TSX: LBE For Immediate Release

Press Release 8-10 May 12, 2010

Liberty Reports First Quarter 2010 Financial Results

EDMONTON, Alberta. Liberty Mines Inc. (“Liberty or the Company”) reports financial results for the first quarter ended March 31, 2010 ("Q1") from its mining operations at the Redstone and McWatters nickel mines near Timmins Ontario.

First quarter highlights:

· McWatters underground mine was placed into commercial production as of January 1, 2010, thus providing Liberty with two mines in commercial production during Q1;

· Stripping of the overburden material from the open pit at McWatters commenced during the quarter;

· During March 2010, 25,464 tonnes of ore was processed at the Redstone nickel concentrator ("Mill"), being 48% of the 53,415 tonnes processed during Q1. Ore processed at the Mill during Q1 increased by 39% over the 38,529 tonnes during Q4 2009;

· 663,682 pounds of nickel, 28,960 lbs of copper, and 6,327 lbs of cobalt were sold to Xstrata Nickel;

· Cash operating profit from mining operations was $1,156,098 before non-cash charges.Mine production statistics during Q1:

Financial Results

Revenue including final settlement adjustments was $7.6 million compared to nil in the same quarter of 2009. Cash operating profit for Q1 was $1.1 million compared to a cash operating loss of $0.5 during the same quarter last year. Net losses for Q1 were $2.4 million compared to $2.7 million for the same quarter of 2009.

Net working capital as at March 31, 2010 was a deficiency of $33.7 million compared to $30.6 million as at December 31, 2009.

Liberty had capital expenditures of $1.3 million during Q1. The majority of the expenditures related to the additional equipment required to bring the McWatters mine into full production. Mine development expenditures of $1.7 million related to the continued development of the McWatters and Redstone mines. Expenditures related to the development of the McWatters open pit commenced during Q1.

Liberty Mines financial statements for the first quarter ended March 31, 2010 are available at www.libertymines.com andwww.sedar.com. These financial statements should be read in conjunction with the notes and management’s discussion and analysis available at the same websites.