Elgin Mining Reports Record Second Quarter 2013 Production, Updated Mineral Resource and Reserve Estimates for Björkdal Gold...

Elgin Mining Inc. ("Elgin Mining" or the "Company") (TSX:ELG)(TSX:ELG.WT) is
pleased to announce record production results for the second quarter of 2013 and
updated mineral resource and reserve estimates for its Bjorkdal gold mine in
Sweden. The Company also provides ongoing operational and corporate details.


Second Quarter 2013 Production

During the second quarter the Company reported record quarterly production of
12,343 ounces of gold as detailed in the following table: 




---------------------------------------------------------------------------
                                                               Q2 versus Q1
                          Q2-2013     Q1-2013     1H-2013          % Change
---------------------------------------------------------------------------
Tonnes milled             322,886     295,155     618,041                 9
Tonnes per day              3,548       3,280       3,415                 8
Au grade (g/t)               1.37        1.18        1.28                16
Recovery %                   86.6        89.4        87.8                -3
Gold production (ozs)      12,343      10,034      22,377                23
---------------------------------------------------------------------------



Increased production was due to a combination of higher open pit and underground
head grades, and a higher proportion of underground ore feed to the mill. During
the quarter, several more pieces of the underground fleet were delivered and
hiring of the mining crews has proceeded as planned as part of the ongoing
transition to owner operated mining. 


Ongoing Operational Plans

With the recent and ongoing volatility in the gold price, the Company has taken
several steps to ensure it remains on sound financial footing. One of the main
focal points is, and will continue to be, ensuring that the Bjorkdal mine can
operate with positive cash flow. To that end, the Company is in the process of
developing a flexible mine plan combining the most optimum feed of open pit,
underground and stockpile ore. During the early days of the operation, the mine
stockpiled low-grade material with an average gold grade of between 0.6 g/t and
0.7 g/t. There are approximately 1.5 million tonnes of this material stockpiled
on surface which can be mined and processed with a healthy profit margin at
current gold prices. With the mine now having its own dedicated underground
mining fleet, the mining and development rate can be optimized in terms of
tonnes, grade and capital development in order to minimize cash cost/tonne to
the mill and maintain sustaining capex at the optimum level for lower gold
prices. 


The new mine plan will be finalized over the next 2-3 months and will be
designed to ensure that if there is a strong recovery in the current gold price
the underground feed rate can be ramped back to current levels.  


The Company will also continue with its efforts to optimize mining methods in
terms of mine dilution and provide improved margins per tonne. 


Furthermore, all capital cost expenditures at the mine will be reduced to those
deemed absolutely necessary with others deferred.


Updated Resource and Reserve Estimates for Bjorkdal Mine

The mineral resource and reserve estimation has been prepared by Elgin Mining,
under the direction of James A. Currie, P.Eng., Chief Operating Officer of Elgin
Mining, George Friesen, P.Eng., Technical Manager of Elgin Mining and Gordon
Clarke, P.Geol., Vice President, Exploration of Elgin Mining. Messrs. Currie,
Friesen, and Clarke are Qualified Persons for the purposes of National
Instrument 43-101 ("NI-43-101") and have reviewed and approved the contents of
this news release, as applicable.


Wardell Armstrong International Ltd. ("WAI"), an independent contractor from the
United Kingdom, prepared an updated block model and calculated an updated
resource classification for the Bjorkdal Mine, incorporating drill data from
2,245 holes up to April 23, 2013 and underground chip samples up to December 12,
2012. The block model used Datamine software and Ordinary Kriging. The resource
classification is in accordance with the Australian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves (JORC Code (2004)). The
WAI block model was reviewed and approved by Messrs. Currie, Friesen, and Clarke
and used in the estimation of the open pit resource and reserve estimates by Mr.
Currie and the underground reserve estimates by Mr. Friesen.


Highlights:



--  Overall mineral reserves have increased to 324,313 ounces gold, net of
    mine depletion which represents an increase of 2% as compared to the
    mineral reserve estimate completed in March 2012 (see Gold-Ore Resources
    Ltd. News Releases dated March 5 and 27, 2012); 
    
--  Underground reserves have increased to 139,089 ounces gold, net of mine
    depletion which is an increase of 24%. 
    
