MacDonald Mines/Virginia JV Drill Program Commencing on LG 3.5 Property, Northwestern Quebec

In the past, Virginia has defined a series of airborne EM anomalies that were followed up on the ground with HLEM and magnetometer surveys along with limited trenching and geological mapping. The airborne survey has defined a series of AEM responses that can be traced intermittently over a strike length of 2,700 meters. The AEM responses have a close correlation with a distinct magnetic anomaly which is thought to be caused by a mixture of magnetite and pyrrhotite. The host rocks are a mixture of volcanics and sediments but for the most part felsic volcanics predominate in the AEM anomaly area. In some areas these felsic volcanic rocks are significantly brecciated. This is a distinct environment for volcanogenic massive sulphide deposits.

Massive sulphide mineralization has been defined on surface. One of the established open cuts in the area of the OUF showing returned values of up to 11.8% Cu and 96 g/t Ag over 3.7 m and 5.8% Cu and 27 g/t Ag over 6.05 m and this area will be initially drill tested with a minimum of 2 drill holes. Should favorable mineralization be intersected then an attempt will be made to determine the overall configuration of this mineralized zone. Additional HLEM targets further to the southeast along the same stratigraphic horizon will be drill tested to determine if these anomalies contain appreciable copper and zinc values.

MacDonald Mines will also be commencing drilling on its McNugget Property located in the James Bay Lowlands,Northern Ontario in early March. Past drilling 2006 has defined massive sulphide mineralization over relatively narrow widths and the objective of the upcoming program is to determine if a massive sulphide deposit of economic consequence exists in the area. A program of 4,000 meters of drilling has been outlined.

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