Confederation Closes Final Tranche of Private Placement

CONFEDERATION MINERALS LTD.

Suite 1980, 1075 West Georgia Street, Vancouver, British Columbia, V6E 3C9 Tel: 604 688 9588; Fax: 778 329 9361

PRESS RELEASE

January 19, 2011 TSX Symbol: CFM

CONFEDERATION CLOSES FINAL TRANCHE OF PRIVATE PLACEMENT

Confederation Minerals Ltd. (TSX-V: CFM) is pleased to announce that the TSX Venture Exchange has accepted for filing final documentation with respect to the final tranche of its previously announced non-brokered private placement. The final tranche of the financing consists of 9,643,257 units (the “Units”) at a price of $0.28 per Unit for gross proceeds of $2,700,120. Each Unit consists of one common share and one share purchase warrant entitling the holder to acquire an additional common share of the Company at any time on or before January 17, 2012 for a price of $0.45. The securities have been issued with a hold period expiring May 18, 2011. The proceeds of the financing will be used for exploration activities.

Finder`s fees were paid in respect of 8,888,257 of the Units, which consisted of $76,067.84 in cash, 439,392 shares and 1,141,312 warrants. Each warrant entitles the holder to acquire an additional common share of the Company at any time on or before January 17, 2012 for a price of $0.45.

Confederation Minerals is an active junior exploration company with a focus on Potassium and Gold exploration targets.

ON BEHALF OF THE BOARD OF DIRECTORS Signed “Lawrence Dick”

Lawrence Dick, President

CORPORATE INQUIRIES Confederation Minerals Ltd.

Suite 1980, 1075 West Georgia Street Vancouver, B.C.

Lawrence Dick, President 604.688.9588 [email protected] www.confederationmineralsltd.com

Forward-Looking Information

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.