Duluth Metals progress report on the Nokomis Deposit

    TORONTO, Sept. 10 /CNW/ - Duluth Metals Limited ("Duluth Metals")(TSX:DM)
(TSX:DM.U) is pleased to provide a progress report on activities currently
underway and planned for the Fourth Quarter, 2008. The Company's cash position
remains strong with approximately CAD$16 million cash on hand.
    The Company is currently in the process of final bid selection for
choosing the engineering consultants to complete the Nokomis Deposit
Pre-Feasibility Study. The Company expects to award this major contract within
two weeks. The frame of reference for this Pre-Feasibility Study is very
comprehensive and encompasses every aspect of the major underground operation
including optimization of mine methods, mine planning, all processing and
scale of operation. This study will utilize our updated Scott Wilson RPA NI
43-101 Resource Estimate dated July 18, 2008, as well as results from
additional drilling since that date. It is estimated that data from in excess
of 40 additional holes will augment the Pre-Feasibility analysis.
    Duluth Metals has a full program outlined for the balance of 2008 and is
moving forward with comprehensive geological, geophysical and mining analysis
of over 418,000 feet (127,000 metres) of diamond drill core completed to date.
Drilling will continue with one rig in the near term during this phase of
geological interpretation, underground mine planning and the initial
Pre-Feasibility Study. Geological and geophysical interpretation will focus on
delineating the higher grade zones of the Nokomis Deposit and further
assessment of the higher grade mineralization found in certain areas of the
footwall of the deposit.
    Metallurgical work is a major thrust of the Fall program with a series of
metallurgical tests currently underway at SGS Lakefield Laboratories (SGS) and
a 30 ton bulk metallurgical testing scheduled to commence at SGS in the Fourth
Quarter. Core samples for the bulk sample have been collected from the
Company's successful large diameter PQ drilling program. These samples are
currently being shipped to SGS.
    Duluth Metals recognizes that environmental planning and coordination is
critical to the success of the Nokomis Project. Duluth Metals is moving
forward with a series of environmental baseline studies at the Nokomis Deposit
and the Dunka Property, required for environmental and mines permitting.
Currently the Company has commenced 32 environmental work contracts which will
be utilized in this process. Major baseline studies include surface and
hydrogeologic water quality, wetlands, flora and fauna, noise, visual impact,
archeological and cultural resources, as well as initiating water and
meteorological monitoring. Frequent meetings with State and Federal officials
are being held to review the steps necessary to complete successful
environmental and mines permitting.
    Evaluation of recently acquired State lands, 8 kilometers south of the
Nokomis Deposit and 2 kilometers east of the Dunka Property, demonstrates the
potential for Duluth Complex mineralization at depths commensurate to those
currently being drilled at the Nokomis Deposit. The proximity of this
opportunity to the Dunka Property presents an exciting new exploration target.
    The recently updated NI 43-101 Nokomis Resource Estimate (see SEDAR
filing July 21, 2008) defines 449 million tonnes Indicated Resources grading
0.624% copper, 0.199% nickel, 0.600 grams per tonne TPM (copper equivalent
grade of 1.46%), plus an additional 284 million tonnes of Inferred Resources
grading 0.627% copper, 0.194% nickel, 0.718 grams per tonne TPM (copper
equivalent grade of 1.50%). (Note - Copper Equivalent is based on US metal
prices of: Copper - $1.75/lb, Nickel - $7.00/lb, Cobalt - $10.00/lb, Gold -
$600/oz, Platinum - $1,100/oz, Palladium - $350/oz and Silver - $8.50/oz, and
the methodology with metallurgical recoveries, refining costs and other
charges being considered for all metals in accordance with the Net Smelter
Return Factors contained in the January 22, 2008, NI 43-101 Scoping Study
produced by Scott Wilson RPA.)
    Christopher Dundas, Chairman of Duluth Metals will be speaking on the
progress of the Nokomis Deposit at the Global Capital Conference in London,
U.K. on October 2, 2008. Other information is available on our website at
    In addition, Duluth Metals is pleased to announce that it has retained
the Florida-based firm of Michael Baybak and Company, Inc. ("MBC") to increase
investor awareness and conduct both institutional and retail investor
relations programs on behalf of the Company. Headed by Mr. Michael Baybak, MBC
is a long-term institutional and media investor relations specialist in the
natural resource sector, with a focus on introducing Canadian resource
companies of merit to broader institutional and retail investor audiences. Mr.
Baybak graduated from Columbia University and attended Yale Law School. Before
entering the financial relations field in 1977, he was a business writer for a
number of organizations, including McGraw-Hill and The Christian Science
    David Oliver, P. Geo. is the Qualified Person and Project Manager for
Duluth, in accordance with NI 43-101 of the Canadian Securities
Administrators, and is responsible for the technical content of this press
release and quality assurance of the exploration data and analytical results.

    About Duluth Metals

    Duluth Metals is committed to acquiring, exploring and developing copper,
nickel and platinum group metal (PGM) deposits. Duluth Metals' principal
property is the Nokomis Deposit located within the rapidly emerging Duluth
Complex mining camp in northeastern Minnesota. The Duluth Complex hosts one of
the world's largest un-developed repositories of copper, nickel and PGMs,
including the world's third largest accumulation of nickel sulphides, and one
of the world's largest accumulations of polymetallic copper and platinum group

    This document may contain forward-looking statements (including
"forward-looking statements" within the meaning of the US Private Securities
Litigation Reform Act of 1995) relating to Duluth Metals' operations or to the
environment in which it operates. Such statements are based on operations,
estimates, forecasts and projections. They are not guarantees of future
performance and involve risks and uncertainties that are difficult to predict
and may be beyond Duluth Metals' control. A number of important factors could
cause actual outcomes and results to differ materially from those expressed in
forward-looking statements, including those set forth in other public filings.
In addition, such statements relate to the date on which they are made.
Consequently, undue reliance should not be placed on such forward-looking
statements. Duluth Metals disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new information,
future events or otherwise, save and except as may be required by applicable
securities laws.

For further information:

For further information: Mara Strazdins, Director of Corporate
Communications, at mstrazdins@duluthmetals.com or at (416) 369-1500; or Henry
Sandri, President and CEO, at hsandri@duluthmetals.com; U.S. corporate office:
telephone (651) 389-9990; Web Page: www.duluthmetals.com

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