TORONTO, August 6- Arehada Mining Limited (TSX: AHD), (the "Company") today announced that its wholly owned Chinese operating subsidiary, Arehada Mining Corporation ("Arehada China"), has received the second bank loan for RMByens 14 million (Cdn$2 million) from the Agricultural Bank of China. The loan bears interest at 11.205% per annum, calculated and payable monthly. The loan matures on February 26, 2009. The first bank loan in the amount of RMByens 16 million (Cdn$2.3 million) was advanced in May of 2008 on the same terms.

The proceeds of the first loan and the second loan are being used primarily to purchase inventory of zinc ore feedstock to start up Arehada's zinc plant, which has a designed processing capacity of 50,000 tonnes per annum of zinc oxide and 100,000 tonnes of sulphuric acid. The zinc plant commenced operation in late June 2008 and has been operating at approximately 80% capacity The output of zinc oxide and sulphuric acid has met the anticipated quality standards.

On the operation side, the recently imposed measures by different levels of Chinese government for the Beijing Olympic games are expected to affect our operations. To promote security and improve air quality for the games, the Chinese government has imposed a suspension on selling and using explosives and a prohibition on transporting dangerous goods including sulphuric acid, effective from August 5, 2008 to August 31, 2008. As a result, Arehada China has shut down the zinc plant operation since August 6, 2008, and expects to shut down its mining operation on August 8, 2008. The operation is to be resumed in September 2008 after the restrictions are lifted. During the shut down period, non-management personnel will be on holiday and management personnel will remain on duty to organize maintenance work on equipment, staff housing and infrastructure.

About Arehada Mining

Arehada Mining Limited is engaged in the exploration, development, extraction and production of zinc, lead and silver in Dongwuzhumuqinqi, located in Inner Mongolia, China. Arehada produces zinc and lead concentrates, which are then sold to smelters in China.

Arehada has constructed a zinc plant with a designed processing capacity of 50,000 tonnes of zinc oxide and 100,000 tonnes of sulphuric acid per annum which commenced operation in June of 2008.

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Forward Looking Statements

The above contains forward looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, extent of resources actually contained in mineral deposits, actual recoveries achieved in processing ore, technological change, change to regulations affecting the mining industry, risks associated with mining operation in China, environmental and safety regulations risks, and risk associated with failure to obtain required regulatory or third party consent. Forward-looking statements in this release include statements regarding future programs, review completion dates and opportunities. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

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