Jasper Mining Corporation announces use of proceeds for recent financing

Trading Symbol: JSP (TSX-V)

CALGARY , Jan. 5 /CNW/ - Jasper Mining Corporation ("Jasper") is pleased to announce that during 2009 it raised $1,050,000 by flow-through share placements. These proceeds will be used by Jasper on the following projects, namely:

    
    (a)    Jasper's McFarlane molybdenum property has 20 diamond drill cores
           to split and assay. A total of 100 diamond drill holes have been
           completed on McFarlane and approximately 20 remain to be split and
           assayed. As part of the current assaying, some of the holes will
           be assayed from top to bottom in order to determine the presence
           of disseminated molybdenum between the high grade intersections.

    (b)    Jasper's Isintok copper/molybdenum/silver/gold property as 18
           diamond drill cores to split and assay. A total of 59 holes have
           been drilled on Isintok and 18 of the holes remain to be split and
           assayed. It is Jasper's intention to drill several deep holes from
           the surface at Isintok from the west of the current drilling area
           in an easterly direction at a decline of greater than 60 degrees
           to a depth of approximately 1200 meters with the hope of
           intersecting high grade mineralization below the present depths
           drilled by Jasper. The existing drill cores have been drilled to a
           depth of 300 meters. As reported in Jasper's news release (No.09-
           216-06) dated April 27, 2009 a 224.64 meter intersection grading
           0.31% Cu.EQ from hole 50 and a 271.25 meter intersection grading
           0.27% Cu. EQ from diamond drill hole 26 as reported in Jasper's
           news release (No.09-214-04) dated April 14, 2009 are regarded by
           Jasper management as very encouraging.

    (c)    Drill 2 to 3 diamond drill holes on Jasper's Faith gold property
           as indicated by the gold in soils data collected by Jasper.

    (d)    Drill 2 to 3 diamond drill holes on Jasper's Sawyer lead/zinc
           property where indicated by assayed surface samples and airborne
           geophysical anomalies.
    

The assaying of the existing cores will begin immediately with the drilling to commence as weather permits.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the accuracy of this release.

For further information: Gordon F. Dixon, Q.C., President, Jasper Mining Corporation, Telephone: [phone], Fax: [phone], e-mail: [email protected]