--  Overall Measured and Indicated Resources have also increased from
    975,000 ounces to 1,010,000 ounces gold. 



Mineral Resource Estimates



----------------------------------------------------------------------
                          Tonnages and Grades                         
----------------------------------------------------------------------
Resource Type    Cut-off               Measured              Indicated
----------------------------------------------------------------------
                      Au      Tonnage        Au     Tonnage         Au
                   (g/t)    (000's t)     (g/t)   (000's t)      (g/t)
----------------------------------------------------------------------
Open Pit            0.32         51.8      1.65       6,469       1.10
----------------------------------------------------------------------
Underground         0.60          162      2.42      10,976       2.17
----------------------------------------------------------------------
Totals                          213.8      2.23      17,445       1.77
----------------------------------------------------------------------
                                Ounces                                
----------------------------------------------------------------------
Resource Type                          Measured              Indicated
                 Cut-off                  (ozs)                  (ozs)
----------------------------------------------------------------------
Open Pit            0.32                  2,746                229,611
----------------------------------------------------------------------
Underground         0.60                 12,624                765,319
----------------------------------------------------------------------
Totals                                   15,370                994,930
----------------------------------------------------------------------

-----------------------------------------------------------
                    Tonnages and Grades                    
-----------------------------------------------------------
Resource Type    Measured + Indicated              Inferred
-----------------------------------------------------------
                   Tonnage         Au     Tonnage       Au 
                 (000's t)      (g/t)   (000's t)     (g/t)
-----------------------------------------------------------
Open Pit             6,521       1.11     2,216.4      1.57
-----------------------------------------------------------
Underground         11,139       2.17       9,003      2.21
-----------------------------------------------------------
Totals              17,660       1.78    11,219.4      2.08
-----------------------------------------------------------
                           Ounces                          
-----------------------------------------------------------
Resource Type    Measured + Indicated              Inferred
                                (ozs)                 (ozs)
-----------------------------------------------------------
Open Pit                      232,357               111,907
-----------------------------------------------------------
Underground                   777,944               640,972
-----------------------------------------------------------
Totals                      1,010,301               752,879
-----------------------------------------------------------
Note: Totals may differ due to rounding                                     



Mineral Reserve Estimates

Open Pit Reserves



         ---------------------------------------------------------
                              Tonnes          Grade         Ounces
         Reserves (1)       (1000's)          (g/t)           (Au)
         ---------------------------------------------------------
         Proven                 49.6           1.48          2,366
         ---------------------------------------------------------
         Probable            5,454.4           1.04        182,858
         ---------------------------------------------------------
         Totals(ii)            5,504           1.05        185,224
         ---------------------------------------------------------
(1) Cut off - 0.34 g/t; Gold Price $1500/Oz USD; Adjusted for January,      
February and March 2013 production; Strip Ratio 4.5; 25% dilution           
Note: Totals may vary due to rounding                                       



Underground Reserves



         ---------------------------------------------------------
                              Tonnes          Grade         Ounces
         Reserves (1)       (1000's)          (g/t)           (Au)
         ---------------------------------------------------------
         Proven                 36.2           2.02          2,357
         ---------------------------------------------------------
         Probable            2,054.7           2.07        136,732
         ---------------------------------------------------------
         Totals(ii)          2,090.9           2.07        139,089
         ---------------------------------------------------------
(1) Cutoff grade 1.15 g/t; 2.5 m selectivity; Adjusted for January, February
and March 2013 production; Gold Price $1500/Oz USD; 80% mining recovery; 30%
mining dilution                                                             
(ii)Totals may vary due to rounding                                         



In order to minimize the effects of the coarse nugget gold at the Bjorkdal mine,
the Company has elected to submit 100% of diamond drilling core for analysis,
rather than retaining half of the core for archive. This provides a much larger
sample for gold analysis and theoretically a more representative result. The
core is logged and photographed, and for the zones sampled, the entire core is
shipped to ALS Chemex laboratory in Pitea, Sweden and 500 grams are analyzed for
gold using an accelerated cyanide leach process. A rigorous quality assurance
and quality control program for both diamond drill and reverse circulation drill
samples is employed that involves the insertion of blanks and certified
standards. 


