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disclosures?

posted on Dec 01, 2008 11:20AM

December 1, 2008

MagIndustries Corp.: Clarifying Press Release

TORONTO, ONTARIO--(Marketwire - Dec. 1, 2008) - MagIndustries Corp. (the "Company") (TSX VENTURE:MAA) has been selected by the Corporate Finance Branch of the Ontario Securities Commission (the "OSC") for review of its continuous disclosure record. As a part of this review, the Company has been requested to issue a press release in respect of certain of its previous disclosure.

The Company wishes to clarify certain previous disclosure it has made in respect of the proven and probable reserves for the Kouilou potash project (the "Project") located in the Republic of Congo, more specifically contained in the Technical Report entitled "Reserve Estimate for MagMinerals Makola Permit Area, Kouilou Region, Republic of Congo" dated February 29, 2008 (the "Technical Report"). The Company has now revised certain sections of the Technical Report to ensure that the disclosure of the mineral resources and mineral reserves state both the grade and tonnage of the mineral resource or reserve in accordance with Section 2.2(d) of National Instrument 43-101 -- Standards of Disclosure for Mineral Projects ("NI 43-101"). The changes to the previous disclosure set forth herein do not change the substance of the information previously provided but are being made in order to ensure compliance with the provisions of NI 43-101.

The Company hereby confirms that its mineral resources and mineral reserves at the Kouilou potash project are as set out in the following excerpt taken from the revised Technical Report dated November 3, 2008 prepared by Dr. Henry Rauche and Dr. Sebastiaan van der Klauw and filed on SEDAR at www.sedar.com on December 1, 2008.

The estimated resources of each category for Horizon 1, Horizon 2, Horizon 3 and Horizon 4 are presented in the table below. Already excluded from these resources are areas with geological and technical exclusion zones (approx. 35 % reduction) and mining losses assuming the use of a solution mining method have also been accounted for (approx. 75 % reduction).

-------------------------------------------------------------------------
                              Horizon  Horizon  Horizon  Horizon    Total
                                    1        2        3        4
-------------------------------------------------------------------------
Measured resources
 Million tonnes of                  -     42.0     24.4     97.0    163.4
carnallitite                        -     44.1     90.0     66.3     64.1
Carnallite grade of ore             -     11.8     24.1     17.8     17.2
(%)                                 -      5.0      5.9     17.2     28.1
 KCl grade of ore (%)
 Million tonnes of KCl
-------------------------------------------------------------------------
Indicated resources
 Million tonnes of                  -      9.6      5.3     26.4     41.3
carnallitite                        -     44.1     90.0     66.3     64.1
 Carnallite grade of ore            -     11.8     24.1     17.8     17.2
(%)                                 -      1.1      1.3      4.7      7.1
 KCl grade of ore (%)
 Million tonnes of KCl
-------------------------------------------------------------------------
Inferred resources
 Million tonnes of              427.6    191.9    113.7    482.5   1215.7
carnallitite                     63.6     44.1     90.0     66.3     64.1
Carnallite grade of ore          17.1     11.8     24.1     17.8     17.2
(%)                              73.0     22.7     27.5     85.8    209.0
 KCl grade of ore (%)
 Million tonnes of KCl
-------------------------------------------------------------------------



The estimated reserves of each category for Horizon 2, Horizon 3 and 
Horizon 4 are presented in the table below.

----------------------------------------------------------------------
                               Horizon 2  Horizon 3  Horizon 4   Total
----------------------------------------------------------------------
Proven reserves
 Million tonnes of
  carnallitite                      39.8       23.2       92.0   155.0
 Carnallite grade of ore (%)        44.1       90.0       66.3    64.2
 KCl grade of ore (%)               11.8       24.1       17.8    17.2
 Million tonnes of KCl               4.7        5.6       16.4    26.7

----------------------------------------------------------------------
Probable reserves
 Million tonnes of
  carnallitite                      10.2        4.9       24.6    33.2
 Carnallite grade of ore (%)        44.1       90.0       66.3    63.9
 KCl grade of ore (%)               11.8       24.1       17.8    17.2
 Million tonnes of KCl               1.2        1.2        4.4     6.8

----------------------------------------------------------------------

The authors of the Technical Report, Dr. Henry Rauche and Dr. Sebastiaan van der Klauw, are the qualified persons with respect to the technical reporting and have reviewed and approved the contents of this press release.

MagIndustries Corp. is a Canadian company whose common shares are listed on the TSX-V Exchange and trades in Canadian currency under the symbol "MAA". The Company has 197,814,016 shares outstanding on an undiluted basis. More information on the Company is available at its website, www.magindustries.com.

Except for historical information, this press release contains forward-looking statements, which reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from those statements. Those risks and uncertainties include, but are not limited to, changing market conditions, and other risks detailed from time-to-time in the Company's ongoing filings. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events in this press release might not occur.

Cusip: 55917T 102

Re: disclosures?

kellyj

Dec 01, 2008 12:22PM

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