Minnova Provides Ragged TDA Permit Status and Project Development Update

Toronto, Ontario--(Newsfile Corp. - October 1, 2014) - Minnova Corp. (TSXV: MCI) ("Minnova" or "the Company"), in response to our request for clarification on the status of the designated Ragged Tailings Deposition Area (Ragged TDA), has been advised by Environment Canada (EC) in collaboration with Fisheries and Oceans Canada (DFO) on September 30, 2014 that because fish now occur within the Ragged TDA, they consider the Ragged TDA to be a body of water frequented by fish. As such, Environment Canada stated the "Ragged TDA will require a listing on Schedule 2 of the Metal Mining Effluent Regulations (MMER)". In order to achieve a Schedule 2 listing, the company will be required to submit an Assessment of Alternatives report to determine if the Ragged TDA is in fact the best option for deposition of new tailings. The assessment will consider all possible alternatives for safe, long term tailings storage from environmental, socio-economic and technical perspectives. This report and subsequent listing process should not delay the planned use of Ragged TDA for tailings storage which in any event was not planned to occur until late in H2 2015.

Ragged TDA Status and Path Forward

Gorden Glenn, Minnova President & CEO, said "Environment Canada's feedback and decision on this matter provides greater clarity on the status of the Ragged TDA and the requirements to re-establish the Ragged TDA as a fully permitted tailings deposition area. It also establishes clear reporting and approval timelines that allow the Company to continue to advance on various financing discussions and development plans, currently underway, while we proceed to comply with these federal requirements. I am confident that we will be able re-confirm the Ragged TDA is in fact the best site for tailings and stay on track to achieve our goal of re-starting mining operations and achieving gold production at the Maverick Gold Project as soon as H2 2015."

Environment Canada in association with the DFO has advised the Company that it is committed to initiating the review/screening process as soon as it receives the Company's completed Alternatives Assessment Report, and that the review/screening process would be completed within approximately three months of its receipt.

Minnova intends to initiate the report immediately and will engage consultants, as required, with the goal of submitting its Alternatives Assessment Report to Environment Canada and the DFO before the end of October 2014. Environment Canada and the DFO further advise that, under normal circumstances, the MMER Schedule 2 process takes six to eight months to complete after the conclusion of the federal review/screening process. Upon successful completion of the federal regulatory processes the company would again be allowed to use the Ragged TDA as a fully licensed tailings management facility.

Minnova is already in possession of a valid Manitoba Environment Act License No. 1207E which allows, from Manitoba's perspective, the operation of an underground mine and mill and the deposition of tailings in the Ragged TDA. Manitoba's Director of Environmental Approvals confirmed our License in a letter dated May 17, 2012.

Modified Development Plans

As previously disclosed (May 22, 2014) the Company submitted a Notice of Alteration (NOA) to Manitoba Conservation and Water Stewardship to approve the addition of open pits as part of our restart plans. As part of the regulatory review process the NOA was subject to inter-agency review (Canada Environmental Assessment Agency or "CEAA") and public consultation process. While no feedback was received from the public consultation process, CEAA has requested that the Company submit a Project Description, based on our 900 tpd open pit and underground development scenario, as outlined in our July 9, 2014 Updated Preliminary Economic Assessment (Updated PEA).

After reviewing the Updated PEA and additional detailed mine development information provided by Minnova Corp., CEAA has determined that the proposed re-start of the PL Mine "is a designated activity pursuant to paragraph 16(c) of the Regulations Designating Physical Activities (the Regulations) under the Canadian Environmental Assessment Act, 2012 (CEAA 2012)".

16(c). The construction, operation, decommissioning and abandonment of a new rare earth element mine or gold mine, other than a placer mine, with an ore production capacity of 600 tonnes per day or more;

The Agency made this determination considering the following factors:

This was an unexpected request as the Company does not believe that this section of the CEAA 2012 regulations applies to the re-start of mining at past producing operations such as the PL Mine. As a result of this request from CEAA and factoring in other technical and project economics criteria, the Company is reviewing our re-start plans with Manitoba and Federal regulators and considering our alternatives which are:

• Submit a Project Description, as requested by CEAA, which could result in a full environmental assessment and commensurate consultation process that could delay project development by over 2 years
• Revise our mine development plans to an underground only mining operation with a production rate of less than 600 t/day and therefore not trigger paragraph 16(c) of the Regulations
• Seek a review by the Federal Court as to CEAA's application of paragraph 16(c) of the Regulations

Gorden Glenn commented "while we dispute CEAA's assessment that our planned re-start of the PL Mine is a "new" mine, we believe the best course of action for our shareholders and all stakeholders is to achieve the shortest possible development timetable within the existing regulatory environment. We will take the necessary steps that provide a clear development timeline that will enable us to advance our financing and development efforts under a plan that is, to some extent, entirely within our control."

