Lori McClenahan, President of St. Elias Mines Ltd. (“St. Elias” or the “Company”), announces

that St. Elias and its President, Lori McClenahan, intend to join those companies that have sued

for defamation as a result of on-line bulletin board postings. Recently, a Stockhouse poster,

using the pseudonym “Elbandito”, placed false and defamatory comments on a forum about the

Company’s President which has been removed by Stockhouse at the request of St. Elias. The

Company has grounds to file a libel action with the Courts to seek general and aggravated

damages, as well as punitive damages. There is a need to deter irresponsible, self-interested,

malicious postings and the courts have, in the past, looked down upon libellous material found in

on-line postings. As an example, Justice C.A. Kent awarded oil and gas producer Vaquero

Energy Ltd. and its president, Robert Waldner, a total of $75,000 in damages over defamatory

Stockhouse posts and the Ontario Superior Court of Justice awarded Barrick Gold Corp.

$125,000 after the company was libelled on an Internet chat site.

Lori McClenahan,