Anvil Mining Limited announces approval in principle of C$296 million private placement

    Common Shares outstanding 71.2 million

    MONTREAL, July 10 /CNW Telbec/ - Anvil Mining Limited (TSX, ASX: AVM)
("Anvil" or the "Company") is pleased to announce that it has entered into a
binding term sheet for a private placement of 23,733,970 Common Shares at a
price of C$12.50 per share for C$296,674,625, with Catala Global Limited
("Catala"), whose ultimate owner is a trust for the benefit of family members
of Dan Gertler. The subscription price represents a premium of approximately
27% to the 30-day volume-weighted average price of the Common Shares of Anvil
on the Toronto Stock Exchange (the "TSX") as of closing of trading on
July 9, 2008.
    The proceeds from the private placement will be used by Anvil for
completion of Kinsevere Stage II, Kulu Stage II SX-EW and studies leading to
the development of an expanded SX-EW facility at Kolwezi and for general
working capital purposes.
    The private placement is subject to satisfaction of a number of
conditions, including regulatory approval and the approval of Anvil's
shareholders. The Board of Directors of Anvil has provisionally determined to
call a special meeting of Anvil's shareholders to approve this transaction, to
be held September 15, 2008.
    Completion of the placement will result in Catala owning approximately
25% of the outstanding Common Shares of Anvil on an undiluted basis and after
giving effect to the placement. Upon completion of the placement, Catala will
be entitled to nominate one person to Anvil's Board of Directors. So long as
Catala or its affiliates continue to hold at least 20% of Anvil's Common
Shares, Catala will have a right to participate in future issuances of shares
or convertible securities so as to maintain its pro rata position, excluding
issuances under Anvil's stock option plan.
    BMO Capital Markets has been engaged by the Board of Directors of Anvil
in connection with the transaction and the provision of a fairness opinion.
    Upon entering into a definitive agreement with Catala, the Company
proposes to hold a conference call to discuss the private placement and will
announce the access details for the conference call in advance.

    Anvil Mining Limited is an unhedged copper and silver producer, the
shares of which are listed for trading on the Toronto Stock Exchange (as
Common Shares) and the Australian Securities Exchange (as CDIs) under the
symbol AVM. It has majority interests in and operates the Dikulushi
copper-silver mine, the Kinsevere copper mine, and the Kulu copper tailings
operation in the Katanga Province of the Democratic Republic of Congo.

    Caution Regarding Forward-Looking Statements: The forward-looking
statements made in this news release are based on management's assumptions and
judgments regarding future events and results. Such forward-looking
statements, including but not limited to those with respect to completion of
the private placement with Catala Global Limited, involve known and unknown
risks, uncertainties and other factors which may cause the Company's actual
results, performance or achievements to be materially different from any
anticipated future results, performance or achievements expressed or implied
by such forward-looking statements. There can be no assurance that a
definitive agreement in respect of the private placement will be concluded or
that the private placement will be completed.
    As a consequence of the letters Anvil received in February 2008 from the
Minister of Mines of the Democratic Republic of Congo ("DRC"), Anvil expects
to be required to enter into discussions or negotiations with the DRC
Government and Gécamines regarding its rights with respect to its properties
in the DRC. No assurance can be given as to the outcome of any such
discussions or negotiations or that Anvil's security of tenure and its ability
to secure additional financing in the future may not be adversely affected so
as to have a material adverse effect on its business, operating results and
financial position.

    %SEDAR: 00020549E

For further information:

For further information: Craig Munro, Senior Vice President Corporate &
CFO, Tel: +61 (8) 9481 4700, Email: (Perth), Website:; Robert La Vallière, Vice President Investor Relations,
Tel: (Office) (514) 448-6664, (Cell) (514) 944-9036, Email: (Montréal)

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