Century Mining Receives Underwriting Proposal For US$65 Million Debt Financing

Century also announces C$1.75 million flow-through financing for Lamaque
    drill program and additional reserve and resource upgradesBLAINE, WA, March 24 /CNW/ - Century Mining Corporation (CMM: TSX-V)
today announced that the Company's Board of Directors has agreed to proceed
with a proposal it has received for a fully-underwritten debt financing for
its Lamaque project in the amount of US$65 million.

    US$65 million debt financing details

    On February 2, 2009 Century announced plans for a gold-based debt
facility, whereby the Company would raise necessary funding from institutional
investors and repay the loan with physical gold from production at Lamaque.
After evaluating several financing alternatives, the Company has chosen to
pursue the debt financing announced today because it requires no commitment of
future gold production and minimizes potential dilution of the Company's
shares.
    Under terms agreed to in the underwriting agreement, Century will borrow
$65 million for a term of 7 years, at an interest rate of 8% in the first
year, and 6% per year in years 2 - 7. The interest for the first year of the
loan will be paid in full at the time of closing of this transaction. Payments
in years 2-7 will be interest only, with a balloon payment at the end of the
loan term for the entire principal amount.
    The primary use of proceeds will be for capital expenditures to restart
mining operations at Century's Lamaque Underground Mine, located in Quebec,
Canada.
    This financing is being arranged by Union Securities Ltd. of Calgary.
Union Securities has been instrumental in identifying sources of private debt
financing for the Lamaque project.
    In a confirmation letter sent to Century and Union Securities regarding
the debt financing, the lenders stated, "We are pleased to confirm that we can
underwrite investment for Century's project in the amount of $65 million." The
source of funds will be from a consortium of international investors.
    Closing on the debt facility will be subject to terms, conditions and
guidelines as set forth by the lender, and security documentation. A 3%
underwriting fee and a 6% finder's fee with 10 million warrants exercisable at
C$0.15 for a period of two years will be paid at closing.
    Regarding due diligence processes customary in financings of this scope,
the lender has indicated that the extensive due diligence carried out by
Fortis Bank and the resulting January 2009 Due Diligence Report are sufficient
for the purposes of this transaction. This is significant because it will
expedite the closing of the debt financing. The Company and the consortium
anticipate finalizing the underwriting on this debt financing in approximately
21 days, with funding of the full amount to take place 30-45 days after that.
    Century has terminated its agreement with Octagon Capital Corporation,
which was acting as lead agent for the gold-based financing.

    C$1.75 million flow-through financing details

    Century also announced today that, subject to regulatory approval, it
will complete a non-brokered private placement of up to C$1.75 million,
comprised of flow through shares.
    The Company will issue common shares on a flow-through basis at an issue
price of $0.13 per share.
    The Company will pay certain persons for introducing subscribers to the
Company a finder's fee of cash equal to 6% of the aggregate gross proceeds,
and broker warrants equal to 6% of the aggregate number of flow-through
shares. Each broker warrant shall be exercisable for 18 months from the date
of issue and shall entitle the holder to purchase a common share of the
Company for a price of $0.13. The flow-through share issuance is subject to
approval by the TSX Venture Exchange.
    The proceeds from this offering will be used for diamond drilling of the
Bedard Dyke at the Lamaque Mine and completion of an ongoing Vulcan computer
modeling project of the Lamaque Mine from the 2,000 to 3,000 foot levels. All
of the securities issued under these private placements will be subject to a
four-month hold period.
    Margaret Kent, President and CEO of Century commented, "Century has been
working on this debt financing package for several weeks now. We are very
pleased with the terms of this debt financing. Since early February,
management and the Board have conducted extensive negotiations with potential
lenders regarding both gold-based and straight debt financing alternatives.
The terms of the deal announced today will allow us to restart operations at
Lamaque without committing a single ounce of future gold production."

    About Century Mining Corporation

    Century Mining Corporation is a junior gold producer. The Company owns
and is working towards the restart of the Lamaque mine in Québec that
historically has produced over 9.2 million ounces of gold. In Peru, Century
wholly-owned subsidiaries own an 82.6% interest in the San Juan Mine where the
Company accounts for 100% of gold production. Total gold production for 2006
and 2007 was 70,401 ounces and 63,124 ounces of gold, respectively."Margaret M. Kent"

    Chairman, President & CEO

    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of the contents of this press
    release.Caution Concerning Forward-Looking Information

    This press release contains forward looking statements within the meaning
of the United States Private Securities Litigation Reform Act of 1995 and
forward-looking information within the meaning of applicable Canadian
securities laws. We use words such as "may", "will", "should", "anticipate",
"plan", "expect", "believe", "estimate" and similar terminology to identify
forward-looking statements and forward-looking information. Such statements
and information are based on assumptions, estimates, opinions and analysis
made by management in light of its experience, current conditions and its
expectations of future developments as well as other factors which it believes
to be reasonable and relevant. Forward-looking statements and information
involve known and unknown risks, uncertainties and other factors that may
cause our actual results to differ materially from those expressed or implied
in the forward-looking statements and information and accordingly, readers
should not place undue reliance on such statements and information. Risks and
uncertainties that may cause actual results to vary include but are not
limited to the speculative nature of mineral exploration and development,
including the uncertainty of reserve and resource estimates; operational and
technical difficulties; the availability to the Company of suitable financing
alternatives; fluctuations in gold and other commodity prices; changes to and
compliance with applicable laws and regulations, including environmental laws
and obtaining requisite permits; political, economic and other risks arising
from our South American activities; fluctuations in foreign exchange rates; as
well as other risks and uncertainties which are more fully described in our
annual and quarterly Management's Discussion and Analysis included in this
Annual Report, in our Annual Information Form and in other filings made by us
with the Securities and Exchange Commission and with Canadian securities
regulatory authorities and available at www.sedar.com.
    While the Company believes that the expectations expressed by such
forward-looking statements and forward-looking information and the
assumptions, estimates, opinions and analysis underlying such expectations are
reasonable, there can be no assurance that they will prove to be correct. In
evaluating forward-looking statements and information, readers should
carefully consider the various factors which could cause actual results or
events to differ materially from those expressed or implied in the
forward-looking statements and forward-looking information.

For further information: Brent Jones, Manager of Investor Relations,
E-mail: [e-mail], Phone: [phone] or [phone],
Fax: [phone], Website: www.centurymining.com