Press release: Weda Bay ? Pre-feasibility study confirms robust project

Weda Bay Minerals Inc (WDA) has completed its Pre-Feasibility Study for a nickel/cobalt pressure acid leach project based on its extensive laterite deposits on Halmahera Island, Indonesia, held under its Seventh Generation Contract of Work. The study, undertaken by a Joint Venture of Kvaerner Process (Australia) Pty Ltd www.kvaerner.com and Hatch Associates Pty Ltd www.hatch.ca was completed on time and within budget.

The results of the Study demonstrate the Weda Bay project is robust at varying capital costs and production levels. The base case in the Pre-Feasibility Study yields average annual production of 48,500 tonnes of nickel and 4,600 tonnes of cobalt over a 20-year project life. Peak production occurs in years 3 to 5 when 52,600 tonnes of nickel and 5,100 tonnes of cobalt are produced each year. The operating cost averages 97 cents per pound of nickel, exclusive of cobalt credit, in a mixed sulphide intermediate product.

Upon reviewing the study, the Joint Operating Committee involving WDA and OM Group Inc. (OMG) determined that the project would be further enhanced by increasing plant throughput and optimising the plant feed grade before deciding on the size and cost of the project. To achieve these objectives, a six month program of additional resource drilling, detailed metallurgical testwork and infrastructure studies will be completed prior to the commencement of the bankable Feasibility Study. This programme will ensure a strong resource and substantive technical foundation for the Feasibility Study, expected to be completed in June 2002.

Funding for the extended program will be provided by OMG within the existing arrangements.

WEDA BAY MINERALS INC.

"Louis A. Clinton", President

Contacts: John E. Lynch, Level 2 -- 120 Wickham St., Fortitude Valley, Queensland, Australia 4006, Telephone 61 7 3250 2200 Fax 61 7 3250 2277, E-mail jlynch@wedabay.com.au;

R. Michael Garvey or Ian Shaw, 12th Floor, 20 Toronto Street

Toronto, ON, Canada M5C 2B8, Telephone 416 603 0591 Fax 416 367 3638, E-mail info@wedabay.com. (*)