Larry Myles Reports:  Lysander signs LOI Ukraine coal project?

Lysander Minerals Corporation

Suite 501 ? 595 Howe Street

Vancouver, BC  V6C 2T5

Tel:   604-681-8069

Fax:  604-685-4675

NEWS RELEASE ?   JUNE 26, 2008      

Letter agreement signed with ukraine coal

Lysander Minerals Corporation (TSX-V: LYM) (?Lysander?) is pleased to announce the signing of a Letter Agreement with Ukraine Coal Ltd. (?Ukraine Coal?) of London, England.

Under the terms of this agreement, Lysander has the right to enter into an option agreement to purchase all of the issued and outstanding shares of Ukraine Energy Limited (?Ukraine Energy?), a wholly-owned subsidiary of Ukraine Coal, which owns 51% of the issued and outstanding shares of East Coal Company Limited (?East Coal?) and holds the right to acquire the remaining 49% of East Coal.  If the option is exercised, consideration of $12,000,000, comprised of $6,000,000 in cash and a $6,000,000 interest bearing convertible note will be payable to Ukraine Coal.  The convertible note, which is redeemable in whole or in part after a period of one year, may be converted to Lysander shares at a price of $1.00 per common share.  A good faith deposit of $100,000 is payable, of which $75,000 is refundable, while it completes the necessary due diligence. 

East Coal has acquired mineral rights and assets of the Verticalnaya coal mine in the Lugansk region of Ukraine.  The mine was placed on care and maintenance after a period of low production following the break-down of the Soviet Union.  The Company will now review, inter alia, plans for the re-opening of the mine on a significantly expanded basis.  It will also review environmental approvals and progress on other approvals and rights needed for construction and operations.  The mine produced anthracite, a high quality, premium priced coal. Ukraine Coal has arranged for the preparation of a NI 43-101 technical report.

On behalf of the Board,

Bryce M.A. Porter

President and CEO

Larry Myles

Larry Myles Reports

http://www.larrymylesreports.com