MILL AVAILABILITY AVERAGING 96%

THROUGHPUT AT 800 TPD

TORONTO, Nov. 23 /CNW/ - Anaconda Mining Inc. ("Anaconda") - (TSX: ANX); is pleased to provide an operational update for its Pine Cove Gold Mine ("Pine Cove"). While the second quarter of fiscal 2011 is not yet complete, Anaconda has produced approximately 805 ounces of gold to this point in the quarter. Second quarter production to date exceeds the first quarter production of 381 ounces by 111%. Over the last two weeks, mill availability has been 96% and average throughput has been approximately 800 dry tonnes per day ("tpd"). While the mill has been in the optimization phase, management has made the decision to process lower grade ore in stockpile and reserve available higher grade ore for processing once all circuits of the plant have been optimized. It is important to note that the expanded unit operations have met and exceeded design criteria, since the beginning of the commissioning stage. During this time period however, consistent recoveries in the processing circuit have been hampered by a combination of operator inexperience with the higher tonnage operation and mill down time associated with the replacement of the primary ball mill starter. Operations staff has overcome the larger issues and continue to focus on circuit optimization. The changes that have been implemented have manifested themselves in greater consistency in the mill operation and thusly higher gold production as evidenced by the improvement quarter to quarter.

Anaconda President and CEO, Dustin Angelo, stated, "We appreciate how the management, employees and suppliers of Pine Cove as well as our shareholders have persevered over the last several months. The fruits of their efforts and patience are finally starting to be realized. We are beginning to experience consistency in the operations which will allow us to steadily ramp up our throughput toward 1,000 tonnes per day and introduce higher grade material. With record gold prices, we are anxious to keep pushing production as high as possible."

Anaconda has also made some significant human resource additions to bolster its operating staff and provide dedicated support to the milling and mining operations at Pine Cove. On November 9, 2010, Anaconda engaged a new, full-time Mill Operations Superintendent who has 30 years of experience, particularly with operating a Merrill Crowe circuit similar to what is currently run at Pine Cove. In addition, Anaconda filled a new position called Environmental and Analytical Superintendent, established primarily to manage the on-site assay lab, which will ensure timely, reliable assay results of mill circuit and blast hole samples as well as quality control of optimization test work. Anaconda has also contracted a mining engineering firm to provide support to its in-house mining staff for general mining operations and grade control.

Anaconda President and CEO, Dustin Angelo, further stated, "Augmenting the overall talent level of our staff at Pine Cove has been a high priority. I believe we have made significant strides in adding experienced personnel at key areas of the project to optimize our operation and lower execution risk."

ABOUT ANACONDA

Anaconda is a Toronto, Canada-based mining and exploration company focused on operating the Pine Cove gold mine located near Baie Verte in Newfoundland, Canada and, with its joint venture partner, Inversiones SBX Limitada, advancing the development and exploration of its iron ore portfolio in Chile.

FORWARD-LOOKING STATEMENTS

This document contains or refers to forward-looking information. Such forward-looking information includes, among other things, statements regarding targets, estimates and/or assumptions in respect of future production, mine development costs, unit costs, capital costs, timing of commencement of operations and future economic, market and other conditions, and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to: the grade and recovery of ore which is mined varying from estimates; capital and operating costs varying significantly from estimates; inflation; changes in exchange rates; fluctuations in commodity prices; delays in the development of the any project caused by unavailability of equipment, labour or supplies, climatic conditions or otherwise; termination or revision of any debt financing; failure to raise additional funds required to finance the completion of a project; and other factors. Additionally, forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "may," "estimates," "expects," "indicates," "targeting," "potential" and similar expressions. These forward-looking statements, including statements regarding Anaconda's beliefs in the potential mineralization, are based on current expectations and entail various risks and uncertainties. Forward-looking statements are subject to significant risks and uncertainties and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no responsibility to update them or revise them to reflect new events or circumstances, except as required by law.

Company website: www.anacondamining.com

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For further information:

Anaconda Mining Inc.
Dustin Angelo
President and CEO
(647)260-1248
Email:dangelo@anacondamining.com

or
Anaconda Mining Inc.
Greg DiTomaso
Investor Relations
(647) 436-2592
Email:info@anacondamining.com