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Message: UPDATE: MONDAY, JANUARY 19, 2009

UPDATE: MONDAY, JANUARY 19, 2009

ANALYTICAL LAB

Palladon Iron Corporation (PIC) has acquired laboratory space in Cedar City that will house its analytical laboratory and sample prep facility. The laboratory is close to the mine and will contain the following laboratory and sample prep equipment:

  • Residual moisture analyzer
  • Analytical balance
  • X-ray florescence analyzer
  • Fluxer
  • Drying Oven
  • Crusher
  • Floor balance
  • Riffles
  • Shaking table

In addition, the laboratory will have all necessary supplies to conduct all analyses necessary for the mine.

SGS North America, one of the largest global analytical services companies, will staff the laboratory and perform all analytical services for PIC, giving independent assays of all samples. SGS will analyze samples from all drill cuttings prior to blasting, material in the stockpile, and ore loaded in the trains for shipping. SGS will be responsible for assaying all samples for iron, silica, phosphate and other important constituents, as necessary, so that we can meet the specifications of the contracts to China. The data will also be used to define an optimized mining plan and determine if the product mined will be destine for the shipping stockpile, the lean-ore stockpile for future processing, or the waste dump.

Samples are currently being sent to the SGS analytical lab in Denver, Colorado which has a longer turnaround time and is costly from a shipping perspective. Having a lab close to the mine allows for next-day assay turnaround, imperative to keep pace with efficient mining, with substantially lower costs. The analytical equipment starts to arrive next week and will be installed once build-out of the laboratory space is completed in the next 4-6 weeks.

STAFFING CHANGES

We are pleased to announce that effective January 1, 2009 the following two changes to the staff at PIC:

  • • Darrel Twede, our acting Chief Technical Officer/Chief Operating Officer, is now a permanent employee of Palladon. He will oversee all technical and operating issues relating to the mine, as well as logistics issues at the port. Darrell recently retired from FLSmidth Minerals, formerly known as EIMCO where he was a project manager for the last 15 years with projects in Asia, South America, and the United States. Prior to his employment at EIMCO, he worked at Evans & Sutherland in Salt Lake City as Program Manager where he managed domestic and international multi-million dollar programs in the simulation industry. He was employed at Kennecott Copper as a control systems engineer in the development of control systems in Kennecott’s operation. Darrel received his M.S. in Electrical Engineering from the University of Utah, and is a past member of Eta Kappa Nu (HKN) Honor Society, the Institute of Electrical and Electronic Engineers (IEEE), and the Instrument Society of America (ISA). He received his Professional Engineer License in 1969 from the state of Utah.
  • • Rick Russell, who has served as a qualified person on many of our press releases and technical publications, has now joined the staff as our Chief Geologist. Rick will manage the company’s geologic and exploration programs and be responsible for all land and water issues for the company including new acquisitions and water management. Rick has over 40 years experience in the mining industry, including mineral exploration, mine development, reserve estimation, economic evaluation and modeling. He has extensive exploration and development experience in Utah and the surrounding states.

We are excited to have both of these gentlemen now permanently on staff with Palladon Iron Corporation. Their extensive expertise in the mining industry will help to keep this project moving forward.

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