Should the Company opt to re-start the mine as an underground only operation (see Cautionary Statement 1, below) we believe we can still achieve a short development schedule as the PL deposit is already partially developed with 7,000 meters of existing underground development accessed via an existing portal. Much of the 537,000 ounces of contained gold in the mine plan, as defined in the July 2014 Updated PEA (see Cautionary Statement 2, below), are located between surface and -100 meters vertical. As such we do not believe our efforts to optimize the MGP's after-tax NPV5% of $83.3 million by incorporating 5 shallow open pits on the PL deposit will be materially impacted by a revised underground only PL deposit mine plan. For example, under the current underground mine plan, approximately 250,000 ounces or 54% of the forecast 462,000 contained ounces in the current PL Deposit underground mine plan occur between surface and -100 meters (approximately 43% occur between -100m and -200m). We estimate that we can mine approximately 50% of the current 43,000 contained ounces of gold forecast to be produced from the open pit mine plan on the PL deposit in years +1 through 4 via shallow underground mining methods with minimal disruption the overall mine plan.

On this point ACA Howe has been engaged to complete a new underground only mining scenario that will maximize the extraction rate of the near surface PL deposit gold resources.

A revised, underground only, re-start plan is a viable option that would avoid unnecessary regulatory delays and conforms with our existing provincial license to advance the project in this manner.

Gorden Glenn stated, "With clear guidance from Environment Canada and a reasonable (~12 month) timeline to have the Ragged TDA added to Schedule 2 of the MMER, and the ability to revise our re-start plans as an underground only operation, we are in a strong position to advance our various financing and M+A discussions and initiate site work toward our stated goal of initial production as early as H2 2015. Minnova remains committed to best practices in environmental management and we look forward to cooperating with all federal and provincial regulatory agencies to ensure we are in full compliance with CEAA 2012, the Metal Mining Effluent Regulations and all applicable provincial laws, as we are obliged to under our existing Environment Act Licence No. 1207E."

Ragged Tailings Deposition Area History

The following is a brief summary of the history of the Ragged TDA and the process that led to the EC/DFO's decision. The trigger for the decision by EC is that the Ragged TDA now represents a "water frequented by fish" as fish were found by Minnova in the Ragged TDA during an August 2014 fish population study requested by the EC in June 2014.

The Company believes that fish were able to enter the Ragged TDA over the existing discharge control weir structure during a seasonal high water period at some point after the mine was placed on care and maintenance following the cessation of mining activities in April 1989.

Despite the occurrence of fish in the Ragged TDA, AECOM concluded that the "Ragged TDA does not support a commercial, recreational, or Aboriginal fishery."

AECOM's work and their conclusion build on the historical studies that originally supported the creation of the Ragged TDA in January 1989 (the start of original mining operations by Pioneer Metals). Following an extensive Environmental Impact Statement (Ilam 1987) that concluded "no significant fisheries resource would be lost" then Manitoba Minister of Natural Resources, Jack Penner, in a letter to then Minister of Fisheries and Oceans, The Honorable Mr. Tom Siddon, stated that "his department has concluded that Ragged Lake is the most suitable tailings disposal area available" and he requested that Tom Siddon designate it for use a tailings facility under section 33.1 of the Fisheries Act.

In Honorable Minister Siddon's response letter, duly authorizing the use of Ragged Lake as a tailings management facility, he confirmed that "My regional officials are satisfied with your assessment that no significant fishery will be lost as a result of the designation [as a tailings facility]" he further commented that the use of Ragged Lake as the tailings impoundment area for the Puffy Mine will "result in the permanent loss of Ragged Lake as a natural resource and the associated fisheries resource."

The Ragged TDA has remained licensed continuously by the Province since 1988 and most recently, in May 17, 2012, Manitoba's Director of Environmental Approvals issued a letter requiring that, in operating the Ragged TDA, we comply with Clauses 6 and 7 of the Manitoba license by meeting all the criteria set out in the MMER.

Cautionary Statement 1

The Company has not made a production decision at this time. However, readers should note that the Company has not commissioned a "feasibility study" and, in the event that the Company makes a production decision based on the information currently available to it, the Company will be making its production decision without a feasibility study of mineral reserves demonstrating economic and technical viability. As such there is an increased uncertainty of the MGP economic forecasts, as previously disclosed in the July 9, 2014 Updated Preliminary Economic Assessment and increased technical risks of failure.

Cautionary Statement 2

It should be noted that the preliminary economic assessment prepared by the Company is preliminary in nature and it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Qualified Person

The Company's Qualified Person ("QP") for the drill program at the Maverick Gold Project is Brian Robertson, B. Sc., P. Eng.. As QP, Mr. Robertson has prepared or supervised the preparation of the scientific or technical information for the property and has verified the data disclosed in this press release.

About Minnova Corp.

Minnova Corp. is an emerging Canadian gold producer focused on re-starting the PL Mine and expanding gold resources on its PL and Nokomis gold deposits (collectively the "Maverick Gold Project"). The Company has completed an Updated PEA which supports average annual production of 48,100 ounces over a +10 year mine life. Work to date strongly supports advancing the project toward production with an initial program of underground test mining and completion of a Feasibility Study to bring the PL Mine back into production. The PL Mine includes a 1,000 tpd flotation mill with a replacement value in excess of $50 million, over 7,000 meters of developed underground ramp to 135 metres depth, is fully road accessible and close to existing mining infrastructure. The Maverick Gold Project is located in the Flin Flon Greenstone Belt of Central Manitoba.

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This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, information regarding the Company including management's assessment of future plans and operations, that may involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward looking statements. A feasibility study has not been completed and there is no certainty the disclosed targets will be achieved nor that the proposed operations will be economically viable. Although Minnova has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Minnova does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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.