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TORONTO, March 30 /CNW/ - Equinox Minerals Limited (TSX:EQN) (ASX:EQN) ("Equinox" or the "Company") today commented on the
announcement by Lundin Mining Corporation ("Lundin") and Inmet Mining
Corporation ("Inmet") on March 29, 2011 that Lundin and Inmet have
mutually terminated the merger of equals agreement dated January 12,
2011. The reason for termination as per Mr Phil Wright's comments
(President and CEO of Lundin) "We have however agreed to mutually terminate the agreement on the grounds that
we could not reach a position that we thought would be supported by
both companies' shareholders" provides further support that the Equinox offer to acquire Lundin (the
Equinox "Offer") is, by any measure, the most attractive alternative
for Lundin shareholders.


Equinox also notes Lundin's announcement on March 29, 2011 that its
Board of Directors has adopted a Shareholder Rights Plan (the "Rights
Plan"). This is a common delay tactic adopted by recipients of
unsolicited acquisition approaches in North America. Equinox notes
that, as disclosed in Lundin's and Inmet's notice of meeting and joint
information circular dated February 9, 2011, Lundin conducted a
strategy session in September 2010, almost six months ago, during which
a number of strategic alternatives were discussed. The outcome of this
strategy session was the approach and ultimate agreement to a
nil-premium merger with Inmet, which was announced on January 12,
2011. However, Mr Wright has today said that he wants to again "explore all alternatives to bring value to Lundin shareholders" and that "the Rights Plan ensures that [Lundin] can do this in a considered and
structured way and get the best result for [Lundin] shareholders". Equinox believes that Lundin has already had every opportunity to do
just this in the months leading up to the execution of its agreement
with Inmet.


During the eleven weeks that have followed the announcement of the
Inmet-Lundin proposal, Equinox's Offer is the only alternative that has
emerged. Equinox does not believe that Lundin's proposed further
review process at this point in time can be considered likely to result
in a superior proposal to Equinox's Offer, which remains the only clear
and compelling offer available to Lundin shareholders.


Equinox's President and Chief Executive Officer, Craig Williams,
commented, "Our offer has always been and remains the clear and compelling choice
for Lundin shareholders. It provides them with the flexibility to
receive significant value in cash now or to benefit over the long term
by participating in the potential of a leading pure-play copper company
with a portfolio of world-class assets and a strong growth profile."


Clear Choice for Lundin Shareholders: Superior Value and Flexibility


Since it was announced, Equinox's Offer has been the superior
alternative for Lundin shareholders. During this period, Lundin shares
have traded in line with the implied value of the Equinox Offer on the
TSX. Equinox's Offer of C$8.10 per share, based on Equinox's share
price prior to announcement of the Offer, reflects a 26% premium to the
closing price of Lundin shares on the TSX of C$6.45 per share on
February 25, 2011 (the last trading day before the announcement of the
Offer). Moreover, with the flexibility to choose between Equinox
shares or cash, the Equinox Offer provides Lundin shareholders with the
opportunity to select the consideration that best suits their
individual preferences.


As previously disclosed, the Equinox Offer is now open to Lundin
shareholders who are residents of Sweden. The Offer will remain open
to all Lundin shareholders until 6:00pm on April 14, 2011 unless
withdrawn or extended. Equinox intends to list its shares on the OMX
and looks forward to welcoming Swedish investors onto its register.


Combined Company Well-Positioned to Create Long-Term Value for
Shareholders


Together Equinox and Lundin will have a geographically diverse portfolio
of expandable copper assets with a production growth target of 500,000
tonnes per annum of copper. Equinox will be able to leverage its
considerable experience in both exploration and construction to pursue
both the expansion potential of this high-quality portfolio and the
considerable exploration potential surrounding these operations.


Those Lundin shareholders who elect to receive Equinox shares will be
able to participate in the value created through this combination
through exposure to one of the most attractive, lower-risk copper
growth profiles in the sector with confidence that this increased
copper production will be delivered into the expected near term
strength in copper prices.




How to Tender Your Shares to the Equinox Offer


A copy of the Equinox bid circular and related documents has been mailed
to all Lundin shareholders. Equinox encourages Lundin shareholders to
read the formal offer and take-over bid circular, which contain the
full terms and conditions of the offer as well as detailed instructions
on how Lundin shareholders can tender their common shares to the
offer. Copies of the Offer, take-over bid circular and related
documents as well as a presentation summarizing the benefits of the
Offer are available online at
copper producing companies.


Equinox recently acquired the Jabal Sayid project as the project entered
the construction phase with first production scheduled for 2012. Jabal
Sayid is located within the Arabian Shield minerals province, 350
kilometres north-east of the Red Sea port city of Jeddah, the
commercial capital of Saudi Arabia, and 120 kilometres south-east of
Medina.


For information on Equinox and technical details on the Lumwana and
Jabal Sayid projects please refer to the company website at http://www.equinoxminerals.com/">www.equinoxminerals.com


Cautionary Notes


Forward-Looking Statements