Atalaya Mining Regulatory News (ATYM)

EMED MINING QUARTERLY OPERATIONAL UPDATE

11 April 2011

EMED Mining Public Limited (AIM: EMED, TSX: EMD) ("EMED Mining" or "the Company"), the Europe-based minerals development and exploration company, announced today the following operational update for the three month period ended 31 March 2011. The full Quarterly Report, including consolidated Financial Statements and the Management Discussion and Analysis, will be issued on or before 16 May 2011.

The Annual Report will also be issued and despatched in May for the Annual General Meeting to be held in Toronto on 16 June 2011. A shareholder briefing will also be held by the Company in London on 27 June 2011.

Key Points

Rio Tinto Copper Mine - Spain

> In March 2011, the Junta de Andalucia ("Andalucían Government") advised that:

o legal hurdles to the Company gaining Administrative Standing had been cleared and its application will now be formally processed;

o the Company's detailed submissions of the Project, including improvement, operating and environmental plans and the associated proposals for bonds, insurances and related undertakings will be now be formally processed; and

o the Company should now assume formal responsibility for the maintenance and operation of the tailings dams at the Rio Tinto Mine.

> EMED Mining:

o has approved the next stage of project preparations, being the engineering of project improvements and plant repair programs so that site works can commence by the end of 2011 and production can commence as early as possible in 2012, depending upon the timing of project permitting, formalised access rights to adjoining lands, finance and shareholder approval; and

o is progressing discussions with its financiers so that funding arrangements can be finalised as soon as permitting conditions are clarified.

> Copper prices have continued to increase and the outlook is for demand to outstrip supply in the short to medium term. At current copper spot prices of ~US$4.35/pound, projected net operating cash flow is estimated to average US$212 (€170) million per year under the current "base case" development plan.

Detva Gold Project - Slovakia

> EMED Mining is progressing feasibility work, community consultation, environmental studies, and the approvals required for the proposed open-pit mine at Biely Vrch producing ~60,000 ounces of gold per year at an average cash cost of ~US$530/ounce.

> The permitting process for Biely Vrch has advanced to being granted Protective Deposit Status over the Biely Vrch gold deposit and an application has been submitted for a Mining Lease.

Harry Anagnostaras Adams, Managing Director of EMED Mining, commented:

"We are pleased that during the quarter the Andalucían Government unblocked the permitting process for restarting the Rio Tinto Copper Mine in Spain. Support from key stakeholders, notably the local communities led by the mayors with the support of the Unions, is much appreciated.

"Our team is actively working with the regulatory authorities with the mutual aim of efficiently completing the permitting process to responsibly restart this major copper mine and unlock the numerous benefits associated with that restart. Assuming the timely processing of regulatory applications and associated negotiations, the Rio Tinto Copper Mine should return to full copper production during 2012.

"EMED Mining has established at Rio Tinto one of the largest teams of mine development specialists in Europe. The Company is poised to trigger the development of this large copper mine and has a pipeline of other projects at various stages of development. Our focus on social licensing and proper participation with local communities in which EMED Mining operates is especially timely in Europe where policy-makers are now prioritising the development of Europe's mining industry." 

EMED Mining is committed to building Europe's premier mining company through the responsible development of metal production, with an initial focus on copper, gold and critical raw materials.

The strategy is to evaluate and prioritise metal production opportunities in several jurisdictions throughout the well-known belts of base and precious metal mineralisation in the European region.

In Spain, the Company's Rio Tinto Copper Mine provides an excellent opportunity to bring a large copper mine back into production at a relatively low total cost as it already has an established open-pit mine, processing plant and other infrastructure.

In Slovakia, the Biely Vrch deposit at the Company's Detva Gold Project is a potential greenfields development of an open-pit gold mine.

EMED Mining has earlier-stage activities in Cyprus and Portugal, as well as via 19%-owned associate KEFI Minerals which operates early-stage exploration joint ventures in Turkey and the Kingdom of Saudi Arabia.

EMED Mining is managed by a multi-cultural team drawn initially from Australia and the Americas and now mainly comprised of Spanish citizens. The main priority for the short term is to safely and efficiently start copper production at the Rio Tinto Mine once EMED Mining has completed the regulatory approval process, financed the start-up and obtained shareholder approval.

EMED Mining, via its wholly-owned subsidiary EMED Tartessus, owns 100% of the Rio Tinto Copper Mine in Andalucía, Spain.

