Mayoko Iron Ore Project exploration update

Exploration Update - Mayoko Iron Ore Project

Highlights

 Exploration program continues with focus on extending strike of known prospects and undertaking geophysical survey, preparatory to drilling planned for the second half 2009.

 Trenching and geological mapping has confirmed near surface iron mineralization along strike of Mt Lekoumou extending the known strike from 1.5km to more than 6km.

 A 220 km2 high resolution aeromagnetic survey to define drill targets is scheduled to commence in May 2009.

Summary

DMC Mining Limited ("DMC") is pleased to provide an update on exploration at the Mayoko Iron Ore Project in the Republic of Congo. The principal focus of the exploration program for the first half of 2009 is to expand the geological and geophysical coverage over the central sector of the project area to locate drill targets with the overall aim of increasing the Project's resource inventory. Exploration drilling of prioritized targets is planned in the 2nd half of 2009, subject to funding.

Background

The Mayoko Iron Ore Project comprises a 1,000km2 exploration licence EPL7692 with 2 known geological trends of iron mineralization at Mt Lekoumou-Mt Mipoundi, and at Mt Lekoumou South.

These known trends were explored by GEOMIN in 1974-1975, with the majority of their work focused on the Mt Lekoumou zone. GEOMIN carried out ground magnetic surveys, exploratory pitting and shallow core drilling.

The 1974 GEOMIN ground magnetic survey shows a linear magnetic high anomaly extending over a strike length of approximately 7km along the Mt Lekoumou-Mt Mipoundi trend.

In 2008 independent consultant Runge Limited carried out confirmatory sampling and surveys and defined a mineral resource based on GEOMIN drill holes with spacings of 100 x 200m. Runge Limited estimated a total Inferred mineral resource of 33 million tonnes at 55% Fe at a 50% Fe lower cut off grade (refer ASX announcement 7 May 2008) for the Mt Lekoumou zone. The Mt Lekoumou resource has been defined over a strike length of 1.5km to a depth of from 20-50m below surface. This mineral resource comprises high grade cap, detrital and enriched itabirite ores

The iron mineralization at Mt Lekoumou-Mt Mipoundi is open along strike to the north east, and is open at depth along the entire strike of the magnetic anomaly. In addition, negligible exploration has been carried out on the licence in areas to the northeast and south of the known prospective trends.

The iron mineralization defined at Mt Lekoumou has similarities to other known deposits in comparable geological settings to the north in the Republic of Gabon (e.g. Belinga Project being explored by CEMEC, approximately 500Mt at 64% Fe), and in the Republic of Cameroon (e.g. Mbalam Project being explored by Sundance Resources Limited, Inferred Mineral Resources of 220Mt DSO at 60% Fe and 2,200Mt Itabirite at 39% Fe at the Mbaga deposit).

Exploration Progress

Trenching

A program of trenching, sampling and geological mapping is underway at Mt Mipoundi, which represents an additional 5km of strike to the Mt Lekoumou zone. To date a total of 18 trenches for a linear advance of more than 690m have been completed along the Mt Mipoundi zone. This work has confirmed occurrences of in situ and detrital iron mineralization along this zone. Assay results are pending.

Geophysics

A high resolution airborne geophysical survey comprising magnetic and radiometric surveys over an area of 220km2 (refer Figure 1) is scheduled to commence in May subject to receipt of government flight permits. This survey is designed to refine target parameters and prioritise drill targets at Mt Lekoumou-Mt Mipoundi and at Mt Lekoumou South, and to locate new targets.

For further information:

David Sumich: Managing Director,

Ph : +61 8 9486 1909

Fax: +61 8 9486 8876

www.dmcmining.com.au

The contents of this report relating to exploration and mineral resources are based on information compiled by Kim Bischoff, a Member of the Australasian Institute of Mining and Metallurgy. Mr Bischoff is a Nonexecutive Director of DMC Mining and has sufficient experience relevant to the styles of mineralisation and the deposit under consideration and to the activity he is undertaking to qualify as a Competent Person, as defined in the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Bischoff consents to the inclusion in this report of the matters compiled by him in the form and context in which they appear.