Liberty Mines Inc. (TSX:LBE) ("Liberty or the Company") is pleased to announce that progress continues to be made towards obtaining the financing necessary to continue Liberty's exploration, development and production programs. The Special Committee of the Board of Directors appointed to explore the Company's options has refined those opportunities and is currently focused on the timely closure of a financial transaction.

The Redstone and McWatters mines continue to be on care and maintenance with a skeleton staff involved in all operations, including those at the head office in Edmonton, Alberta.

Mr. Chris Buysen has resigned as Chief Financial Officer ("CFO") effective December 31, 2008. "On behalf of management and the Board of Directors of Liberty, I would like to thank Chris for his valuable contributions as CFO over the past year and wish him all the best in his future endeavours" commented Dr. Gary Nash, President and Chief Executive Officer, who will assume the additional role of CFO until a suitable candidate has been engaged.

Mr. Brent Chertow has resigned from the Board of Directors. "The Board of Directors joins me in thanking Brent for his valuable contributions to Liberty over the difficult past few months" said Gary Nash.

About Liberty Mines Inc.

Liberty Mines Inc. is a producer of nickel and is focused on the exploration, development and production of nickel, copper, cobalt and platinum group metals from its properties in Ontario, Canada. It owns and operates the Redstone nickel concentrator near Timmins Ontario. Its operations are presently under care and maintenance due to low commodity prices.

CAUTIONARY STATEMENT

This News Release includes certain "forward looking statements". All statements other than statements of historical fact included in this release, without limitation, statements regarding 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, receipt of mining permits and leases and assumed startup and operating costs detailed herein and from time to time in the filings made by Liberty with securities regulators.

SOURCE: Liberty Mines Inc.

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