As detailed in a NI 43-101 Technical Report1, key anticipated production parameters for the Rio Tinto Copper Mine are:

> Ramp-up to a 9 million tonne per annum ("tpa") throughput over a two-year period;

> Open-pit mine with average waste-to-ore strip ratio of 1.1 to 1;

> Contained copper-in-concentrate averaging ~37,000 tpa;

> Average cash costs of C1 = US$1.37/lb (cash operating costs ) and C3 = US$1.57/lb (total costs including operating, capital and closure costs);

> Measured and Indicated Resources = 203 million tonnes at 0.46% copper, containing 933,000 tonnes of copper (inclusive of Ore Reserves);

> Ore Reserves = 123 million tonnes at 0.49% copper, containing 606,000 tonnes of copper; and

> Mine life > 14 years.

__________________________

1 Behre Dolbear International Ltd report entitled “Amended and Restated NI 43-101 Technical Report on Reopening the Rio Tinto Copper Mine, Huelva Province, Spain” dated November 17, 2010, which is available under EMED Mining’s corporate profle at www.sedar.com.

Key Spanish trade unions, employer groups and political parties have been supporting the Company's representations to the government and its instrumentalities.

EMED Mining is now focused on completing permitting, starting production and then optimising and expanding the operations and mine life.

Process for Granting Mineral Rights Unblocked

In late December 2010, EMED Mining received the requested fourth signature to the statement of non-opposition (to the request for Administrative Standing commenced in May 2009 by EMED Tartessus) from members of the Liquidation Commission representing the last-approved previous owner of the mineral rights, Minas de Rio Tinto ("MRT"). The executed letters of non-opposition were then formally submitted to the Andalucían Government for its review.

On 14 March 2011, the Andalucían Government announced that it had "unblocked" and would now proceed with the processing of the Company's applications for Administrative Standing ("administrative approval of its mineral rights") and of its proposed project.

EMED Mining is currently in active discussions with the instrumentalities of the Andalucían Government on all aspects of the Project and the restart process. When sufficient certainty regarding the process is obtained, EMED Mining will inform shareholders and other stakeholders of the effect, if any, on the anticipated program and timetable for the permitting process and proposed restart of the project.

Steps to Restart Copper Production

The key steps to restarting copper production at the Rio Tinto Copper Mine are briefly summarised as follows:

> Agreement in principle between the Company and the relevant authorities of permitting conditions and adjustment of the Project if and where appropriate;

> Administrative Standing;

> Commencement of personnel training programs and drilling programs for extending mine life;

> Formal approval of the proposed project, taking into account reports to the Government by independent review agencies along with the outcome of formal public consultation;

> Shareholder and financier approvals of the final project;

> Triggering the six-month restart project execution program, upon receipt of formal land access rights;

> Appointment and induction of the workforce and contractors;

> Construction permits and operating licences to be issued as project execution proceeds and commissioning is carried out;

> Eighteen-month ramp-up of production to the base case rate of processing 9 million tpa of ore and 37,000 tpa copper-in-concentrate; and

> Concurrent assessment of project extension or expansion opportunities, based largely on the results of drilling in the vicinity of the existing open pit and underground mines.

The restart is expected to be relatively straight-forward from an operational perspective, with an established infrastructure and processing facility that can be readily restarted, albeit with aspects to be updated to incorporate mining industry improvements that have been developed over the past 20 years.

Responsibility for Tailings Dam Management

In March 2011, the Andalucían Government also formally resolved that the Company should assume formal responsibility for the maintenance and operation of the tailings dams at the Rio Tinto Copper Mine.

As previously reported, it is important for reasons of public safety, that these facilities be responsibly managed as a whole despite 66% of the dams having been acquired by non-mining companies prior to the Company's arrival.

EMED Mining welcomes the constructive initiative of the regulatory authorities. The Company will be carrying out recommended urgent remedial works on its land and will use all reasonable efforts to expedite such repairs on third party lands. In the meantime EMED Tartessus, the relevant subsidiary, will continue to carry out day-to-day maintenance as it has done for the past four years.

Positive Judicial Outcomes

Legal proceedings were dismissed during the quarter which pertained to complaints and allegations by the other owners of the tailing dams.

The Court also officially recognised the Company's status as one of the largest creditors of the Liquidation Commission of MRT, an important step in the process of forcing that entity to formally and fully disclose its financial transactions during the decade‐long liquidation process.

Conditional Heritage Approval

In January 2011, the Department of Culture and Heritage of the Government provided a favourable report regarding the Company's plans for the Rio Tinto Copper Mine.

