Jinshan to Extend Warrants as Part of Loan Transaction

Jinshan Gold Mines Inc. announced that conditional upon its promissory note holders consenting to be the unsecured US$19,116,000 (Renminbi (“RMB”) 130,000,000) bridge loan announced on September 8, 2008, Jinshan has agreed to extend the expiry date of warrants issued concurrent with the original issuance of those promissory notes. Accordingly, Jinshan intends to extend to December 14, 2010 the expiry date of 3,860,000 common share purchase warrants to purchase 3,860,000 common shares issued in connection with a note offering that closed in December 2006, and extend to June 26, 2011 the expiry date of 2,450,000 warrants to purchase 2,450,000 common shares in connection with a note offering that closed in June 2007. All of the warrants for which the expiry dates are being extended are held by arm’s length investors.

The warrants, which were scheduled to have expired on December 14, 2008 and June 26, 2009 respectively, will be extended subject to the approval of the Toronto Stock Exchange pursuant to an amendment agreement to the applicable warrant indentures that will become effective September 30, 2008.

Subject to the Toronto Stock Exchange approval, the holders of the warrants may exercise the warrants at the original exercise price of CDN$1.60 per common share in the case of the warrants issued in connection with the December 2006 note offering and CDN$2.50 in the case of the warrants issued in connection with the June 2007 note offering, until the new expiry date. No other terms have been affected.

Jinshan is focused on gold production and acquisitions in China. The company began producing gold at the CSH Gold Mine in July 2007 and is actively advancing its portfolio of gold exploration properties in China. Jinshan’s shares are listed on the Toronto stock exchange under the symbol JIN. China National Gold Corporation, a Chinese state-owned enterprise and the largest gold producer in China owns approximately 42% of Jinshan’s shares.