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Black Iron Concludes Twin Hole Program Intersecting Iron Grades Exceeding 32%

07/20/2011


TORONTO, ONTARIO--(Marketwire - July 20, 2011) - Black Iron Inc. ("Black Iron" or the "Company") (TSX:BKI) is pleased to report that it has concluded its confirmation ("twin hole") and metallurgical diamond drill program at its Shymanivske Iron Ore Project in Ukraine. The Company is pleased with the assay results received thus far as they align very well with the historical drill hole data for the Project. Additional assay results are still expected over the coming six to eight weeks. With the conclusion of the twin hole program, Black Iron now has sufficient drill core to complete its metallurgical test work program which has already been initiated.

George Mover, Chief Operating Officer of Black Iron, commented, "We have now successfully completed the confirmatory drill work with additional assay results to be received from the lab on an ongoing basis. We are now working closely with our laboratories Mekhanobrchermet in Ukraine and SGS Lakefield in Canada to complete the required metallurgical test work with input from our consultants BBA Inc. and Hatch Ltd., as well as the Ukrainian mining design group Yuzhgiproruda, to deliver the preliminary economic assessment ("PEA") for Shymanivske. Our project development timeline remains on schedule and we anticipate being able to deliver the PEA in the fourth quarter of 2011."

Results from the twin hole program continue to align well with historical data from the Shymanivske Project. Assay results received for three additional twin holes show thick iron bands with grades exceeding 32%.


Highlights from the three additional twin holes 13302-T, 20291-T and 21711-T
 include:

----------------------------------------------------------------------------
                         From         To     Length   Total Fe   Magnetic Fe
Hole No.             (meters)   (meters)   (meters)        (%)           (%)
----------------------------------------------------------------------------
13302-T                  19.1      164.0      144.9       32.5          17.8
----------------------------------------------------------------------------
including                48.0      102.0       54.0       34.4          20.6
----------------------------------------------------------------------------
and                     216.5      260.0       43.5       30.8          12.3
----------------------------------------------------------------------------

----------------------------------------------------------------------------
20291-T                  23.1      142.0      118.9       33.8          21.9
----------------------------------------------------------------------------
including                23.1      107.0       83.9       35.3          25.3
----------------------------------------------------------------------------
and                     186.0      231.0       45.0       30.6          14.8
----------------------------------------------------------------------------

----------------------------------------------------------------------------
21711-T                  81.0      152.0       35.5       32.5          15.7
----------------------------------------------------------------------------
and                     176.0      327.0      106.7       32.5          16.6
----------------------------------------------------------------------------
Reported widths for holes 13302-T, 20291-T and 21711-T are all true widths.

The twin hole program was initiated by the Company on April 5, 2011 and is designed to provide drill core suitable for metallurgical test work to establish an optimized process flow sheet for the ongoing preliminary economic assessment, as well as to verify and confirm the previous drilling and resource work completed on the Project.


Previously released twin hole assays include:

----------------------------------------------------------------------------
                         From         To     Length   Total Fe   Magnetic Fe
Hole No.             (meters)   (meters)   (meters)        (%)           (%)
----------------------------------------------------------------------------
20342-T                  24.0      188.0      164.0       32.1          18.9
----------------------------------------------------------------------------
including                65.0      148.0       83.0       33.8          21.6
----------------------------------------------------------------------------
and                     237.0      274.0       37.0       29.8          17.5
----------------------------------------------------------------------------

----------------------------------------------------------------------------
5485-T                   24.8      106.5       81.7       31.8          20.0
----------------------------------------------------------------------------
and                     171.0      190.6       19.6       31.4          19.8
----------------------------------------------------------------------------

----------------------------------------------------------------------------
21733-T                  18.5      133.1      114.6       32.5          20.7
----------------------------------------------------------------------------
and                     173.5      201.0       27.5       30.8          17.1
----------------------------------------------------------------------------

----------------------------------------------------------------------------
21674-T                  22.0       87.8       65.8       32.1          18.6
----------------------------------------------------------------------------
and                     128.0      155.0       27.0       30.8          17.4
----------------------------------------------------------------------------

----------------------------------------------------------------------------
12850-T                  14.0       82.4       68.4       32.4          20.2
----------------------------------------------------------------------------
and                     114.0      142.5       28.5       30.7          17.0
----------------------------------------------------------------------------