A technical report supporting the disclosure of the updated mineral resource and
reserve estimates will be prepared as a NI 43-101 compliant Technical Report and
filed under Elgin Mining's profile on SEDAR at www.sedar.com within 45 days of
this news release.


Corporate Update

The Company has recently made further cuts to its corporate staff and reduced
spending on all other projects, in order to reduce overhead and preserve the
Company treasury in light of the lower gold price environment and weak capital
markets. Corporate G&A costs have now been reduced to a level that the Company
believes is sustainable in the current environment. 


Director Resignation

The Company also announces that Mr. Robert Buchan has decided to step down as a
director to the Company to focus on other business commitments. Mr. Buchan has
been instrumental in the development and growth of the Company and we thank him
for his most valued contribution over the past five years. 


Elgin Mining Inc.

Elgin Mining is a Canadian based company focused on production at the Bjorkdal
Gold Mine in Sweden. In addition, Elgin Mining's portfolio includes the advanced
stage Lupin gold mine and the Ulu gold project in Nunavut, Canada, a 29.5%
interest in Auracle Resources Ltd., which is exploring the Mexican Hat property
in Arizona, and an option to earn a 60% interest in North Arrow Minerals Inc.'s
Contwoyto gold project located adjacent to the Lupin gold mine in Nunavut,
Canada. Elgin Mining also selectively reviews opportunities to add advanced
stage development projects to its portfolio.


For further information, please visit the Company's web site at www.elginmining.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: 

This news release contains "forward-looking information" within the meaning of
Canadian securities legislation and "forward-looking statements" within the
meaning of the United States Private Securities Litigation Reform Act of 1995.
Except for statements of historical fact relating to the Company, information
contained herein constitutes forward-looking statements, including any
information as to the Company's strategy, plans or future financial or operating
performance. Forward-looking statements are characterized by words such as
"plan," "expect", "budget", "target", "project", "intend," "believe",
"anticipate", "estimate" and other similar words, or statements that certain
events or conditions "may" or "will" occur. Forward-looking statements are based
on the opinions, assumptions and estimates of management considered reasonable
at the date the statements are made, and are inherently subject to a variety of
risks and uncertainties and other known and unknown factors that could cause
actual events or results to differ materially from those projected in the
forward-looking statements. 


These factors include risks relating to variations in the mineral content within
the material identified as mineral reserves and mineral resources from that
predicted, changes in development or mining plans due to changes in logistical,
technical or other factors, the impact of general business and economic
conditions, global liquidity and credit availability on the timing of cash flows
and the values of assets and liabilities based on projected future conditions,
fluctuating metal prices and currency exchange rates, possible variations in ore
grade or recovery rates, changes in accounting policies, changes in the
Company's corporate resources, changes in project parameters as plans continue
to be refined, changes in project development and production time frames, the
possibility of project cost overruns or unanticipated costs and expenses, higher
prices for fuel, steel, power, labour and other consumables contributing to
higher costs and general risks of the mining industry, failure of plant,
equipment or processes to operate as anticipated, unexpected changes in mine
life, unanticipated results of future studies, seasonality and unanticipated
weather changes, costs and timing of the development of new deposits, success of
exploration activities, successful completion of proposed acquisitions,
permitting time lines, government regulation of mining operations, environmental
risks, unanticipated reclamation expenses, title disputes or claims, limitations
on insurance coverage and timing and possible outcome of pending litigation and
labour disputes as well as those risk factors discussed or referred to in the
Company's Annual Information Form dated March 22, 2013, a copy of which is filed
on SEDAR at www.sedar.com. Although the Company has attempted to identify
important factors that could cause actual actions, events or results to differ
materially from those described in forward-looking statements, there may be
other factors that cause actions, events or results not to be anticipated,
estimated or intended. 


There can be no assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ materially from those
anticipated in such statements. The Company undertakes no obligation to update
forward-looking statements if circumstances or management's estimates,
assumptions or opinions should change, except as required by applicable law. The
reader is cautioned not to place undue reliance on forward-looking statements.
The forward-looking information contained herein is presented for the purpose of
assisting investors in understanding the exploration and development plans and
objectives and may not be appropriate for other purposes.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Elgin Mining Inc.
Patrick Downey
President and Chief Executive Officer
[phone]
[phone] (FAX)
[e-mail]
www.elginmining.com