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Inmet Mining Confirms Ok Tedi Illegal Work Action

04/07/2010


TORONTO, ONTARIO--(Marketwire - April 7, 2010) - Inmet Mining Corporation ("Inmet") (TSX:IMN) confirmed today that the Ok Tedi mine has been subjected to an illegal work action by employees who are members of the Ok Tedi Mining and Allied Workers Union (OTMAWU).

The action was initiated on April 1, 2010. Ok Tedi's management has been advised by the OTMAWU executive that the reasons for the work action principally relate to concerns regarding distributions under an employee retention bonus arrangement that is not part of Ok Tedi's industrial agreement with the OTMAWU.

Ok Tedi has called in representatives of the Papua New Guinea Department of Labour and Industrial Relations (DLIR) to facilitate a resolution in accordance with the industrial agreement and applicable laws. The DLIR has indicated to Ok Tedi and the OTMAWU that the strike action is unlawful and that employees participating in the work action should return to work. Discussions between Ok Tedi's management, the OTMAWU and DLIR representatives are continuing but it is not possible at this time to estimate the potential length of the work action.

Inmet estimates that its 2010 copper production will be reduced by 80 tonnes and 2010 gold production will be reduced by 300 ounces for each day the work action continues. Inmet's share of lost production to date is equivalent to approximately 0.4 percent of our forecast 2010 copper production and 1 percent of our forecast 2010 gold production.

Forward looking information

Securities regulators encourage companies to disclose forward-looking information to help investors understand a company's future prospects. This press release contains forward-looking information. These are "forward-looking" because we have used what we know and expect today to make a statement about the future. Forward-looking statements usually include words such as may, expect, anticipate, and believe or other similar words. Capital and operating cost estimates are forward-looking statements, and are based on assumptions that we believe to be reasonable. However, actual events and results could be substantially different because of the risks and uncertainties associated with our respective business or events that happen after the date of this press release. You should not place undue reliance on forward-looking statements.

About Inmet

Inmet is a Canadian-based global mining company that produces copper, zinc and gold. We have interests in five mining operations in locations around the world: Cayeli, Las Cruces, Pyhasalmi, Troilus and Ok Tedi. We also have a 100 percent interest in Cobre Panama, a development property in Panama.

This press release is also available at www.inmetmining.com.

FOR FURTHER INFORMATION PLEASE CONTACT:
        For media enquiries:
        Inmet Mining Corporation
        Jochen Tilk
        President and Chief Executive Officer
        (416) 860-3972
        www.inmetmining.com

Source: Inmet Mining Corporation

 
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