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ST. JOHN'S, NEWFOUNDLAND AND LABRADOR--(Marketwire - June 28, 2010) - On June 11, 2010, Anaconda Mining Inc. ("Anaconda") (TSX:ANX) formally commenced an unsolicited share exchange take-over bid (the "Bid" or the "Offer") to acquire all of the issued and outstanding common shares of New Island Resources Inc. ("New Island") (TSX VENTURE:NIS). The Bid was made by way of a take-over bid circular offering to purchase all issued and outstanding common shares of New Island on the basis of one common share of Anaconda for every three common shares of New Island.

The board of directors for New Island (the "Board") is currently reviewing the take-over bid circular and has not yet come to a position regarding its merit. To assist in the process, it has retained the services of Salman Partners Inc., a highly respected and experienced company in these matters. Once the Board has had an opportunity to fully evaluate the Offer, it intends to provide feedback and comment. In keeping with its duty to its stakeholders, it is New Island's intention to review the Bid with an eye to whether it will provide value to its shareholders. The Board, together with its financial and legal advisors, will review the full terms of the Offer and following that review the Board will make a recommendation that is in the best interests of shareholders. New Island urges shareholders to wait for its Board to make its recommendation before coming to a decision with respect to the Offer.

The Board further intends to review the caliber of the Bid relative to the recent Letter of Intent (the "LOI") New Island entered into with Mountain Lake Resources Inc. ("Mountain Lake") (TSX VENTURE:MOA). The LOI outlines the companies' plan to organize a corporate restructuring that involves the acquisition of New Island by Mountain Lake, making New Island a wholly-owned subsidiary of Mountain Lake. The transaction contemplates a share exchange, allotting one share of Mountain Lake for every five and one-half shares of New Island. All convertible securities of New Island would be exchanged for convertible securities of Mountain Lake on the same basis, adjusted accordingly to reflect the final agreed share exchange ratio.

Once a review of both (or any further) proposed arrangement is complete, New Island will be in a position to give its reasoned recommendation. A directors' circular from the New Island Board with an updated opinion on the Bid is due to be released on or before July 26, 2010.

Disclosure of Certain Facts:

Termination and Change of Control Benefits

As required by TSX-V disclosure policies, New Island notes that, as previously disclosed, employment contracts are in place with respect to the services of the CEO, the Treasurer and the Corporate Secretary. In the event of a change of control or change of head office outside the Province of Newfoundland and Labrador, within a two year period of such change, the CEO may elect to receive a payment of three times annual salary and the Treasurer and Corporate Secretary may elect to receive a payment of two times annual salary.

Material Changes in present capitalization

New Island is currently planning to seek equity financing, on usual market terms, to raise up to $300,000 for its immediate working capital requirements, including the retention of financial and legal advisors to evaluate the Bid and the LOI.

About New Island Resources Inc.

New Island is a diversified junior exploration company holding gold and base metal properties in the province of Newfoundland and Labrador. Additional information concerning New Island may be obtained on New Island's website at [ www.newislandresources.com ], or from the System for Electronic Document Analysis and Retrieval (SEDAR) website at [ www.sedar.com ], under New Island's profile.

ON BEHALF OF THE BOARD OF DIRECTORS

Harold L. Wareham, President & CEO

Statements contained in this release that are not historical facts are forward-looking statements, which involve known and unknown risks and uncertainties not under the company's control, which may cause actual results, performance or achievements of the company to be materially different from the results, performance or expectations implied by these forward-looking statements.

"Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release"