Mercator Reports Record Earnings, Cash Flow & Copper Production for the Year ended December 31, 2006

    (Stated in US Dollars unless otherwise indicated)


    KINGMAN, AZ, April 2 /CNW/ - Mercator Minerals Ltd. today announced
record operating cash flow for the year ended December 31, 2006 of
$20.2 million or $0.36 per share, before interest, taxes, one time expenses
related to the partial dismantling of the Mission South mill and the
pre-feasibility work, and non-cash charges, as a result of significantly
higher copper production combined with outstanding realized copper prices. Net
Income for the year was $7.1 million or $0.13 per share after expensing all
exploration and pre-feasibility costs associated with the Phase 4 expansion of
Mineral Park (currently in construction), and accruing $4.7 million in
non-cash items such as $1.2 million in future tax liabilities. This compares
with net income of $359,177 ($0.01 per share) for 2005.
    "Our record operating cash flow over the past year allowed us to rapidly
advance the Mineral Park Phase 4 Copper/Molybdenum Expansion Project through
completion of a pre-feasibility study and was a major factor allowing Mercator
to complete a $117 million debt and $Cdn25 million equity financing subsequent
to the end of the year," said Michael L. Surratt, President and CEO. "As a
result of the financing, in March 2007 Mercator commenced construction of the
Mill at Mineral Park, which is expected to start production in the second half
of 2008 and ultimately produce 56 million pounds of copper and 10 million
pounds of molybdenum and 600,000 ounces of silver per year."
    "During 2006, SX/EW copper production at Mineral Park continued to ramp
up as the benefits of the Phase 1 and 2 expansions began to be realized.
Production during the fourth quarter 2006 was the best quarter under our
ownership at Mineral Park with approximately 2.9 million pounds of cathode
copper produced at operating cash cost of $0.82 per pound of copper," said
Mr. Surratt.

    Financial Highlights for the Year ended December 31, 2006

    -   For the year ended December 31, 2006, the Company reported operating
        cash flow of $20.2 million ($0.36 per share), compared with operating
        cash flow of $2.1 million ($0.05 per share) for the corresponding
        period in 2005, an 885% increase.

    -   Production of 9.5 million pounds of copper at a cash cost of $1.02
        per pound in 2006 compared to 6.3 million pounds of copper at a cash
        cost of $1.20 per pound in 2005.

    -   For the year ended December 31, 2006, the Company reported net income
        of $7,067,657 ($0.13 per share), compared with net income of $359,177
        ($0.01 per share) for the corresponding period in 2005, an 1,868%

    -   Assets of $53,222,670 for the year ended December 31, 2006, compared
        to $20,754,439 for the corresponding period in 2005, an increase of

    -   Cash on hand at December 31, 2006 of $11,076,108, as compared to
        $1,899,773 for the corresponding period in 2005 and working capital
        at December 31, 2006 of $17,817,247, as compared to a working capital
        of $4,255,347 for the corresponding period in 2005;

    -   Gross Sales Revenues at Mineral Park before expenses for the year
        ended December 31, 2006, was $31,010,071, compared to $11,269,981 for
        the corresponding period in 2005, a 175% increase.

    -   For the quarter ended December 31, 2006, the Company recorded
        earnings of $4.9 million or $0.09 per share before taxes and non cash

    All financial information contained herein should be read in conjunction
with the Company's Management Discussion and Analysis and audited financial
statements for the years ended December 31, 2006 and 2005 and related notes
thereto available under the Company's profile on
    Jim Tompkins, P.Eng., the Company's Engineering Manager, a Qualified
Person as defined by NI43-101, supervised the preparation of and verified the
technical information contained in this release.

    Mercator Minerals Ltd.

    Mercator Minerals is a copper producer that owns and operates the Mineral
Park copper mine in Arizona, with a corporate strategy focused on maximizing
the production potential of the Mineral Park copper-molybdenum deposit. The
Company has filed a technical report for an expansion of copper production
plus molybdenum and silver production.

    On Behalf of the Board of Directors


    Per: "Michael L. Surratt"
    Michael L. Surratt,

    This press release contains certain forward-looking statements, which
include estimates, forecasts, and statements as to management's expectations
with respect to, among other things, the size and quality of the Company's
mineral reserves and mineral resources, future production, capital and mine
production costs, demand and market outlook for commodities, and the financial
results of the Company. These forward-looking statements involve numerous
assumptions, risks and uncertainties and actual results may vary.
    Factors that may cause actual results to vary include, but are not
limited to, changes in commodity and power prices, changes in interest and
currency exchange rates, inaccurate geological and metallurgical assumptions
(including with respect to the size, grade and recoverability of mineral
reserves and resources), unanticipated operational difficulties (including
failure of plant, equipment or processes to operate in accordance with
specifications, cost escalation, unavailability of materials and equipment,
delays in the receipt of government approvals, industrial disturbances or
other job action, and unanticipated events related to health, safety and
environmental matters), political risk, social unrest, and changes in general
economic conditions or conditions in the financial markets. These risks are
described in more detail in the Annual Information Form of the Company. The
Company does not assume the obligation to revise or update these
forward-looking statements after the date of this report or to revise them to
reflect the occurrence of future unanticipated events, except as may be
required under applicable securities laws.
    For a more complete discussion, please refer to the Company's audited
financial statements and MD&A for the year ended December 31, 2006 on the
SEDAR website at

    The Toronto Stock Exchange does not accept responsibility for the
    adequacy or accuracy of this press release.

For further information:

For further information: Marc LeBlanc, Corporate Secretary, Tel: (604)
981-9661, or (604) 716-5582, Fax: (604) 960-9661, Email:

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Mercator Minerals Ltd.

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