ELGIN MINING REPORTS THIRD QUARTER 2010 RESULTS

TORONTO, Nov. 9 /CNW/ - Elgin Mining Inc. (TSX-V: ELG) (formerly Phoenix Coal Inc., TSX: PHC) ("Elgin" or the "Company") reported its financial results for the three and nine months ended September 30, 2010. The consolidated financial statements for the three and nine months ended September 30, 2010 and notes thereto, along with Management's Discussion and Analysis are available at www.sedar.com and www.elginmining.com. Unless otherwise noted, all financial information is expressed in U.S. dollars.

Third Quarter 2010 Highlights

    
    -   For the three months ended September 30, 2010, the Company generated
        net income of approximately $1,472,706, or $0.03 per share, primarily
        the result of unrealized gains on foreign exchange and marketable
        securities. For the nine months ended September 30, 2010, the Company
        generated net income of approximately $2,943,612, or $0.06 per fully
        diluted share, which includes a gain on the sale of coal assets of
        $8,792,177.

    -   At September 30, 2010, the Company had $45,619,657 in cash and cash
        equivalents. The Company also had restricted cash, cash equivalents
        and certificates of deposit as collateral for letters of credit for
        reclamation bonding and escrowed funds from the sale of its surface
        mining operations of $4,733,391.
    

On November 3, 2010, the TSX Venture Exchange (the "TSXV") issued a bulletin announcing the listing of the common shares of Elgin Mining Inc. ("Elgin") on November 4, 2010. Concurrently, the common shares of the Company were de-listed from the Toronto Stock Exchange. The Company's common shares are listed on the TSXV under the symbol "ELG".

The Board of Directors has approved the issuance of 150,000 options to an employee of the Company. The options vest over a two year period, with an exercise price of Cdn$1.42 based on the closing price of Elgin's shares on the TSXV on November 8, 2010. 150,000 shares of the Company have been reserved for the issuance of shares upon exercise of these options and granting of the options is subject to the approval of the TSXV.

About Elgin Mining Inc. (formerly Phoenix Coal Inc.)

Elgin Mining Inc. is located in Toronto, Ontario and is currently evaluating the potential acquisition of assets in the global natural resource sector. For additional information, visit www.elginmining.com.

FORWARD-LOOKING STATEMENTS

Certain information set forth in this press release contains "forward-looking statements", and "forward-looking information" under applicable securities laws. Except for statements of historical fact, certain information contained herein constitutes forward-looking statements which include the expected timing of the commencement of trading of Elgin's shares and warrants on a consolidated basis and management's assessment of Elgin's future plans and operations and are based on Elgin's current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. Some of the forward-looking statements may be identified by words such as "expects", "anticipates", "believes", "projects", "plans", and similar expressions. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Elgin's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Elgin undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.

The TSX-V has neither approved nor disapproved of the contents of this press release.

For further information: Brian Morales, Elgin Mining Inc., [phone], [email protected]; David Feick, The Equicom Group, Investor Relations, 403 218 2839, [email protected]