Blue Pearl Announces a New Measured and Indicated Resource of 464 Million Pounds of Contained Molybdenum at Endako Mine



    TORONTO, April 16 /CNW/ - Blue Pearl Mining Ltd.
(TSX:BLE)(TSX:BLE.WT.A)(FRANKFURT:A6R), the world's largest publicly traded,
pure molybdenum producer, today announced an updated measured and indicated
molybdenum resource estimate for its producing Endako Mine near Fraser Lake,
British Columbia. The updated resource estimate was calculated by the
Vancouver office of Wardrop Engineering Inc. to the specifications of National
Instrument 43-101 and in accordance with the CIM Standards. The effective date
of the new estimate is April 15, 2007.
    "The new resource estimate is the first step in our program of updating
resource and reserve estimates at the Endako and Thompson Creek mines where
such updates had not been a priority when the mines were privately owned,"
said Ian McDonald, Executive Chairman. "We plan to release additional resource
and ultimately reserve estimates as they become available during 2007 from the
consulting firms that are producing them.
    "The Endako Mine currently processes approximately 10 million tonnes of
ore per year and its existing mine plan extends to 2013. However, the new
resource estimate indicates there is the potential to extend the mine life.
The calculation of mine life along with a reserve estimate will be part of the
next stage of work by Wardrop," Mr. McDonald stated.
    The Endako Mine, which has produced molybdenum for more than 40 years, is
operated as a joint venture with Blue Pearl having a 75% interest and
Japan-based Sojitz Corporation having a 25% interest.
    At a cut-off grade of 0.02% molybdenum (Mo), Wardrop estimates measured
and indicated Mo resources at the Endako Mine of 492 million tonnes with an
average grade of 0.043% Mo and contained Mo of 464 million pounds (75% of
which are to Blue Pearl's account). Measured resources are 138 million tonnes
at an average grade of 0.05% Mo and indicated resources are 354 million tonnes
at an average grade of 0.04% Mo. In addition, the property contains inferred
resources of 76 million tonnes at an average grade of 0.033% Mo.

    
    -------------------------------------------------------------------------
    Class                  Cut-off Mo%          Tonnes    Mo %     Contained
                                                                       Mo lb
    -------------------------------------------------------------------------
    Measured         greater than 0.02     138,000,000   0.050   152,200,000
    -------------------------------------------------------------------------
    Indicated        greater than 0.02     354,100,000   0.040   311,800,000
    -------------------------------------------------------------------------
    Measured +
     Indicated       greater than 0.02     492,100,000   0.043   463,900,000
    -------------------------------------------------------------------------
    Inferred         greater than 0.02      76,200,000   0.033    56,200,000
    -------------------------------------------------------------------------
    

    At a cut-off grade of 0.03% Mo, Wardrop estimates measured and indicated
Mo resources at the Endako Mine of 331 million tonnes with an average grade of
0.051% Mo and contained Mo of 375 million pounds (75% of which are to Blue
Pearl's account). Measured resources are 108 million tonnes at an average
grade of 0.057% Mo and indicated resources are 223 million tonnes at an
average grade of 0.049% Mo. Inferred resources are 36 million tonnes at an
average grade of 0.043% Mo.

    
    -------------------------------------------------------------------------
    Class                 Cut-off Mo%          Tonnes     Mo %     Contained
                                                                       Mo lb
    -------------------------------------------------------------------------
    Measured        greater than 0.03     108,000,000    0.057   135,500,000
    -------------------------------------------------------------------------
    Indicated       greater than 0.03     223,200,000    0.049   239,300,000
    -------------------------------------------------------------------------
    Measured +
     Indicated      greater than 0.03     331,200,000    0.051   374,800,000
    -------------------------------------------------------------------------
    Inferred        greater than 0.03      36,300,000    0.043    34,300,000
    -------------------------------------------------------------------------
    

    At a cut-off grade of 0.04% molybdenum (Mo), Wardrop estimates measured
and indicated Mo resources at the Endako Mine of 211 million tonnes with an
average grade of 0.061% Mo and contained Mo of 283 million pounds (75% of
which are to Blue Pearl's account). Measured resources are 78 million tonnes
at an average grade of 0.065% Mo and indicated resources are 133 million
tonnes at an average grade of 0.058% Mo. Inferred resources are 16 million
tonnes at an average grade of 0.053% Mo.

    
    -------------------------------------------------------------------------
    Class                 Cut-off Mo%          Tonnes     Mo %     Contained
                                                                       Mo lb
    -------------------------------------------------------------------------
    Measured        greater than 0.04      78,200,000    0.065   112,500,000
    -------------------------------------------------------------------------
    Indicated       greater than 0.04     132,800,000    0.058   170,300,000
    -------------------------------------------------------------------------
    Measured +
     Indicated      greater than 0.04     211,000,000    0.061   282,800,000
    -------------------------------------------------------------------------
    Inferred        greater than 0.04      16,200,000    0.053    19,100,000
    -------------------------------------------------------------------------
    

