Mines Management Begins Drilling at La Estrella

Mines Management (MGN) announced the start of drilling at the La Estrella gold-silver project in central Peru, which the Company has an option to earn 75% from Estrella Gold Corp.  The goals of the initial program are to confirm continuity of mineralization on the southwest side of the deposit, to better define the extent of high grade mineralization at depth in that area, and to test a recently-identified geophysical target. Surface exploration, including soil geochemistry, is also scheduled for selected areas adjacent to the principal area of mineralization.

Highlights:

* In April, Mines Management signed an agreement with Estrella Gold Corp whereby it can earn a 75% interest in the La Estrella Project by making periodic option payments and expending $5 million on exploration related activities

* La Estrella is in an area of established infrastructure, with roads and electric power

* The Project lies within 30 kilometers of Minera Buenaventura`s historic Julcani Silver Mine, which opened in 1955 and operates today

Glenn M. Dobbs, President and CEO Of Mines Management:

“La Estrella represents Mines Management`s step into one of the most prolific silver and gold regions in the world. The Project is in a favorable mining district, and possesses a number of positive attributes including previous exploration success, and a permitted drilling program which affords us the ability to move forward expeditiously.”

Roth Capital:

Buy rating and $5.00 price target on MGN