News Releases

Information posted is accurate at the time of posting, but may be superseded by subsequent press releases.

  Sep 1, 2004 - 13:10 ET
Lundin Mining: Nan Initiates new Exploration Drill Program in Skellefte District

 
NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR:  LUNDIN MINING CORPORATION

TSX SYMBOL:  LUN

SEPTEMBER 1, 2004 - 13:10 ET

Lundin Mining: Nan Initiates new Exploration Drill
Program in Skellefte District

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Sept. 1, 2004) - (LUN 
- TSX, LUMI - Nya Marknaden) Lundin Mining Corporation ("Lundin 
Mining") reports that North Atlantic Natural Resources AB ("NAN") 
announced today that exploration drilling has commenced in the 
Skellefte district of northern Sweden. Lundin Mining owns 37% of 
the outstanding shares of NAN, a Swedish public company trading 
on the "O-List" of the Stockholm Stock Exchange. 

Three high priority targets have been chosen for testing in the 
coming months, including the Lappvattnet copper-nickel PGM 
prospect, the Svartliden copper prospect, and zinc-copper targets 
located near NANs' producing Storliden Mine. 

The Lappvattnet prospect is a copper-nickel deposit located 
within a mineralized trend known as the "Nickel Belt" located 
south of the Skellefte district in Vasterbotten, northern Sweden 
(see enclosed map). Several similar nickel-copper prospects exist 
along this trend where past drilling by Swedish government 
authorities has confirmed mineralization of grades which are 
considered potentially economic at current nickel and copper 
prices. The Lappvattnet deposit has an Indicated Resource of 1.1 
million tonnes grading 1.0% nickel (see NAN news release dated 
April 11, 2003). 

The results of geologic compilation and geophysical surveys in 
the Lappvattnet area by NAN in recent months have identified 
drill targets similar to the Lappvattnet deposit with potential 
for increasing the existing resource base extending along the 
same trend for more than 10 km. Mineralization consists sulfides 
of nickel and copper in narrow, sub-vertical veins hosted in 
basic volcanics and metamorphosed sediments. Drilling is expected 
to commence immediately with the first drill holes designed to 
investigate the extension to depth of the known mineralization in 
the vicintiy of the Lappvattent deposit. 

The Svartliden copper prospect is located in the northern part of 
the Skellefte district and consists of three separate copper 
prospects where historical reports indicate copper mineralization 
grading from 1% to 2% copper exists in disseminated volcanic 
rocks distributed sporadically over an area of approximately 3 
square kilometers (see NAN annual report 1998). Geophysical 
surveying by NAN has identified a number of drill targets 
indicative of copper sulphide mineralization. The current drill 
program is designed to test the nature and extent of the source 
of the geophysical anomalies and determine if economic quantities 
of copper mineralization exist.  

In the Storliden Mine area NAN has identified several nearby 
target areas which are considered favorable for hosting another 
zinc-copper massive sulfide deposit. Among several targets within 
the surrounding Storliden area, two of current interest are 
located directly to the northwest of the Storliden Mine and to 
the southeast of the Storliden Mine. 

To the northwest of the Storliden Mine the best drill hole to 
date (see NAN annual report 2003) encountered 5.2 meters of 3.3% 
zinc and 0.8% copper. To the southeast, a single drill hole 
located 500 meters from the Storliden deposit intercepted 5 
meters grading 1.62% zinc at a depth of 228.5 meters. A 
systematic drill program is anticipated which will utilize the 
added exploration capability NAN has recently acquired consisting 
of surveying each drill hole with a down-hole electromagnetic 
prospecting system. This new system is designed to search for 
conductive Storliden-type mineralization for a horizontal radius 
of 100 meters from the drill hole as it penetrates vertically 
into the earth. Drilling will commence as soon as the current 
drill contracting company can provide NAN with a drill machine 
capable of penetrating depths in excess of 300 meters - expected 
within the next 30 days. 

The professional geologist in charge of exploration for NAN in 
the Skellefte district is Mr. Alain Chevalier who is a Qualified 
Person under the auspices of the Swedish Mining Association. Mr. 
Chevalier has reviewed and approved the technical contents of 
this news release. 

Lundin Mining is a Canadian mining and exploration company with a 
primary focus in Scandinavia. The company recently completed a 
change of name - from South Atlantic Ventures Ltd. to Lundin 
Mining Corporation. The main asset of the company is the 
Zinkgruvan mine, located about 200 kilometres southwest of 
Stockholm, Sweden. The mine has been producing zinc, lead and 
silver on a continuous basis since 1857. Current production 
amounts to about 64,000 tonnes of zinc, 32,000 tonnes of lead and 
1.8 million ounces of silver per year. Lundin Mining holds 
approximately 37 percent of the shares of North Atlantic Natural 
Resources AB (NAN), a mining and exploration company listed on 
the Stockholm Stock Exchange under the ticker symbol NAN. North 
Atlantic's primary asset is the Storliden copper and zinc mine in 
the Skellefte District of northern Sweden, which has been in 
production since 2001.Lundin Mining also holds a large 
copper/gold exploration project in the prolific Norrbotten Mining 
District in northern Sweden. 

ON BEHALF OF THE BOARD 

Edward F. Posey, President 

To the view the map for Lundin Mining please follow the link 
below: 

http://www2.cdn-news.com/database/fax/2000/lundin1.pdf 

-30-


FOR FURTHER INFORMATION PLEASE CONTACT:

Lundin Mining
Sophia Shane
Head of Corporate Communications
(604) 689-7842
(604) 689-4250 (FAX)
Website: www.lundinmining.com

or

Lundin Mining
Robert Eriksson
Investor Relations
Europe: +468-545-07470