferro has entered into a sale and purchase agreement with Lybica Holdings B.V., an affiliate of Severstal Resources to sell its 38.5% interest in Putu for a minimum total consideration of US$115 million.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

SOURCE Afferro Mining Inc.

For further information:

For further information, please see the Company's web site at www.afferro-mining.com or contact one of the following:

Afferro Mining Inc.
Luis da Silva / Jeremy Cave
Tel: +44 (0) 20 7257 2930

Evolution Securities Limited
Nominated Adviser: Neil Elliot / George Price
Corporate Broker: Chris Sim
Tel: +44 (0) 20 7071 4300

RBC Capital Markets
Joint Broker: Martin Eales / Richard Hughes
Tel: +44 (0) 20 7653 4000

Pelham Bell Pottinger
Nick Lambert / James MacFarlane
Tel: +44 (0) 20 7861 3232

Profil de l'entreprise

Afferro Mining Inc.

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