Merc International Minerals Inc. ("Merc") (TSX VENTURE: MRK) announces that the initial drill results from its gold resource expansion program on the Damoti Lake Gold Project in the Northwest Territories has returned 13.91 grams gold per tonne over 23.50 metres (including 20.95 grams gold per tonne over 9.60 metres) from hole D09-377 and 9.31 grams gold per tonne over 22.30 metres (including 22.06 grams gold per tonne over 4.60 metres) from hole D09-380.

"We are extremely encouraged with these results as they clearly illustrate the high-grade nature and continuity of the Horseshoe Zone mineralization. Drilling continues as we advance our exploration efforts north along the mineralized structure and westward, targeting similar mineralized folds" states Dr. Michael Byron, Merc's President and CEO. "Our confidence is high in Damoti and its potential to evolve into a high-grade, multi-million ounce deposit," added Dr. Byron.

Merc's ongoing 2009 exploration program is designed to expand upon the historic resource (News Release - August 5, 2008) by infilling priority target areas, extending mineralized zones along strike and to depth within the Horseshoe and Pyrite Zones - where the fold nose offers considerable potential - and to test similar mineralized structures 150 metres west of the Horseshoe Zone within the Red Mountain, Pink Antler and Lookout Zones.

The 6,000 metre, 20 to 30 hole initial phase program was initiated on July 1, 2009, and is expected to be completed in October 2009. Approximately 3,000 metres have been drilled to date. Assays have been returned for the first 614 metres and summarized in the table below. Updated maps and drill sections will be available on Merc's website when completed.


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Drill Hole       From          To       Core Length(i)      Grams Per Tonne
              (metres)    (metres)            (metres)                 Gold
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D09-376         Hole abandoned at 51.01 m due to bad ground short of target
                                                             mineralization.
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D09-377         43.00       66.50               23.50                 13.91
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including       43.80       45.80                2.00                 50.83
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including       53.40       63.00                9.60                 20.95
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including       65.00       66.50                1.50                 13.33
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D09-378         53.90       55.35                1.45                  3.50
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                69.00       72.00                3.00                 16.97
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D09-378B        Exploration hole - no significant results.
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D09-379         37.95       41.40                3.45                  2.88
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D09-380         45.70       68.00               22.30                  9.31
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including       45.70       50.30                4.60                 22.06
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including       59.35       60.70                1.35                 15.86
----------------------------------------------------------------------------
including       62.15       66.55                4.40                 13.68
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D09-381         63.00       66.00                3.00                  6.36
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including       63.00       64.50                1.50                 12.10
----------------------------------------------------------------------------

(i) Lengths are reported as core lengths. True widths are not known at this
    time.

These first seven holes, covering approximately 10% of the 2009 drill program, have tested the southern portion of the Horseshoe Zone where mineralization is typically hosted by strongly chloritized and sulphidized banded iron formation within the eastern limb of the syncline. As short holes (88 metre average lengths) targeting shallow mineralization, they are intended to confirm historic drill results and to infill the current resource model presently being advanced by Merc. Drilling is now focussed on following the mineralization down plunge to the north and along the relatively untested western limb of the fold.

Results from holes D09-377 and D09-380 emphasize the excellent grade and continuity of the near surface Horseshoe Zone gold mineralization. Areas of high-grade mineralization are best developed with the top and basal portions of the iron formation unit where gold occurs in association with the sulphide mineral pyrrhotite and, to a lesser extent, pyrite. Intense chloritic alteration and graphite are also prevalent and imparts a distinctive dark green/black colouration to the core. Both are also observed in association with gold.

"Work is advancing well on our three dimensional geological model. Our initial version, based on historical drilling, is complete but will be updated with information as generated from the present drill program", commented Dr. Byron. "We are now able to visualize exciting new target opportunities from our mineralization modelling. The 0.5 grams per tonne gold mineralized shell has been completed for the Horseshoe, Pyrite, Kitchen, and Red Mountain Zones. Construction of 3 and 5 grams per tonne gold shells are in progress and this work will form the basis for our NI 43-101 compliant resource to be completed early in 2010", added Dr. Byron.

A new NI 43-101 compliant resource will use all drilling results to date within the Horseshoe Zone (135 drill holes) as well as the drilling completed in Merc's 2009 program (20 to 30 holes), and include approximately 63 holes not included in the 1997 and 2004 resource estimates. Preliminary drill results and deposit modelling confirm the potential for resource expansion.

Merc has also completed a program of selective re-sampling and analyses of historical drill holes D97-278, D97-282 and D97-311 to validate original gold assays and confirm the high-grades at Damoti, as well as test the mineralization for a "gold nugget effect." Results from this program are expected to be compiled in September 2009.

Quality Control

Merc has implemented a quality-control program to ensure best practice in the sampling and analysis of the drill core. NQ-size drill core is saw cut and half the drill core is sampled in standard intervals not exceeding 1.5 metres in length while core from the main mineralized horizons or core displaying visible gold or significant sulfides are sampled in greater detail generally not exceeding 1 metre in length. The remaining half core is stored in a secure location.

Core samples are transported in security-sealed bags for analyses at ALS Chemex Assay Laboratory in Vancouver, BC. ALS Chemex is an ISO 9001:2000 certified laboratory. Gold assaying is done by a fire assay - atomic absorption spectrometry method on a 30-gram charge of a 1000 gram pulp. Samples returning values exceeding 3 gpt Au are re-checked by fire assay with a gravimetric finish. Pulp and metallics assaying for gold is conducted on the entire pulverized sample for all samples within the main mineralized horizons and those samples with visible gold or significant sulfides.

As part of its QA/QC program, Merc inserts external gold standards (low to high grade) and blanks every 20 samples. This is in addition to the standards, blanks and pulp duplicates inserted by ALS Chemex. In addition, samples of pulps have been collected from ten percent of all samples analyzed and will be submitted to a second independent laboratory for comparison purposes.

The Damoti Lake Gold Project is being supervised by William Waychison, M.Sc.A., P.Geo, the Qualified Person (QP) for this project.

This news release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements. The Company disclaims any intention or obligation to revise or update such statements.

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 release.

Contacts: Merc International Minerals Inc. Dr. Michael Byron 705-560-2382 705-560-0765 (FAX) info@mercinternational.ca

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