100% Increase Co-O Mine JORC Reserve

 
TIDMMML 
 
MEDUSA MINING LIMITED 
                                                  ABN: 60 099 377 849 
                                            Unit 7, 11 Preston Street 
                                                       Como  WA  6152 
                                                           PO Box 860 
                                          Canning Bridge  WA  6153 
                                        Telephone:  [phone] 
                                           Facsimile:  [phone] 
                                    Email:  [e-mail] 
                                    Internet: www.medusamining.com.au 
 
 
17 July 2009 
 
               Co-O MINE RESERVE NOW  500,000  OUNCES 
 
Medusa Mining Limited ("Medusa" or the "Company"), through its 
Phillipines operating company, Philsaga Mining Corporation 
("Philsaga"), advises that it has completed a JORC compliant Ore 
Reserve estimation for the Co-O Mine. 
 
The Probable Reserve as at 14 June 2009, now stands at 1,041,000 
tonnes at 14.9 g/t gold containing 500,000 ounces of gold. 
 
This represents an increase of 101% or 251,000 ounces over the 
Probable Reserve of 249,000 ounces at 10.8 g/t gold announced in 
August 2008.  Mine depletion since the 2008 estimate is excluded from 
the new estimate.  This ore reserve will allow an approximate 5 year 
mine life at a production rate of 100,000 ounces per year. 
 
Crosscut Consulting of Queensland, Australia was contracted to 
complete a reserve estimation based on the resource wireframe model 
provided by Cube Consulting Pty Ltd.  An Indicated and Inferred 
Resource totalling 1,380,000 ounces at a grade of 10.8 g/t gold was 
announced on 1 July 2009. 
 
The Probable Reserve was estimated from an Indicated Resource of 
1,250,000 tonnes at 15.0 g/t gold containing 603,000 ounces of gold. 
 The estimate was based on a gold price of US$900 per ounce and a 
stope cut-off grade of 3.3 g/t gold. 
 
Geoff Davis, Managing Director of Medusa commented: 
"A mine life of 5 years based on reserves is a major achievement for 
a narrow vein mine, and is the culmination of over 40,000 metres of 
drilling and over 6,000 metres of underground development that has 
been completed during the last year. The Company anticipates that it 
will be able to maintain this level of reserves on a yearly basis 
through continuing conversion of inferred resources to reserves as 
the mine develops". 
 
For further information, please contact: 
 
 
Medusa Mining Limited                   [phone] 
Geoffrey Davis, Managing Director 
Roy Daniel, Finance Director 
 
Fairfax I.S. PLC                        [phone] 
Nominated Adviser/Joint Broker 
Ewan Leggat 
 
Mirabaud Securities Limited             [phone] 
Joint Broker 
Peter Krens 
 
Lothbury Financial                      [phone] 
Michael Padley/Libby Moss 
 
 
JORC COMPLIANCE - CONSENT OF COMPETENT PERSONS 
 
Medusa Mining Limited 
Information in this report relating to Exploration Results, is  based 
on information compiled  by Mr Geoff  Davis, who is  a member of  The 
Australian Institute  of  Geoscientists.  Mr Davis  is  the  Managing 
Director of Medusa Mining Limited and has sufficient experience which 
is relevant to the style of mineralization and type of deposits under 
consideration and to the activity which he is undertaking to  qualify 
as a  Competent  Person  as  defined  in  the  2004  Edition  of  the 
"Australian  Code  for  Reporting  of  Exploration  Results,  Mineral 
Resources and Ore Reserves".  Mr Davis consents  to the inclusion  in 
the report of the  matters based on his  information in the form  and 
context in which it appears. 
 
Cube Consulting Pty Ltd 
Information  in  this  report  relating  to  Mineral  Resources   has 
been estimated and complied by  Mark  Zammit  of Cube Consulting  Pty 
Ltd. Mr Zammit is a member of  The Australasian Institute of Mining & 
Metallurgy and  has  sufficient experience  that is  relevant to  the 
style of mineralisation and type  of deposit under consideration  and 
to the activity  which he is  undertaking to qualify  as a  Competent 
Person as defined  in the 2004  Edition of the  "Australian Code  for 
Reporting  of  Exploration   Results,  Mineral   Resources  and   Ore 
Reserves". Mr Zammit consents to the  inclusion in the report of  the 
matters based on his information in the form and context in which  it 
appears. 
 
Cube Consulting is an independent Perth based resource industry 
consulting firm specialising in geological modelling, resource 
estimation and information technology. 
 
Crosscut Consulting 
The information in this report that relates to Ore Reserves is based 
on information compiled by Declan Franzmann, B Eng (Mining), MAusIMM. 
 Mr Franzmann is a full-time employee of Crosscut Consulting. 
 
Mr Franzman has sufficient experience which is relevant to the style 
of mineralisation and type of deposit under consideration and to the 
activity which they are undertaking to qualify as Competent Persons 
as defined in the 2004 Edition of the "Australasian Code for 
Reporting of Exploration Results, Mineral Resources and Ore 
Reserves". Mr Franzmann consents to the inclusion in the report of 
the matters based on his information in the form and context in which 
it appears. 
 
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This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.