Release: INCO: Monthly exploration report

(Jakarta, June 10, 2011)--PT International Nickel Indonesia Tbk (?PTI?) is reporting that the exploration activities for the month of May 2011 continue by focusing on areas inside the Contract of Work area.

Exploration Area:
- Tanamalia and Lampesue, Sorowako Outer Area in East Luwu Regency, South Sulawesi
- Matarape, in North Konawe Regency, South East Sulawesi
- Latao, in North Kolaka Regency, South East Sulawesi

Total Cost: Approximately US$ 822,696.70

Exploration Method:
-The Tanamalia Project is uses the core drilling HQ-3 method for geostatic drilling program and space 25m
- The Lampesue Project is uses the core drilling HQ-3 method for random geostatic drilling program
- The Matarape Project is uses the core drilling HQ-3 method for geostatic drilling program and space 50m
- The Latao Project is uses the geophysical resistivity method for survey the subsurface

Exploration Contractor: Sorowako Outer Area (SOA) and Sulawesi Coastal Deposit (SCD) are jointly carried out by PTI and third parties

Testing results: Testing results are in the process of reserve estimation calculation by using block modeling method in Sorowako

Action Plan:
- Sulawesi Outer Area (SOA) will perform drilling with 25m spaced in Tanamalia (South Sulawesi) with 8 rigs and continue for random geostatic drilling program in Lampesue with 3 rigs
- Sulawesi Coastal Deposit (SCD) will perform drilling with 50m spaced in Matarape (South East Sulawesi) with 3 rigs and Latao will perform survey subsurface with geophysical resistivity method
- All drillings are planned to obtain complete literate profile. (end of release)