One of the four principal regulatory authorities with responsibility for the Rio Tinto Copper Mine, the Department of Culture and Heritage has conditionally approved, from a heritage point of view, the Company's proposed mining activities as detailed in various submissions. Responses from the three other departments are awaited.

The approval of the Department of Culture and Heritage is subject to certain conditions that are largely aimed at ensuring that the extensive heritage at Rio Tinto is clearly documented and then preserved or studied appropriately as mining, processing and rehabilitation practices are carried out responsibly. This favourable report will become a legal resolution upon agreement between the Junta and the Company on the required modifications and conditions.

EMED Mining will be required to inform the Department of Culture and Heritage prior to disturbing any heritage item at the Rio Tinto Copper Mine.

Confidence Provided to Commit to Next Phase

Major shareholders and the EMED Mining's Board of Directors visited Rio Tinto during March 2011. After meeting the relevant authorities of the Andalucían Government, the EMED Mining Board approved a budget that includes the expansion of the project management team and commencement of the engineering work required to restart the project.

Funding

The estimated funding required to start copper production at the Rio Tinto Copper Mine aggregates to approximately US$103 (€82) million plus insurances and other anticipated undertakings to the Government.

Cultural Exchange Program

Following EMED Mining's initiative, the towns of Minas de Riotinto in Spain, Banska Stiavnica in Slovakia and Broken Hill in Australia are collaborating in a cultural exchange program aimed at expanding their respective tourism industries. This is part of the Company's planned package of initiatives to facilitate the economic diversification of the communities surrounding the Rio Tinto Mine.

A mural by Australian artist Geoff de Main was unveiled in the town of Riotinto during March 2011. The mural depicts the first football (soccer) team in Spain, which was formed in Riotinto in 1919. The mural will form part of the proposed British Sports Museum in Riotinto.

Australian Ambassador Zorica McCarthy and Cypriot Ambassador Nearchos Palas participated in the ceremony at the unveiling of the mural. The Company was honoured to also host both ambassadors at a visit to the Rio Tinto Copper Mine.

Outlook

The Government is now actively reviewing the Company's submissions so as to expedite wherever reasonable the required approvals to restart the project. That process is taking into account all regulatory requirements for the responsible development and operation of the Rio Tinto Copper Mine. Support for our plans from key stakeholders has become increasingly widespread.

The global shortage of copper underpins a strong long-term outlook for copper prices, which have recently been setting record prices and has traded at greater than US$4.00/lb since early December 2010. At current copper prices of approximately US$4.35/lb, the Rio Tinto Copper Mine's projected net operating cash flow is estimated to average US$212 (€170) million per year under the current "base case" development plan.

Significant potential has been identified to expand project life, annual production, or both. Drilling programs have been planned, in association with project engineering, to maximise the economic value-added.

The Detva Gold Project in Slovakia contains the Biely Vrch porphyry gold deposit that EMED Mining discovered by applying the latest exploration techniques in a prolific mining district.

EMED Mining is progressing towards the development of its 100%-owned Biely Vrch gold deposit, which contains Indicated Resources of 461,000 ounces (17.7 million tonnes at 0.81g/t gold) and Inferred Resources of 596,000 ounces (24.0 million tonnes at 0.77g/t gold).

A revised Scoping Study completed by AMC Consultants (UK) Ltd in June 2010 confirmed the attractive economics of developing a mine at Biely Vrch based on a gold price of US$1,000/ounce (currently ~US$1,400/ounce). The envisaged project has the following parameters:

> Initial capital cost of ~US$64 million

> 3 million tonne per annum, heap-leach operation;

> Open-pit mine with average waste-to-ore strip ratio of 0.84 to 1;

> Mine plan tonnage of 27.5 million tonnes at 0.86g/t gold, containing 756,000 ounces of gold;

> Overall gold recoveries averaging 81%; and

> Annual gold production of 60,000 ounces at an average C1 cash cost of ±US$530/ounce;

The Scoping Study is preliminary in nature and includes Inferred Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorised as ore reserves, and there is no certainty that the preliminary assessment will be realised.

In November 2010, Behre Dolbear International Ltd completed the report entitled "Amended and Restated NI 43-101 Technical Report on the Biely Vrch Gold Deposit, Detva Licence Area in Slovakia" dated November 17, 2010.

Detva Gold Project Permitting

In parallel with progressing the required permitting studies and approvals, EMED Mining is working towards reaching various agreements with local parties directly impacted by the development of Biely Vrch.

The permitting process for Biely Vrch has advanced to being granted Protective Deposit Status over the Biely Vrch gold deposit and the Company has applied for a Mining Lease.