    The new mineral resource estimates at the Endako Mine were estimated by
Greg Mosher, P.Geo., of Wardrop Engineering Inc., a qualified person as
defined in National Instrument 43-101, using industry standard
three-dimensional block modeling software with Mo grades estimated using
inverse distance weighted to the second power. Blocks that were within one
bench height of the current pit bottom were classified as measured mineral
resource, blocks that contained at least 8 composites within 100 feet were
classified as indicated mineral resource and all other interpolated blocks
were classified as inferred mineral resource. Mr. Mosher has reviewed and
consented to the disclosure of resource information in this news release.
    A previous resource estimate was provided by Scott Wilson Roscoe Postle
Associates Inc. (SWRPA) in a Technical Report on the Endako Mine filed at
SEDAR (www.sedar.com) on September 8, 2006. The SWRPA estimate was prepared by
Richard E. Routledge, M.Sc., Applied, P.Geo., Consulting Geologist with SWRPA,
and John T. Postle, P.Eng., Consulting Mining Engineer with SWRPA, who are
qualified persons under National Instrument 43-101. Using a cut-off grade of
0.04% Mo, SWRPA estimated indicated resources at the Endako Mine of
51.8 million tonnes at an average Mo grade of 0.07% and contained Mo of
80.4 million pounds as of September 30, 2005. SWRPA's estimate, which included
only in-pit resources, is not strictly comparable with the Wardrop estimate
announced today because the Wardrop estimate represents a broader estimation
that includes additional diamond drilling data from areas surrounding the
current Endako, East Denak and West Denak pits as well as block modeled
resources to depth below the pits.
    Wardrop will now proceed with an estimation of mineral reserves and
detailed pit design as part of a new mine plan at Endako, incorporating
updated operating costs and a long-term molybdenum price assumption of
US$10 per pound. The previous reserves estimates and existing mine plan
extending to 2013 assumed a long-term molybdenum price of US$3.50 per pound.
    As part of its review, Wardrop is examining the feasibility of
constructing a super-pit, unifying the three existing pits into a large single
pit, and of increasing mine production to 50,000 tonnes per day from
approximately 30,000 tonnes per day, with a proportionate increase in roasting
capacity.
    In 2007, Blue Pearl estimates that the Endako Mine, which includes a mill
and roasting facility, will produce 11.3 million pounds of molybdenum
(8.5 million pounds to Blue Pearl's account). In 2008, the Company expects
production to increase to 13.3 million pounds of molybdenum (10 million pounds
to Blue Pearl's account).

    About Blue Pearl Mining Ltd.

    Blue Pearl is the world's fifth-largest molybdenum producer. In October
2006, the Company purchased the Thompson Creek open-pit molybdenum mine and
mill in Idaho, a 75% share of the Endako open-pit mine, mill and roasting
facility in northern British Columbia, and a metallurgical roasting facility
in Langeloth, Pennsylvania. Blue Pearl is also developing the Davidson
high-grade underground molybdenum project near Smithers, B.C. The Company has
more than 700 employees. Its head office is in Toronto, Ontario. It also has
executive offices in Denver, Colorado (including sales and marketing) and
Vancouver, British Columbia. More information is available at
www.bluepearl.ca.

    Cautionary Note Regarding Forward-Looking Statements

    This news release contains "forward-looking information" which may
include, but is not limited to, statements with respect to the future
financial or operating performance of Blue Pearl, its subsidiaries and its
projects, the future price of molybdenum, the estimation of mineral reserves
and resources, the realization of mineral reserve estimates, the timing and
amount of estimated future production, costs of production, capital, operating
and exploration expenditures, costs and timing of the development of new
deposits, costs and timing of future exploration, requirements for additional
capital, government regulation of mining operations, environmental risks,
reclamation expenses, title disputes or claims and limitations of insurance
coverage. Often, but not always, forward-looking statements can be identified
by the use of words such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes"
or variations (including negative variations) of such words and phrases, or
state that certain actions, events or results "may", "could", "would", "might"
or "will" be taken, occur or be achieved. Forward-looking statements involve
known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of Blue Pearl and/or its
subsidiaries to be materially different from any future results, performance
or achievements expressed or implied by the forward-looking statements. Such
factors include, among others, general business, economic, competitive,
political and social uncertainties; the anticipated benefits of the
acquisition not occurring in the expected time frame or at all; the actual
results of current exploration activities; actual results of reclamation
activities; conclusions of economic evaluations; changes in project parameters
as plans continue to be refined; future prices of molybdenum; possible
variations of ore grade or recovery rates; failure of plant, equipment or
processes to operate as anticipated; accidents, labour disputes and other
risks of the mining industry; political instability, insurrection or war;
delays in obtaining governmental approvals or financing or in the completion
of development or construction activities, as well as those factors discussed
in the section entitled "Risk Factors" in Blue Pearl's annual information form
for the year ended December 31, 2006 which is available on SEDAR at
www.sedar.com.
    Although Blue Pearl has attempted to identify important factors that
could cause actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors that cause
actions, events or results to differ from those anticipated, estimated or
intended. Forward-looking statements contained herein are made as of the date
of this news release and Blue Pearl disclaims any obligation to update any
forward-looking statements, whether as a result of new information, future
events or results or otherwise. There can be no assurance that forward-looking
statements will prove to be accurate, as actual results and future events
could differ materially from those anticipated in such statements. Blue Pearl
undertakes no obligation to update forward-looking statements if circumstances
or management's estimates or opinions should change. Accordingly, the reader
is cautioned not to place undue reliance on forward-looking statements.

    Shares outstanding: 108,581,158





For further information:

For further information: Blue Pearl Mining Ltd., Ian McDonald, Executive
Chairman, (416) 860-1438, Email: info@bluepearl.ca; or Blue Pearl Mining Ltd.,
Wayne Cheveldayoff, Director, Investor Relations, (416) 860-1438 or Toll Free:
1-800-827-0992, Email: wcheveldayoff@bluepearl.ca, Website: www.bluepearl.ca;
or Renmark Financial Communications Inc., Christina Lalli, (514) 939-3989,
Email: clalli@renmarkfinancial.com

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