MEDIA NEWS RELEASE - FOR IMMEDIATE RELEASE

January 15^th, 2007

Issued by:

Mine Mill Local 598/CAW Bargaining Committee

Sudbury Mine, Mill & Smelter Workers Union, Local 598/CAW

Mine Mill Local 598/CAW and Xstrata Nickel

Bargaining Update

The contract language talks have slowed down to a crawl and the main issues are still to be defined. While we have dealt with minor housekeeping issues, the Union has been waiting for the Company’s response on the main issues.

The Union is discouraged by the lack of face-to-face talks and the Company’s delay and refusal to provide information on Nickel Rim South, other projects, procedure, policies and guideline manuals.

We are concerned that this seemingly intentional delay will lead to, most likelihood, a scenario similar to 2004 negotiation, where we did not have enough time left to reach a collective agreement before the February 1^st deadline.

While some small agreement was reached on some issues, the main issue in contention remains the posting process and vacation.

Our goal is still to reach a collective agreement, but we are wondering if the Company is really of the same opinion.

The strike mandate vote is tomorrow (January 16^th, 2007) at 2:00 p.m. and 7:30 p.m. at the Navy League, in the main hall.

For further information, please contact Richard Paquin at 698-4622 or Rick Grylls at 665-2138

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Bargaining Committee: Richard Paquin, Gord Lamothe, Brian Castilloux, Jan Romo, Jeff Mullally, Jack McGrath, Reg Berthiaume, Rick Grylls, Tom Dattilo, Hemi Mitic