EMED Mining and its environmental consultants are preparing the Preliminary Environmental Impact Assessment for Biely Vrch.

Exploration in Slovakia

EMED Mining currently holds five licences in Central Slovakia covering an area totalling 449km2. This region is a prolific mining district that has historically yielded in excess of 120 million ounces of silver and 3 million ounces of gold.

The 2011 drilling program will commence this quarter to test several gold prospects in Central Slovakia.

EMED Slovakia's team is also evaluating other opportunities in Europe with the aim of applying its valuable experience and successful techniques to similar geological settings.

In September 2010, EMED Mining obtained an exclusive option to acquire the Regua Tungsten Deposit which is located 400km north of Lisbon and 95km east of Porto. The deposit has not been previously mined and is located close to infrastructure with good road access.

EMED Mining has started evaluating the exploration potential, auditing the mineral resources, completing a scoping study, assessing the prospects for permitting and will this quarter also conduct initial drilling aimed at extending known mineralisation.

A resource estimate for Regua was reported in 2008 by ASX-listed Tamaya Resources (previous owner of the vendor, Iberian Resources Portugal Minerais Unipessoal LDA). However, EMED Mining is not yet in a position to issue a resource estimate for Regua under the NI 43-101 reporting standard.

The Regua Tungsten Deposit remains open laterally and at depth. There are reasonable prospects that further drilling will extend the known mineralisation.

Tungsten has been classified as a critical raw material by the European Commission, due to the tightness of global supply. The Iberian Peninsula has historically been one of the major sources of tungsten supply outside of China.

Information in this report as regards the Rio Tinto Mine that relates to Mineral Resource estimates is based on information compiled by Mr. Pat Stephenson, BSc (Geology) and Mr. Ron Cunneen, BSc (Geology), with Mr. Stephenson taking responsibility for the Mineral Resource estimates and Mr. Cunneen taking responsibility for the data on which the estimates are based.

Mr. Stephenson is Regional Manager, Vancouver and Principal Geologist with AMC Mining Consultants (Canada) Ltd and a full-time employee of that company. He is a Fellow of The Australasian Institute of Mining and Metallurgy.

Mr. Cunneen is Head of Exploration for EMED Mining and a full-time employee of that company. He is a Member of The Australian Institute of Geoscientists.

Information in this report as regards the Rio Tinto Mine that relates to Ore Reserve estimates is based on information compiled by Mr. Andy Robb, BSc (Mining Engineering). Mr. Robb is Principal Mining Consultant with AMC Consultants and a full-time employee of that company. He is a Member of the Australasian Institute of Mining and Metallurgy.

Mr. Stephenson, Mr. Cunneen and Mr. Robb have sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activities which they are undertaking to qualify as "Competent Persons" as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" ("JORC Code") and "Qualified Persons" as defined in the "National Instrument 43-101 of the Canadian Securities Administrators" ("NI 43-101") and "CIM Definition Standards For Mineral Resources and Mineral Reserves" of December 2005 as prepared by the CIM Standing Committee on Reserve Definitions of the Canadian Institute of Mining.

Mr. Stephenson, Mr. Cunneen and Mr. Robb consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.

References in this report as regards the Mineral Resources or exploration results and potential in Slovakia, Cyprus or elsewhere have been approved for release by Mr. Ron Cunneen.

Certain information contained in this report, including any information on EMED Mining's plans or future financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute forward-looking statements. Such statements are based on a number of estimates and assumptions that, while considered reasonable by management at the time, are subject to significant business, economic and competitive uncertainties. EMED Mining cautions that such statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of EMED Mining to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward looking statements. These factors include the inherent risks involved in exploration and development of mineral properties, changes in economic conditions, changes in the worldwide price of gold and other key inputs, changes in mine plans and other factors, such as project execution delays, many of which are beyond the control of EMED Mining, as well as those factors discussed in the section entitled "Risk Factors" in the Company's annual information form dated 31 March 2011 which has been filed under the Company's corporate profile at www.sedar.com.

Nothing in this report should be construed as either an offer to sell or a solicitation to buy or sell EMED Mining securities.

EMED Mining is listed on AIM (Code: EMED) and the TSX (Code:EMD)

Enquiries:

Investors/Media: Harry Anagnostaras-Adams +357 9945 7843, Roger Howe +61 405 419 139

In North America : Andreas Curkovic +1 416-577-9927

General: Cyprus office: +357 2244 2705, Email: info@emed-mining.com