This is the property the BOD has decided to sell for a measly $100,000. Take note of this excerpt in the release; "

"following exploration summary of the past 13 months. This period produced a number of encouraging discoveries on the property and continued to demonstrate its similarities to the nearby Yanacocha mine, Latin America's largest gold producer. Results also indicate the potential for Cueva Blanca to contain a large disseminated gold deposit amenable to open pit mining and heap leaching."

Listed on the CDNX

Trading Symbol: SLI

Web Site: www.steliasmines.com

Suite 604 – 700 West Pender Street

Vancouver, British Columbia

Canada V6C 1G8

Telephone: (604) 669-4677

Facsimile: (604) 669-9626

Toll Free: (888) 895-5522

Trading Symbol: V.SLI

News Release 2000-20 October 10, 2000

NEWS RELEASE

GEOPHYSICS – PROPERTY UPDATE - CUEVA BLANCA PROPERTY, PERU

St. Elias Mines is pleased to announce it has received the results of IP Resistivity/Chargability and ground magnetic surveys conducted over the Zona Verde and a portion of the Zona Eugenio on the Cueva Blanca Project. These surveys have confirmed and enhanced St. Elias’ understanding of the stratigraphy, alteration patterns and structure of these two zones.

Trenching and previous sampling have confirmed that the gold mineralization within the Zona Verde and Zona Eugenio is associated (directly) with silicification occurring as both quartz replacement of the host rock (tonalite/volcanics) as well as vein swarms and stockworks. Silicification, which is usually associated with gold mineralization in epithermal systems and does carry gold mineralization within the Zona Verde as well as other areas of the Cueva Blanca Property, produces a very dense rock that can be delineated by the combination of high resistivity and low magnetic susceptibility.

The resistivity high underlying the Zona Verde measures 1,100m (3,600 ft) in length and 650m (2,100 ft) in width and is completely open to the north and to the west. The anomaly is present in cross-sections from surface and remains open at depth to below 150m (500 ft). In addition, four chargeability anomalies occur within the Zona Verde, primarily on the flanks of the resistivity anomaly. A 200m (650 ft) wide high resistivity anomaly has been identified underlying, but not reaching the surface of, the Zona Eugenio. In addition, two separate resistivity anomalies occur below a depth of 125m (410 ft) and remain open to below 150m.

These anomalies occur at or just below the surface and correlate well with gold mineralization occurring within surface trenches. The Company is impressed with the size and amplitude of the resistivity anomalies and with the precision with which they correlate and support the Company’s geological model for the Cueva Blanca Property. These geophysical results have provided the Company with invaluable data, which is being utilized in the Company’s ongoing drill program.

Exploration Summary of the Cueva Blanca Property

To assist with numerous recent inquiries about the Cueva Blanca Property, we are providing the following exploration summary of the past 13 months. This period produced a number of encouraging discoveries on the property and continued to demonstrate its similarities to the nearby Yanacocha mine, Latin America's largest gold producer. Results also indicate the potential for Cueva Blanca to contain a large disseminated gold deposit amenable to open pit mining and heap leaching.

Overview

The Cueva Blanca Property, covering 12,300 hectares (123km2/48mi2), lies along the northern portion of the Yanacocha-Pierina metallogenic belt of western Peru. This geological trend hosts numerous multi-million ounce gold deposits within Peru and southward along the Andes mountain range, including

Barrick's Pierina Mine (7.2M oz. Au, 56M oz. Ag, cash cost US$42/oz) and the Barrick/Homestake Pascua/Lama Mine (21M oz. Au).

Cueva Blanca was originally staked for its similarities to the nearby Yanacocha mine (owned 51.35%

Newmont/ 43.65% Buenaventura/ 5% International Finance Corp.). Yanacocha is expected to produce

1.85 million ounces of gold in 2000 at a total cash cost of less than U.S.$90 per ounce. Its present reserves total 32.8 million ounces with an average grade of 0.77 g/t (0.025 oz/t).

St. Elias began exploring Cueva Blanca in September of 1999. Although previous operator Inca Pacific Resources Inc. had completed considerable work, the property was so large that St. Elias management approached it from a "grassroots" perspective. Thus the initial work was quite broad-based with the intent of identifying areas of interest and targets for further work.

September 1999

Having acquired options to earn up to a 70% interest in Cueva Blanca from Inca Pacific Resources Inc., St. Elias begins an initial program of geological mapping, rock sampling and stream sediment sampling over widespread areas of the property. The program is managed and conducted by John Brophy, B.Sc., P.Geol. and a team of veteran Peruvian explorers and geologists.

