News Release

Released: July 8, 1997  Contact: Barbara Barry  660-4800 or (BC only) 1-800-373-6393

VANCOUVER – On July 3, 1997 the Ministry of the Attorney General, Securities Fraud Office, approved the laying of charges under the Securities Act, R.S.B.C. 1996, c. 418 against Glen Elmo White of Vernon and David Walford Thomas of Surrey. The Securities Fraud Office is a pilot project funded by the British Columbia Securities Commission and includes the Royal Canadian Mounted Police - Vancouver Commercial Crime Section (Market Group) and the Ministry of the Attorney General.

White and Thomas are former directors and officers of Redell Mining Corporation a British Columbia company and reporting issuer whose shares are listed on the Vancouver Stock Exchange.

White and Thomas are each charged with 20 counts under the Act relating to misrepresentations concerning the amount of gold contained in Redell’s mineral claims located in the vicinity of Mount Freegold, Yukon Territory. These misrepresentations appeared in various news releases, promotional materials and offering memoranda filed with the Commission and distributed to shareholders and potential investors during the period September 1994 to April 1996. During this same time period, Redell’s share price exceeded $6.00 per share and the company raised several million dollars in financing through private placements.

The charges resulted from a joint investigation by the Commission and the RCMP following the receipt of a complaint from the Vancouver Stock Exchange.