Initial Production Estimates for the Dolores Mine

VANCOUVER, BC - Minefinders Corporation Ltd. reported initial production estimates for its Dolores gold and silver mine in Chihuahua, Mexico, where the first gold and silver pour is now scheduled for mid July, 2008.
Management expects gold production from Dolores will be approximately 40,000 ounces in 2008, 128,000 ounces in 2009 and 129,000 ounces in 2010. Silver production is expected to be 1.0 million ounces in 2008, 3.0 million ounces in 2009, and 4.0 million ounces in 2010. Excluding royalties, at a 52 to 1 silver to gold ratio, cash cost is expected to average $403 per gold equivalent ounce in 2008 and decrease going forward to the forecasted life of mine average cash cost of $297 per gold equivalent ounce.
Minefinders expects to report positive cash flow starting in the third quarter of 2008, which will be the first operating quarter.
Mining at Dolores is approaching a sustained rate of approximately 100,000 tonnes per day with over 7 million tonnes of ore and waste material mined at Dolores to date.
Placement of initial drain rock and mineralized over liner material on the leach pad is complete and ore is now being crushed for stacking on the leach pad using the radial stacking system. With two of the three tertiary crushers now commissioned, Minefinders has processing and stacking capacity of 12,000 tonnes of ore per day. Final commissioning of the third tertiary crusher is targeted for mid June and is expected to bring the crushing and conveying circuit to the feasibility run rate of 18,000 tonnes of ore per day.
In late May an illegal blockade was established on an access road to the Dolores Mine site. The majority of the individuals involved are believed to be from outside of the region and include only a small fringe group from within the local 221-member Ejido community.
While Minefinders was on target to achieve the first gold and silver pour from Dolores in late June 2008, for safety reasons the Company decided to suspend construction activities and operations until Mexican authorities safely removed the illegal blockade. On June 5, in response to meetings held with government officials, the blockaders re-opened the road and mining and processing operations have recommenced. The Company is continuing discussions with the state and federal governments and with the individuals responsible for the blockade to come to a definitive long-term resolution. As a result of the temporary suspension of operations due to the illegal blockade, the first gold and silver pour is now expected in mid-July.
"Despite the delay of the first gold and silver pour due to the illegal blockade, the commissioning at Dolores is progressing well with construction and operating costs consistent with those reported in the Company's February 14, 2008, economic forecast and reserve update," said Mark Bailey, Minefinders' President and CEO. "We remain fully funded to complete development and commissioning of the Dolores Mine and continue the Dolores mill preliminary feasibility study and 2008 exploration programs at Dolores and elsewhere."
The Dolores Mine has a well-defined deposit containing proven and probable reserves of 2.44 million ounces of gold and 126.6 million ounces of silver with exploration upside and an open pit mine life of over 15 years. Minefinders plans to complete a preliminary feasibility study in 2008 on the potential for the addition of a flotation mill to enhance recoveries from high-grade ore in the open pit, to process additional underground ore and to increase production capacity.
The company's address is 2288-1177 W Hastings St., Vancouver, BC V6E 2K3, (604) 687-6263, fax: (604) 687-6267.