Nuinsco commissions scoping study to evaluate open pit and underground mining potential at Minago deposit

TORONTO, Aug. 9 /CNW/ - Nuinsco Resources (NWI:TSX) is pleased to
announce that a scoping study has been commissioned to evaluate the potential
of open pit and underground mining at the Minago deposit. Wardrop Engineering
Inc. will carry out the scoping study under the direction of Mr. Dave West,
P. Eng. The study will evaluate the optimum open pit mine design and provide a
preliminary design for underground mining based on an updated block model for
the deposit. The block model was recently completed by MIRARCO and
incorporates the results of the recent exploration drilling program. As an
integral part of the scoping study, a metallurgical test program is currently
being carried by AMEC under the direction of Mr. Tony Lipiec, P. Eng. The
program will evaluate optimum milling and flotation conditions for bulk
mineable ores. Preliminary test work carried out in late 2004 indicated the
potential for reagent optimization.
Brian E. Robertson, President, said, "The Minago deposit has demonstrated
promise and this is the next step in positively redefining this resource. The
scoping study is part of an over-all program to advance this project by
evaluating the bulk mining potential of the deposit in view of higher nickel
prices, advances in mining and metallurgical technology and the deposits
tonnage potential. The Minago deposit has considerable development and
exploration potential and is viewed as an important asset."
The Minago deposit is located in the prolific Thompson Nickel Belt,
approximately 140 kilometres south of Thompson, Manitoba. In 1991, a resource
estimate, not NI 43-101 compliant, was set at 10.6 million tonnes grading
1.19 % nickel. A recent NI 43-101 compliant estimate cited a total measured
and indicated resource of 29.84 million tonnes grading 0.64% nickel, in
addition to an inferred resource of 29.8 million tonnes grading 0.67 % nickel.
Nuinsco's 2005 diamond drilling program returned significant results. Of
particular note was hole N-05-01 in the Main Zone, which returned an interval
of 245.9 metres grading 0.68% nickel, including 28.9 metres grading
1.25% nickel, 16.9 metres grading 1.78% nickel and 59.4 metres grading
1.09% nickel. In the previously little-explored "North Limb", hole N-05-05
intersected 81.3 metres grading 0.59% nickel and 7.6 metres grading
0.65 % nickel within 337.9 metres grading 0.33 % nickel, clearly indicating
the untapped potential of this area.

FORWARD-LOOKING STATEMENTS: Except for statements of historical fact, all
statements in this news release - including, without limitation, statements
regarding future plans and objectives of are forward-looking statements that
involve various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate; actual results and future events could
differ materially from those anticipated in such statements.

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