October 1999

Initial results indicate that the alteration and geochemistry of the property fit classic epithermal models with similarities to the Yanacocha, Pierina and other epithermal systems in the Andes.

November 1999

Reconnaissance geological mapping and sampling completed on about 80% of the property.

December 1999 - January 2000

Upon completion of the reconnaissance program, crews begin evaluating the mass of data. All samples are assayed and analyzed by Chemex Labs, North Vancouver, BC, after first being prepared at their facility in Lima, Peru. Check samples are conducted with Bondar Clegg. Samples are also submitted for PIMA (short-wave infrared spectrometer) study to confirm the presence of alunite, a mineral commonly associated with gold bearing epithermal systems. A number of large-scale anomalous gold targets are identified. Hand trenching and sampling begins on two key gold bearing zones: Zona Verde and Zona Eugenio.

February 2000

Early trench sampling produces 11.1 g/t (0.32 oz/t) Au over a 6.0m (19.7 ft.) channel sample, at the "Discovery Outcrop". This high-grade sample marks the initial discovery at Zona Verde. At this point, Zona Verde covers an area measuring approximately 800m x 250m.

March 2000

Further trenching at Zona Verde produces more high gold values, including 47.12 g/t (1.37 oz/t) over 9m (29.5 ft.) within a broader zone of highly anomalous gold values. The mineralized zone is expanded to cover a strike length of 1,400m (4,600 ft.) over a width of 300m (1,000 ft.), and it is open in all directions.

The Company stakes an additional 1,300 hectares of claims adjoining the existing claim group.

April 2000

With the ongoing positive results at Zona Verde, exploration intensifies. Base camp is moved to within 600m of the zone and the access road is extended. Additional field personnel are hired. Twenty-line km of control grid are established, with subsequent geophysical surveys, trenching and geological mapping and sampling. The grid-based trenching program is expanded, with an additional 10,000 linear metres planned.

May 2000

Trenching and auger hole results continue to expand overall dimensions of Zona Verde. The zone remains open in all directions.

June 2000

Additional trenching continues to expand and fill in areas of gold mineralization within Zona Verde. In particular, a second area of higher-grade gold mineralization, named Prospecto Lado, is encountered within the southern quadrant of Zona Verde.

July 2000

Tests of large bulk samples (10 - 20 kg) are conducted with the goal of obtaining further information about the mineralization and to provide targets for a planned drill program. The tests confirm that disseminated gold mineralization will be the primary exploration objective, based on area size and associated potential for a large-tonnage, low-grade gold resource with high-grade bonanza-style sections.

August 2000

Additional positive trench results and hand auger sampling, up to 1.8 g/t Au over 9.5m (29.5 ft.), expand the Zona Verde's western boundary. Preparations are underway for a September drill program at Zona Verde. Sampling of a newly constructed access road in the south-central area of Zona Verde yields 0.44g/t Au over 78m (255 ft).

September 2000

St. Elias completes a C$1.1 million brokered private placement, and with the funds in place the drilling program at Cueva Blanca begins. The initial plans call for 5,000m (16,000 ft.) of reverse circulation drilling with the goal of outlining a disseminated gold deposit at Zona Verde. Mr. Geoffrey Keyte, B.Sc., a Lima-based geologist with worldwide experience, is hired to provide onsite technical assistance with drilling. At the same time, trenching in the Prospecto Venada, located within the extreme northern quadrant of Zona Verde, discovers a new gold zone. Trench results from Prospecto Venada returned 1.0 g/t Au over 10m-channel sample length. In addition, trench results from the east-central portion of Zona Verde returned 1.2g/t Au over 44m (144 ft.).

In conclusion the Zona Verde, located within the northern section of the Cueva Blanca Property, is a broad area of anomalous gold mineralization that extends for over 1,600 meters in strike length and over 300 meters in width and remains open in all directions. It is one of several large areas of gold mineralization within the property. The Cueva Blanca Property presently covers 12,300 hectares (123km2/48mi2) and lies within the northern portion of the Yanacocha-Pierina metallogenic belt of western Peru. St. Elias has options to earn up to a 70% interest in the Cueva Blanca Property from Inca Pacific Resources Inc.

For further information on St. Elias’ work on the Cueva Blanca property and other projects/properties, please visit the Company’s website at http://www.steliasmines.com or call 1 888 895 5522 (toll free US and Canada).

ON BEHALF OF THE BOARD,

(signed “Lori McClenahan”)

Lori McClenahan

President

This news release contains forward-looking statements regarding the ongoing and upcoming exploration work and expected geometry of geological formations and structures. Actual results may differ materially from those currently anticipated in such statements.

The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.