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Cline Mining New Elk coal mine development
Tuesday, June 30, 2009 5:02 PM


/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/

TORONTO, June 30 /CNW/ - Cline Mining Corporation ("Cline" or the "Company) (TSX:CMK). Cline Mining announces that it has now re-opened access to its New Elk coal mine, following successful completion and continuous operation of the newly installed mine air ventilation system, which now provides air to the mine at fully compliant operational mining air quality standards. The mine was entered by opening the main East Portal ramps located at the plant site. This ramp provides miner man-way and materials and equipment access into the mine and a separate belt-slope which delivers raw coal production from the mine into the adjacent coal preparation plant. The requisite regulatory approvals and authorizations have been issued as required, and the company's operational activities are monitored on site by the Mine Safety and Health Administration ("MSHA").

The New Elk mine is designated an 'Active' coal mine and full regulatory compliance is strictly observed in all operations and activities. With access now available, the Company will enter and inspect the mine, roadways and coal seams, confirm conditions, develop the formal New Elk mine plan and will be in a position to recommence coal mining, subject to final regulatory approval of the formal New Elk mine plan and completing installation of the mining and handling equipment and production facilities.

Photographs of the mine seal breaking and opening, mine surface installations, plant site and infrastructures will be posted on the Company's website at clinemining.com.

The New Elk Coal mine assets include a coal preparation plant with a designed production capacity of 550 tons per hour, product coal silos and rail load-out, buildings, railway right of way, surface real estate, mining equipment, conveyor systems, electrics, underground workings with mine portal access from the plant site, mine permit and coal waste dump. The mine is accessed directly by paved highway from the town of Trinidad, southern Colorado.

The New Elk Coal coal mine property contains 315,000,000 tons of National Instrument 43-101 ("NI 43-101") compliant in-place metallurgical steel making and thermal grade coals, which are detailed in the May 2008 43-101 Technical Report from Behre Dolbear & Company Ltd. to Cline. Mr. Gardar G. Dahl Jr. C.P.G. is the NI 43-101 Qualified Person for the Report. The complete NI 43-101 is available on the Cline website www.clinemining.com and on SEDAR at www.sedar.com.

As earlier reported, the Company plans to bring the New Elk coal mine back into commercial production as soon as possible. On completion of the full capital and refurbishment program the coal plant and mine is planned to eventually have the capacity to produce 3 million tons of high quality metallurgical steel making coal per annum.



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