Marret Asset Management Inc.: Early Warning Report Under National Instrument 62-103

TORONTO, July 15, 2013 /CNW/ - Marret Asset Management Inc. ("Marret") announced that, on behalf of various client accounts under management, it has successfully completed the acquisition (the "Acquisition") of $9,490,998 principal amount of 10% senior secured convertible bonds (the "Convertible Bonds") of Cline Mining Corporation ("Cline" or the "Company"). The transaction closed on July 8, 2013 (refer to Cline's News Release of that date). Approximately $3.2 million of the Convertible Bonds were issued as payment for the June 17, 2013 interest payment owing to Marret client accounts and approximately $3.19 million of the Convertible Bonds were issued as payment for certain fees owing to certain Marret client accounts. The balance of the Convertible Bonds were issued for cash equal to their principal amount. The Convertible Bonds were acquired pursuant to the accredited investor exemption of applicable prospectus requirements.

Prior to the Acquisition, Marret client accounts did not own or control any Convertible Bonds or common shares of Cline. After giving effect to the Acquisition, Marret client accounts will beneficially own and control, directly and indirectly, the Convertible Bonds which are convertible into 1,898,199,600 common shares of the Company (the "Shares") based on an exercise price of $.005 per Share of the Company, representing 90.08% of the Company's issued and outstanding Shares on a non-diluted basis.

Marret acquired the Convertible Bonds for investment purposes on behalf of various client accounts and may, depending on market and other conditions, increase or decrease the client accounts' beneficial ownership, control or direction over the Shares, through market transactions, private agreements, or otherwise.

The material terms governing the issuance of the Convertible Bonds are set forth in the trust indenture for the Convertible Bonds and the first supplement providing for the issuance of the Convertible Bonds, both of which are available on the Company's reference page on SEDAR (www.sedar.com).

About Cline

Cline is a Canadian mining company focused on the maintenance and development of its 100% owned New Elk coking coal mine located in Colorado, U.S.A. The Company also has interests in metallurgical steel making coals in Canada, an iron ore project in Madagascar, and the Cline Lake gold property in northern Ontario, Canada. With a head office in Toronto and site offices at the mine, Cline is led by a management and operations team with over 100 years of exploration and mining experience.

About Marret

About Marret Asset Management Inc.

Marret Asset Management Inc. (200 King Street West, Suite 1902, Toronto, ON) is an employee owned credit fixed income manager based in Toronto. Marret's experienced team of investment professionals led by Barry Allan specialize exclusively in fixed income and, particularly, in high yield debt strategies.

SOURCE: Marret Asset Management Inc.

A copy of the early warning report being filed by Marret may be obtained by contacting Marret Investor Services at 416-214-5800.