MDN Receives Positive Economic Indicators for the Niobium and Tantalum (Anita) Project

Scoping Study Completed and Proceeding to Feasibility Study

MONTREAL, QUEBEC--(Marketwire - Jan. 29, 2010) - (All amounts in Canadian dollars unless otherwise indicated – all tonnage in metric tonnes)

MDN Inc. (TSX:MDN) reports that it has received a positive Scoping Study analysis on the niobium (Nb) and tantalum (Ta) resource regarding its projected mine located north of the Lac St-Jean area, in the Province of Quebec.

MDN and Minéraux Crevier Inc ("MCI") are proceeding to complete the Feasibility Study with the objective of commercializing the niobium and tantalum resource identified on the Anita Project (the "Project"). The Board of MDN has reviewed the Scoping Study and has approved the purchase of a further 10% of the shares of MCI related to the completion of the First Milestone. MDN will continue with the Second Milestone Funding Program of $2 million (see press release June 2, 2009).

The Project is expected to create economic activity in this region of Quebec and the proposed initial open pit operation has a potential mine life of 18 years. With a proposed production of 4,000 tpd and at an estimated investment of $315.6 million, the Project is expected to generate, at the start of production in 2013, average annual revenues of $125 million and annual net operating cash flows of $57.5 million, over the 18 year operating period. The Scoping Study forecasts the project economics to be a NPV (net present value) of $272 million at a 5% discount, and an IRR (internal rate of return) of 13.9% (pre-tax).

"MDN's Board and management team view the Project as being accretive to MDN shareholder value as well as being of great benefit to all MCI stakeholders. We are pleased and enthusiastic to see the progress being made and to initiate the Feasibility Study", said Jacques Bonneau, interim CEO of MDN.

The Scoping Study was prepared by Met-Chem Canada Inc., ("Met-Chem") for a 2,740 tpd operation and was factored up to 3,500, 4,000 and 4,500 tdp. This will lead to a report in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"). Highlights for the 4,000 tpd operation are summarized below.

The Scoping Study was prepared as an independent stand-alone project and related mainly to the indicated mineral resource located on the southern sector of the MCI mining property, and accordingly does not take into account the inferred mineral resource contained immediately north of and at depth below the open pit. A Feasibility Study will be developed at a 4,000 tpd scenario and will confirm all assumptions such as capital costs, operating costs and metallurgy.

MCI management now expects the Feasibility Study to be completed by the first half of 2011, with construction starting in the second quarter of 2012 and construction completion occurring by late 2013.

MCI is currently in the process of selecting the various engineering consulting firms for the preparation of the Feasibility Study and SGS Lakefield is already working on metallurgical tests. Discussions with stakeholders will take place in order to ensure that the Feasibility Study integrates their interests, with a view to providing economical, environmental and social gains for all concerned parties.

"We are very pleased to release the Scoping Study on the Project. The shareholders of the Project, namely MDN, IAMGOLD and private owners are satisfied with the evolution of the process and our assessment of the commercialization of this strategic resource" said Mr. Serge Bureau, President of MCI.