----------------------------------------------------------------------------
13302-T                  19.1      164.0      144.9       32.5          17.8
----------------------------------------------------------------------------
including                48.0      102.0       54.0       34.4          20.6
----------------------------------------------------------------------------
and                     216.5      260.0       43.5       30.8          12.3
----------------------------------------------------------------------------

----------------------------------------------------------------------------
20291-T                  23.1      142.0      118.9       33.8          21.9
----------------------------------------------------------------------------
including                23.1      107.0       83.9       35.3          25.3
----------------------------------------------------------------------------
and                     186.0      231.0       45.0       30.6          14.8
----------------------------------------------------------------------------

----------------------------------------------------------------------------
21711-T                  81.0      152.0       35.5       32.5          15.7
----------------------------------------------------------------------------
and                     176.0      327.0      106.7       32.5          16.6
----------------------------------------------------------------------------
Reported width for all holes are true widths.

The diamond drills used in the twin hole program remain at the Shymanivske Project site and are preparing for the Company's first exploration and definition drilling program. This new drill program will target the northern extent of the Shymanivske property, as well as the broader land package at depth, with the aim of increasing the compliant resource size and upgrading its resource classification (i.e. convert a portion of the inferred resources to measured and indicated status).

Black Iron has received a temporary suspension of activity order with respect to its drilling activities from the Dnipropetrovsk Region Ecological Inspectorate, requiring the Company to respond to certain information filings and potential deficiencies before resuming drilling activities. The Company is responding to the order and working closely with Ukrainian Authorities. While there can be no assurance as to the timing of a resolution of this matter, Black Iron remains optimistic that the issue will be resolved soon as such actions by the Ukrainian regulating agencies are customary when dealing with new mining projects and are usually resolved on a timely basis.

Commenting on the anticipated commencement of the exploration and definition drilling, Matt Simpson, President and CEO of Black Iron, said, "We are looking forward to the opportunity to explore the Shymanivske Project extensively and to test our theory that a significant addition to the Project's resource exists in the previously unexplored northern part of the property. It is unfortunate that we have encountered this unforeseen delay in commencing the exploration work, however, it is very important to note that this delay does not impact our Project development timeline; the only impact is the timing to increase the Shymanivske resource estimate size and classification. We are committed to working closely with Ukrainian Officials and are optimistic that we can resume drilling shortly."

About the Company

Black Iron is an iron ore exploration and development company advancing its 100%-owned Shymanivske project located in Krivoy Rog, Ukraine. This project contains a NI 43-101 compliant resource with 345Mt measured and indicated resources grading 32% iron and 469Mt of inferred resources grading 31% iron. The project is surrounded by five other operating mines including ArcelorMittal's iron ore complex. The Company believes that existing infrastructure, including access to power, rail and port facilities, will allow for a quick development timeline to production. Further, the Company holds an exploration permit for the adjacent Zelenivske project which it intends to further explore to determine its potential. Please visit the Company's website at www.blackiron.com or write us at info@blackiron.com for more information.

Forward Looking Information

This press release contains "forward-looking information" which may include, but is not limited to, statements with the timing of results and the expected effect of these results on the Company's understanding of the project and the timing of development of the project. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "believes" or variations (including negative variations) of such words and phrases, or by the use of words or phrases that state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.

Forward-looking information are based on certain assumptions and analyses made by the Company in light of its experience and knowledge of its projects. Forward-looking information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company and/or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained in this press release, including, without limitation those described in the Company's public disclosure documents which may be found under the Company's profile on SEDAR. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in such forward-looking information, there may be other factors that may cause actions, events or results to differ from those anticipated, estimated or intended. Should one or more of these risks or uncertainties materialize or should assumptions underlying such forward-looking information prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by the forward-looking information contained in this press release. The forward-looking information contained herein are made as of the date of this press release and the Company disclaims any obligation to update or review such information or statements, whether as a result of new information, future events or results of otherwise, except as required by law.

FOR FURTHER INFORMATION PLEASE CONTACT:
        Investor Cubed
        Investor Relations
        +1 (647) 258-3311 or Toll Free: 1 888 258-3323

        Black Iron Inc.
        Matt Simpson
        President & Chief Executive Officer
        +1 (416) 309-2138
        info@blackiron.com
        www.blackiron.com

Source: Black Iron Inc.