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FSC / Press Release

Liberty Arranges $17.5 Million Financing

Edmonton, Alberta CANADA, October 29, 2007 /FSC/ - Liberty Mines Inc. (LBE - TSX Venture), ("Liberty or the Corporation") is pleased to announce that it has negotiated a brokered private placement for gross proceeds of up to $17,500,000 with a syndicate of brokers (the "Agents") led by Salman Partners Inc. and including Westwind Partners Inc. wherein the Agents will use their best efforts to sell up to 7,000,000 units ("Units") in the capital stock of the Company.

Each Unit, priced at $2.50, will consist of one common share and one-half common share purchase warrant. Each full warrant shall entitle the purchaser to purchase, at any time within eighteen months from closing, one common share of the Corporation at a price of $3.00.

In consideration for their services, the agents will receive a cash commission equal to 6.0% of the gross proceeds from the offering and agent's warrants equal to 6.0% of the aggregate number of Units sold pursuant to the Offering. The agent's warrants will be exercisable to purchase one common share of the Corporation at a price of $3.00 for a period of eighteen months from closing.

The offering is scheduled to close on or about November 15, 2007 and is subject to certain conditions including, but not limited to, receipt of all required regulatory approvals. The securities issued by Liberty in connection with these offerings are subject to a 4-month "hold period" as prescribed by the TSX Venture Exchange. The net proceeds of the Offering will be used to fund the construction of a portal and ramp for the McWatters mine, development of the Redstone Shaft and general working capital requirements.

About Liberty Mines Inc.

Liberty Mines Inc. is a mineral exploration and development company with a focus on the development and production of nickel, cobalt and platinum group metals from its properties in Ontario.

CAUTIONARY STATEMENT

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward looking statements". All statements other than statements of historical fact included in this release, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Liberty, are forward looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Liberty's expectations are exploration risks, commodity prices, assumed startup and operating costs detailed herein and from time to time in the filings made by Liberty with securities regulators.

For further information please contact:

Dr. Gary Nash, PhD (Physics)
President & CEO
Liberty Mines Inc.
Phone (416) 238-9736
Fax 780-437-7898
E-mail: gnash@libertymines.com

Press Release 36-07

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