HMG Hana Mining Ltd.

Hana Mining Ltd. ("Hana" or the "Company") (TSX VENTURE:HMG)(FRANKFURT:4LH) is
pleased to report that it has closed the non-brokered private placement
previously announced on January 26, 2012. The private placement consists of
11,054,648 common shares at a price of Cdn$1.35 per share for gross proceeds of
Cdn$14,923,775. Shares issued pursuant to the private placement will be subject
to a 4 month hold period expiring on June 4, 2012.


Cupric Canyon Capital LP ("Cupric"), which is owned by its management and the
Barclays Natural Resource Investments division of Barclays Capital, acquired
6,250,000 of the newly issued shares and now holds 10% of the Company's issued
and outstanding shares. Cupric is focused on acquiring interests in undeveloped
copper assets with a known resource and adding value to them by assisting in the
advancement of the projects through the development process. The management of
Cupric, all of whom are former senior executives with major mining companies
including Phelps Dodge Corporation, has decades of experience in the
exploration, development and operation of world-class copper assets.


Hana Mining's CEO and Chairman, Marek Kreczmer, commented as follows:

"This agreement is the culmination of many months of building a relationship
between the Company and Cupric. Cupric's management team brings valuable
experience in the development and operation of copper projects in North America,
South America and Africa, most notably the world-class Tenke Fungurume
copper-cobalt mine in the Democratic Republic of Congo. I look forward to
working with the management of Cupric towards the development of the Ghanzi
Project. With this financing in place we are able to proceed with our Cdn$18
million budget for 2012. In addition to completing the PEA, we will submit the
Feasibility Study to the Botswana Ministry of Minerals, Energy and Water
Resources and will allocate Cdn$5 million for a multiphase regional exploration
campaign outside of the Banana Zone at Ghanzi."


"I also wish to acknowledge the other five long term shareholders who have
participated in this placement."


The CEO of Cupric, Dennis Bartlett, commented as follows:

"We are pleased to have an opportunity to participate in this private placement
by Hana Mining. With this investment, we look forward to collaborating with
Marek and his team in an effort to further advance the Ghanzi Project, which we
believe is one of the most highly prospective undeveloped copper resources in
the world today."


Proceeds from this placement will be used to complete both the Preliminary
Economic Assessment and the Feasibility Study and to advance the regional
exploration and development of the Ghanzi project and related working capital
and general corporate purposes.


Finders' fee of approximately 2.9%, payable in cash, will be paid on the private
placement.


The private placement has been conditionally accepted by the TSX Venture Exchange.

About Hana Mining's Ghanzi Copper-Silver Project in Botswana:

The Ghanzi Project is located in the center of the Kalahari Copper Belt in
northwestern Botswana. The Ghanzi property covers 2,149 square kilometres, and
contains sediment-hosted copper-silver deposits with a demonstrated cumulative
tested strike length of 70 kilometres. This favorable geology extends over an
estimated strike length of 600 kilometres. Hana Mining released results of its
most recent NI 43-101 compliant resource estimate for the Ghanzi Project on
December 20, 2010, announcing an Indicated mineral resource of 585 million
pounds of copper and 12 million ounces of silver from 19.7 million tonnes at a
grade of 1.35% copper and 19.7 g/t silver. All of the Indicated resources are
from the Banana Zone. There are also Inferred resources of 2.4 billion pounds of
copper and 40.6 million ounces of silver from 91.2 million tonnes. This Inferred
mineral resource estimate consists of 69.9 million tonnes grading 1.10% Cu and
14.98 g/t Ag in the Banana Zone, 13.4 million tonnes grading 1.66% Cu and 12.11
g/t Ag in Zone 5, 6.3 million tonnes grading 1.5% Cu and 6.7 g/t Ag in Zone 6,
and 1.6 million tonnes grading 0.85% Cu and 6.4 g/t Ag in the Chalcocite Zone;
all at a cut-off grade of 0.75% Cu.


The Banana Zone exhibits certain areas of higher grade Cu and Ag mineralization,
particularly between sections 49700 to 52000 on the North limb and sections
63000 to 71000 on both the North and South limbs, which represent an opportunity
to locate starter pits and mine initial tonnages at higher than average grades.
These higher grade pockets tend to be well within open pit depth parameters and
represent opportunities to improve early cash flow and overall returns in
development.


The project will benefit from proposed rail and power infrastructure expansions,
along with proximity to local population centers and workforce. A feasibility
study is currently underway (funded by the World Bank and the governments of
Botswana and Namibia) to support completion of a rail line link that would
connect Botswana with the Namibian port of Walvis Bay, on the Atlantic coast.
The closest existing railhead to port is at Gobabis, in Namibia, approximately
550 km from our property. Construction has begun on the 600MW expansion of the
government-owned Moropule Power Plant, having secured US$825 million project
funding in May 2009. The Ghanzi Copper- Silver Project is currently accessed by
the paved Trans-Kalahari highway, which passes within 15 km of the property.


The Ghanzi property is one of Africa's premier future copper-silver resources.

This news release includes certain "forward-looking statements" within the
meaning of applicable securities laws. All statements, other than statements of
historical fact, included herein including, without limitation, statements
relating to the Company's future performance, are forward-looking statements.
Forward-Looking statements are frequently, but not always, identified by words
such as "plans", "expects", "anticipates", "believes", "intends", "estimates",
"potential", "possible" and similar expressions, or statements that events,
conditions or results "will", "may", "could", or "should" occur or be achieved.
These forward-looking statements may include statements regarding perceived
merit of properties; exploration results and budgets; mineral reserves and
resource estimates; work programs; capital expenditures; timelines; strategic
plans; completion of transactions; market price of metals; or other statements
that are not statements of fact. Forward-looking statements involve various
risks and uncertainties. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from our expectations include
the uncertainties involving the need for additional financing to explore and
develop properties and availability of financing in the debt and capital
markets; uncertainties involved in the interpretation of drilling results and
geological tests and the estimation of reserves and resources; the need for
cooperation of government agencies in the development and operation of
properties; the need to obtain permits and governmental approvals; risks such as
accidents, equipment breakdowns, bad weather, non-compliance with environmental
and permit requirements, unanticipated variation in geological structures, ore
grades or recovery rates; unexpected cost increases; fluctuations in metal
prices and currency exchange rates; and other risk and uncertainties disclosed
in reports and documents filed by the Company with applicable securities
regulatory authorities from time to time. The forward-looking statements made
herein reflect our beliefs, opinions and projections on the date the statements
are made. Except as required by law, we assume no obligation to update the
forward-looking statements of beliefs, opinions, projections, or other factors,
should they change.

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