Mustang Minerals Corp. (TSX VENTURE:MUM)(FRANKFURT:NJF) ("Mustang" or the
"Company") today announced that it completed an additional tranche of its
private placement (see press release announced December 21, 2012) with Western
Areas Limited. On January 3, 2013, Mustang announced completion of the first
tranche of the private placement, raising aggregate proceeds $1,720,650 from the
placement of 26,379,237 flow-through common shares and 100,000 common shares. 


Western Areas has subscribed for a total of 5,000,000 common shares of Mustang
at an issue price of $0.06 per share. Western Areas is the largest shareholder
in Mustang and after completing the placement will hold a 19% equity interest in
the Company. Western Areas is an ASX listed nickel mining company with a market
cap of approximately A$850 million and ranks second in nickel sulphide
production in Australia. The shares issued to Western Areas are subject to a 4
month hold period. 


The proceeds from the recent capital raisings are planned to be used to finance
Mustang's exploration and potential early development activities, particularly
around the 100% owned Mayville Copper/Nickel/PGE deposit in Manitoba.  


During 2012 Mustang conducted resource definition drilling at the Mayville
deposit located approximately 30km north of the 100% owned Makwa Nickel/Copper
deposit. Results announced in 2012 were encouraging and generally confirmed the
continuity of the widths and grade of the Mayville sulphide mineralisation and
the potential for a resource upgrade. The Company has engaged RPA Associates to
complete an updated NI 43-101 compliant mineral resource estimate for Mayville
anticipated to be completed in early 2013. 


Importantly, a step out drill hole (MAY12-143) drilled 250 meters east of the
Mayville deposit intersected a wide zone of Mayville type Copper/Nickel
mineralization. This drill hole opens up the potential for significant
extensions to the mineral resource at Mayville and requires follow up drilling
as a high priority.


"Mustang has a clear strategy for 2013 and now has funds available to conduct
this program," said Robin Dunbar, President and CEO of Mustang. This program
will involve three main activities:




1.  Testing for potential near surface extensions along strike from the
    Mayville resource 
2.  Completing a revised mineral resource estimate for the Mayville deposit 
3.  Conducting a scoping study for a mining operation combining Mayville and
    Makwa deposits



"We are focussed on increasing the resource inventory at the Mayville and Makwa
deposits and progressing the combined project towards production as soon as
possible," added Mr. Dunbar.


Mr. Dan Lougher, Managing Director of Western Areas said: "Western Areas'
investment in Mustang represents a continued commitment to a junior exploration
and development company with an impressive land position in a highly prospective
geological terrain. Canada is a favourable exploration and mining jurisdiction
with excellent potential for discovering and developing significant new nickel,
copper and PGM deposits. Despite challenging financial markets, Mustang
continues to raise the capital required to progress its projects and as such we
are pleased to maintain our equity interest in Mustang," he added.


Current ore reserves and mineral resources at Mustang's two 100% owned deposits
are: 


Makwa Ni-Cu Deposit

NI 43-101 Probable Ore Reserve estimate: 9.86 million tonnes containing 0.541%
nickel, 0.113% copper 0.433 g/t combined PGM. (Ore reserve estimate completed
February 2010 by Micon International Limited.)


Mayville Cu-Ni Deposit 

NI 43-101 Indicated Mineral Resource estimate: 9.23 million tonnes containing
0.61% copper, 0.23% nickel and 0.174 g/t palladium. 


Carey Galeschuk P.Geo. is the National Instrument 43-101 Qualified Person for
Mustang Minerals Corp.


We seek safe harbour.

This news release contains forward-looking statements within the meaning of the
United States Private Securities Litigation Reform Act of 1995 and
forward-looking information within the meaning of the Securities Act (Ontario)
(together, "forward-looking statements"). Such forward-looking statements may
include the Company's plans for its mineral projects in Manitoba, the overall
economic potential of its properties, the availability of adequate financing and
involve known and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements expressed or implied by such
forward-looking statements to be materially different. Such factors include,
among others, risks and uncertainties relating to potential political risk,
uncertainty of production and capital costs estimates and the potential for
unexpected costs and expenses, physical risks inherent in mining operations,
currency fluctuations, fluctuations in the price of nickel and other metals,
completion of economic evaluations, changes in project parameters as plans
continue to be refined, the inability or failure to obtain adequate financing on
a timely basis, and other risks and uncertainties, including those described in
the Company's Management Discussion and Analysis for the most recent financial
period and Material Change Reports filed with the Canadian Securities
Administrators and available at www.sedar.com.


Shares Outstanding: 229,639,894

FOR FURTHER INFORMATION PLEASE CONTACT: 
Mustang Minerals Corp.
David Black
Investor Relations
416-955-4773
info@mustangminerals.com
www.mustangminerals.com
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