International Northair Mines Ltd. Raises US$4.0 Million on Royalty Transaction with Coeur Capital for La Cigarra Silver Proje...

International Northair Mines Ltd. (TSX VENTURE:INM) (the "Company" or
"Northair") is pleased to announce that it has entered into a Net Smelter Return
("NSR") royalty agreement ("Royalty Agreement") with Coeur Capital, Inc.
("Coeur") for proceeds of US$4.0 million. The 2.5% NSR is payable on future
production from the La Cigarra silver project (the "Project"), located in north
central Mexico. 


"Northair is very pleased to raise funds allowing us to move forward without
diluting our existing shareholders during this difficult time in the resource
industry," said Fred Hewett, President and CEO of Northair. "We appreciate the
support of Coeur and look forward to having them as a long term partner as we
continue to advance La Cigarra. The funds will be used for a drill program to
potentially increase our resource, explore other significant undrilled targets
and to conduct further economic studies." 


Transaction Summary

Under the terms of the Royalty Agreement, the Company will receive US$4.0
million payable for a 2.5% NSR royalty on production from the La Cigarra silver
project. Northair will receive US$2,250,000 of the funds on the effective date
of the Royalty Agreement, which will be followed by US$1,750,000 payable as a
second tranche on September 2, 2014. 


Coeur's parent company, Coeur Mining, Inc., currently owns 20,350,000 common
shares representing 19.4% of the Company's issued and outstanding common shares
and is an insider of the Company. As a result, this transaction is a related
party transaction and subject to valuation and minority voting requirements of
Policy 5.9 of the TSX Venture Exchange and Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions ("MI 61-101"). 


As Northair is not listed or quoted on any prescribed exchange, the transaction
is exempt from the formal valuation requirement of MI 61-101. Northair is
relying on an exemption from the minority approval requirement of MI 61-101 as
described in more detail below.


As previously disclosed, Northair needs to fund $800,000 to exercise its option
to acquire a 100% interest in the original concessions, certain concessions
surrounding the Project and to pay for certain mineral concession and land
taxes. These commitments are in excess of the Company's cash on hand,
accordingly, the Company currently has neither sufficient funds nor reasonably
available financing options to satisfy these commitments.


A special committee (the "Special Committee") of three independent directors of
the Company was constituted to consider the entering into of the Royalty
Agreement with Coeur. The Special Committee has determined unanimously that the
Company is in serious financial difficulty due to its near term financial
commitments, the Royalty Agreement with Coeur is designed to improve the
financial position of the Company, and the terms of the Royalty Agreement are
reasonable in the Company's current circumstances. Accordingly, the Special
Committee recommended to the Board that the Royalty Agreement be approved and
the Board accepted that recommendation. 


Use of Proceeds

Proceeds from the Royalty Agreement will allow Northair to earn a 100% interest
in certain key mineral rights comprising the La Cigarra silver project, as well
as carry out continued exploration that will include 4,000 metres of core
drilling at San Gregorio and Las Carolinas. These two adjacent mineral zones
currently host a Measured and Indicated silver resource of 50.5 million ounces
grading 76 g/t. (see INM PR#13-05 dated February 26, 2013) defined over a strike
length of 2.1 kilometres. The program will also include 1,700 metres of drilling
to test multiple mineral showings and historic mine workings found at the Las
Venadas and Las Chinas targets. These untested mineral showings lie to the south
and extend the La Cigarra mineral trend an additional two kilometers.


Raymond James Ltd. assisted Northair in arranging this transaction with Coeur.

The transaction is subject to the approval of the TSX Venture Exchange.

About International Northair Mines Ltd.

International Northair Mines Ltd is a mineral exploration company engaged in the
acquisition and development of gold and silver properties in Mexico. Northair is
focused on advancing its La Cigarra silver project located in the state of
Chihuahua, which currently hosts a NI 43-101 Resource estimate of 50.4 million
ounces of silver in the Measured & Indicated categories grading 76 g/t silver
and 3.5 million ounces of silver in the Inferred category grading 61 g/t silver
constrained by a Whittle pit shell at an economic cutoff grade of 30 g/t silver
(assuming metallurgical recoveries of 84% silver). The La Cigarra silver deposit
also contains appreciable amounts of lead, zinc and gold as referenced in the
San Gregorio/Las Carolinas Resources Technical Report La Cigarra Project,
Chihuahua Mexico dated effective February 26, 2013. 


ON BEHALF OF THE BOARD,

INTERNATIONAL NORTHAIR MINES LTD.

Fred G. Hewett, P.Eng., President & CEO

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility
for the adequacy or accuracy of this news release. 


This news release may contain forward looking statements which are not
historical facts, such as resource estimates, anticipated results and costs, and
discussions of goals and exploration results, and involves a number of risks and
uncertainties that could cause actual results to differ materially from those
projected. These risks and uncertainties include, but are not limited to, metal
price volatility, volatility of metals production, project development,
resources estimates, future anticipated resources and cost engineering estimate
risks, geological factors and exploration results. See Northair's filings for a
more detailed discussion of factors that may impact expected results.


FOR FURTHER INFORMATION PLEASE CONTACT: 
International Northair Mines Ltd.
Fred Hewett
President & CEO
604-687-7545 or 1-888-338-2200


International Northair Mines Ltd.
Chris Curran
Manager, Corporate Communications
604-687-7545 or 1-888-338-2200
[e-mail]
www.internationalnorthair.com