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MBMI Announces Favourable Philippines Court Decision

RICHMOND HILL, ONTARIO -- (Marketwire) -- 02/04/13 -- MBMI Resources Inc. ("MBMI" or the "Company") (TSX VENTURE:MBR) is pleased to provide an update as to the progress of certain legal proceedings involving the Company's subsidiaries in the Philippines. The (Former) Tenth Division of the Court of Appeals in Manila issued, on January 22, 2013, a resolution (the "Resolution") in C.A. G.R. SP No. 113523 denying Motion for Reconsideration filed by Redmont Consolidated Mines Corporation ("Redmont").

This is one of the several cases involving Redmont and the Company's subsidiaries and affiliates in the Philippines. In these cases, Redmont repeatedly argues that these affiliates and subsidiaries are not Philippine nationals, and are therefore disqualified from engaging in mining activities in the Philippines. The Court of Appeals' Resolution declined to discuss that issue, because it is pending before the Supreme Court. The Court of Appeals, however, dismissed this particular Redmont case based mainly on a finding that Redmont had engaged in forum shopping (i.e., suing on the same cause of action before multiple tribunals, which is prohibited under Philippine law).

On August 14, 2008, Redmont had filed a Complaint for Revocation with the Compliance and Enforcement Division of the Philippines' Securities and Exchange Commission ("SEC-CED") of the Philippines requesting that the certificates of registration of the following companies be revoked: (1) Narra Nickel Mining and Development, Inc. (2) Tesoro Mining and Development, Inc., (3) McArthur Mining, Inc., (4) Sara Marie Mining, Inc., (5) Patricia Louise Mining and Development Corporation, (6) Madridejos Mining Corporation together, (7) Bethlehem Nickel Corporation and (8) San Juanico Nickel Corporation (the "Respondent Corporations"). Redmont argued that the Respondent Corporations violated constitutional and statutory restrictions on foreign ownership of corporations engaged in the exploitation, development and utilization of natural resources.

On September 3, 2009, the SEC-CED ruled that all Respondent Corporations are Philippine nationals as defined under Section 3 of the Foreign Investments Act of 1991. Redmont thus appealed the SEC-CED Decision to the SEC En Banc.

On March 25, 2010, the SEC En Banc ruled that Redmont was engaging in forum shopping because the issues then pending with the Court of Appeals in CA G.R. SP No. 109703 (now pending with the Supreme Court in SC G.R. No. 195580) with regard to Narra Nickel Mining, Tesoro Mining and McArthur Mining are the same as the issues before the SEC En Banc. Thus, the SEC En Banc dismissed the case as to the three mining companies without prejudice, but ruled that the case against Sara Marie Mining, Madridejos Mining, Patricia Louise Mining, San Juanico Nickel and Bethlehem Nickel (the "Remanded Respondent Corporations") should be remanded for more information and further proceedings.

On April 29, 2010, the Remanding Respondent Corporations filed their Petition for Review with the Court of Appeals, arguing that the SEC En Banc erred when it dismissed the complaint without prejudice against some but not all Respondent Corporations.

On May 23, 2012, the Court of Appeals reversed the SEC En Banc's Decision, and sided with the Remaining Respondent Corporations by granting the Petition for Review and dismissing the case with prejudice, due to Redmont's forum shopping. The result of this decision is that Redmont's request in the original SEC-CED case was therefore denied. This was the subject matter of the Motion for Reconsideration of Redmont.

In its decision of January 22, 2013, the Court of Appeals denied Redmont's Motion for Reconsideration on the reasoning that the SEC En Banc erred when it did not order the dismissal of the cases filed by Redmont against all the Respondent Corporations. Redmont has fifteen days from receipt of the decision to appeal to the Supreme Court of the Philippines.

Although the Court of Appeals did not rule upon the issue of Remanded Respondent Corporations' nationality, MBMI believes that its arguments on this matter are strong and should be ultimately upheld.

For further information relating to the Company or this release, please refer to the Company's website at

Cautionary Statement:

The foregoing information may contain forward-looking statements relating to the future performance of the Company. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from the Company's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the filings made by the Company with the TSX Venture Exchange and securities regulators. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

MBMI Resources Inc.
John Wong
President and CEO

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