Announces Closing of Private Placement Offerings

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100%-owned Mary River iron ore deposits, Baffin Island, Nunavut Territory, Canada.

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Announces Closing of Private Placement Offerings

posted on Apr 02, 2009 02:31AM

April 1, 2009

Baffinland Announces Closing of Private Placement Offerings

TORONTO, ONTARIO--(Marketwire - April 1, 2009) - Baffinland Iron Mines Corporation ("Baffinland" or the "Company") (TSX:BIM) announced today that Baffinland has received $4,213,547.16 that was held in escrow in connection with a private placement of common shares and subscription receipts to Resource Capital Fund IV L.P. ("Resource LP") that closed on December 11, 2008. The funds were held in escrow in respect of 22,176,564 subscription receipts (the "Subscription Receipts") issued to Resource LP, which entitled Resource LP to acquire one common share of the Company for no additional consideration at any time prior to June 1, 2009 on notice being given that the Company and its shareholders have approved certain amendments to its shareholder rights plan and any other escrow release conditions having been met. The shareholders of Baffinland approved an amended and restated shareholders rights plan agreement (the "Rights Plan") at an annual and special meeting of shareholders held on March 24, 2009. On April 1, 2009 Baffinland and Resource LP jointly waived a condition of the subscription agreement between the parties requiring that 61 days have elapsed since the date of the approval of the Rights Plan, and Resource LP exchanged the Subscription Receipts for 22,176,564 common shares of the Company.

The proceeds released from escrow will be used to continue exploration activities at the Mary River project and for general corporate purposes.

Baffinland is a Canadian publicly-traded junior mining company that is focused on its wholly-owned Mary River iron ore deposits located on Baffin Island, Nunavut Territory, Canada. Baffinland's shares trade on the Toronto Stock Exchange under the trading symbol BIM.

Please visit Baffinland's website at www.baffinland.com, email info@baffinland.com.

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