MINERAL HILL AND ASCOT AGREE NOT TO PROCEED WITH BUSINESS TRANSACTION

Trading Symbols:
TSX Venture Exchange: MHI
Frankfurt Stock Exchange: N8Z/WKN: AODLHP
Pink Sheets: MHIFF

VANCOUVER, Dec. 22 /CNW/ - Further to previous announcements made regarding talks with respect to a possible business transaction between Mineral Hill Industries Ltd. (the Company) and Ascot Mining Plc, the Company wishes to announce that both companies have agreed not to proceed further with that business transaction.

Mineral Hill's immediate focus is on the development of its Liberty Hill Gold Mine project, it announced on October 12^th. The Company expects to receive early next year the renewal of the permit, which had expired in December 2009. Once the permit is renewed, the Company will upgrade the existing mining equipment and proceed, as the operator, with the processing of a previously stockpiled bulk sample of about 40,000 cubic yards of gravel and the preparation for processing of a further 1.4 million cubic yards of previously exposed material within the gold-bearing channel. The Company has completed the winterization of the mine site, plant, equipment, exposed soil and the material to be processed.  

About Mineral Hill Industries Ltd.

Mineral Hill Industries Ltd. is a Canadian based mineral exploration company trading on the TSX Venture Exchange (MHI), the Frankfurt Exchange (N8Z/WKN: AODLHP), and the OTC Pink Sheets (MHIFF). Mineral Hill has accumulated a diversified portfolio of lithium and precious metal properties. Although the Company's determination to develop its promising lithium exploration projects will remain a focal point, Mineral Hill's acceleration of its new gold exploration and production opportunities in Canada and the United States respectively, and attracting a strong management team will be the main focus for the coming year.

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

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