Toledo Mining Corporation plc
                     ("Toledo" or the "Company") (AIM:TMC)
                                Offer for Ipilan

Toledo wishes to advise that the joint venture partners of Ipilan Nickel
Corporation ("INC" or "Ipilan") have separately entered into Memoranda of
Understanding with a wholly owned subsidiary of Jinchuan Group Ltd. of China
("Jinchuan") which may result in Jinchuan and its Philippine partners acquiring
100% of the equity of Ipilan.  Memoranda of Understanding have been signed
giving Jinchuan an exclusive 90 day period for due diligence and preparation of
share purchase agreements.

Completion of the transaction will be subject to conditions, including Jinchuan
being satisfied with the results of its due diligence investigation, clearance
being obtained from the relevant authorities in China and the Philippines and
the parties agreeing a form of share purchase agreement.

Should a transaction be completed as currently envisaged, gross proceeds to
Toledo from the transaction are expected to amount to US$17.4 million.  Ninety
per cent of the transaction price is to be paid on completion with a ten per
cent retention to be settled sixty days later. The transaction is conditional on
Toledo cancelling its loan to Brooks Nickel Ventures of US$12.3m, which was only
recoverable from  project cash flows, and a disputed loan of $900,000 to
Celestial Mining Corporation ("CNMEC") with these amounts being included in the
transaction price.  The tax payable on the proceeds is expected to be modest.

If the transaction timetable proceeds as expected and the conditions in respect
of due diligence and clearance by the relevant authorities are met, settlement
of the transaction is expected to occur early 2012.

Commenting on the transaction, Reg Eccles, Chairman, said, "Over the last 12
months we have received a mix of approaches from local companies either willing
to invest in the mine and sell the product in return for a profit share or buy
out our share, subject to agreement with our local partners, and have concluded
that none of the indicative offers are better than that of Jinchuan. Moreover,
our financial commitment to Ipilan is open ended and we have no certainty as to
when Ipilan can be mined, so, after careful consideration we have exercised our
40% voting interest to support our Philippine partners, who with 60% of the
votes, want to sell to Jinchuan".

Victor Kolesnikov, CEO, adds "The proceeds from this transaction, when added to
current cash balances of US$5.6 million, will place Toledo in a very healthy
financial position. Without recourse to its shareholders, Toledo will be able to
support expansion and improvements at and around the Berong mine, which is now
generating its own cash flow since recommencing operations in May; to improve
the ship loading facilities and extend the shipping window; to move forward
positively with respect to ore processing options within the Philippines; and
seek to capitalise on the Company's strengths by geographically diversifying its
mining interests beyond Asia".

For further information, please visit www.toledomining.com or contact:

Reg Eccles, Chairman, Toledo Mining Corporation
 +44 (0) 20 7290 3100

Katie Grinham, Toledo Mining Corporation
+44(0) 7958 765 745


Anthony Rowland / Jen Boorer, Ambrian Partners Ltd
+44 (0) 20 7634 4858

Anthony Shewell / Alex Glover, Fin Public Relations
+44 (0) 20 7608 2280


Notes for Editors

The Ipilan deposit is on Palawan Island, Philippines. Ipilan has a JORC resource
of 43.37 million tonnes with an average grade of 1.20% nickel at a 0.5% cut off
grade.

The Ipilan deposit is owned by INC, which company is in turn owned as to 40% by
Toledo and 60% by Nickel Laterite Resources (NLR), a Philippine company. NLR is
owned in turn as to 40% by CNMEC, 40% by Brooks Nickel Ventures and 20% by
Toledo. CNMEC holds the Mineral Production Sharing Agreement which confers the
right to mine Ipilan once all the necessary permits have been granted.

Jinchuan is the dominant producer of refined nickel in China. The company has
plans to grow nickel production very significantly for which surety of nickel
ore supplies is a logical ambition.

Recently, the Jinchuan Group was reported as having signed a Memorandum of
Agreement with two Philippines companies - MacroAsia Corporation and Tranzen
Group Inc.  The intention of that agreement is to develop MacroAsia's Brooks
Point deposit which adjoins Ipilan and is effectively part of the same
geological formation.






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Source: Toledo Mining Corporation PLC via Thomson Reuters ONE

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