Cline New Elk Transportation and Mine Permits Issued

COAL MINE STATUS UPDATE

TORONTO, July 14 /CNW/ - Cline Mining Corporation (TSX: CMK) ("Cline" or the "Company") is pleased to announce that it has received the necessary permits from the Colorado Department of Transportation (CDOT) to truck coal from its New Elk Coal Mine located in Las Animas County, Colorado, U.S.A. to the Company's coal rail load-out at the nearby Jansen Rail Yard, Trinidad. The New Elk Jansen Rail Yard load-out links the coal mine to the Burlington Northern Santa Fe (BNSF) Railway unit train service and its continental rail network, allowing access to the major Pacific and Atlantic North American bulk coal export terminals, as well as U.S. steel mills. The New Elk Coal Mine will be able to truck up to 3.0 million tons of metallurgical steel-making coal a year to the rail yard until the New Elk steel railway line is re-installed on the existing right-of-way from the load-out at the mine to the BNSF rail line at Jansen to provide continued unit train service.

In addition, the New Elk Coal Mine has received all of the required environmental permits from the State of Colorado for current mine operations. These include the Coal Mine Reclamation Permit issued by the Colorado Division of Reclamation, Mining and Safety (CDRMS) and Air Emissions Permits and Water Quality Discharge Permits issued by Colorado Department of Public Health and Environment (CDPHE). The U.S. Mine Safety and Health Administration (MSHA) has already approved the Roof Control, Ventilation and Dust Control, Mine Rescue Compliance, Emergency Mine Evacuation and an Emergency Response Plan for the New Elk Coal Mine as outlined in Cline's News Release dated April 22, 2010. The mine is currently operating under these approved plans and will file adjustments and amendments as may appropriate from time to time in the normal course of the development and mining operations.

The coal mine development plan is on schedule and within budget. First production at Cline's New Elk Coal Mine is planned for Q4 of 2010. Production will ramp up to 1.3 million tons per year in 2011, and thereafter increasing to 3.0 million tons annually by 2013 of metallurgical steel-making coal slated for world markets. Cline's New Elk Coal Mine has a measured and indicated coal resource of 315 million tons of in-place coal as documented in the 2008 Behre Dolbear independent NI 43-10 Technical Report. The initial Behre Dolbear report was referenced and relied upon by Agapito Associates, Inc. in its Preliminary Assessment dated March 13, 2010, which assessment was supported by a NI 43-101 compliant Technical Report. Both reports are available on SEDAR and Cline's website at www.clinemining.com.

Cline's New Elk Coal Mine in Colorado has a long and successful history of producing and delivering high quality metallurgical (coking) coal from its underground mine in southern Colorado to the steel making industry. In addition to its coal resource, the coal mine assets include a coal preparation plant, product coal silos, buildings, surface real estate, conveyor systems, electrics, underground workings with mine portal access from the plant site, mine permit and a permitted coal refuse disposal site.

The New Elk Coal Mine is accessed directly by paved highway from the town of Trinidad, southern Colorado. Employment levels at the mine have reached 60 people, at least half of which have been hired locally. A video, which was shown at the Annual and Special Meeting of Shareholders of the Company on Friday June 11, 2010 is available showing the progress and key people interviews in Trinidad and at the New Elk Coal Mine and can be viewed on Cline's website (www.clinemining.com).

About Cline: Cline has significant metallurgical coal property interests in British Columbia, Canada and in Colorado, U.S.A. with NI 43-101 compliant independent Technical Reports. Cline Mining Corporation is a mine development company focused on the exploration and development of metallurgical steel making coals in Canada and the U.S., iron ore in Madagascar and the Cline Lake Gold Mine Property in northern Ontario, Canada.

CLINE MINING CORPORATION

Ken Bates, President and Chief Executive Officer

Forward-Looking Information

This news release may contain forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities laws), including information relating to the use of proceeds from the Offering, the magnitude or quality of mineral deposits, the economic assessment and estimates regarding the mine life of the New Elk coal mine, and the timing and completion of financings. The timing of drilling and work recommended by the NI 43-101 Technical Report is based on current internal expectations, which may prove to be incorrect. Other risk factors are discussed under "Risk Factors" in Cline's Annual Information Form for its 2009 financial year end, and include management's ability to anticipate and manage risk factors. Such forward-looking statements necessarily involve known and unknown risks and uncertainties that are common to junior mineral exploration companies. These risks and uncertainties include, among other things, the Company's need for additional funding to continue its exploration efforts, changes in general economic, market and business conditions, and competition for, among other things, capital and skilled personnel. These statements are not a guarantee of future performance and undue reliance should not be placed on them. The Company undertakes no obligation to update or revise any forward-looking statements except as required by applicable laws. Copies of the Company's public filings under applicable Canadian securities laws are available at www.sedar.com. The Company further cautions that information contained on, or accessible through, this website is current only as of the date of filing such information and may be superseded by subsequent events or filings.

Head Offices:

Toronto Office: TD Canada Trust Tower, 161 Bay Street, 27th Floor, Toronto, ON M5J 2S1

Vancouver Office: Suite 2950 -650 West Georgia Street, Vancouver, BC V6B 4N8

SOURCE Cline Mining Corporation

For further information: For further information: Ken Bates, President and CEO, Ernest Cleave, Vice-President and CFO, Office: (416) 572 2002, Email: info@clinemining.com, Website: www.clinemining.com

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Cline Mining Corporation

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