Sao Luis Mining, Inc. Completes Final Inspection of Its New DMS Diamond Recovery Plant in South Africa for Shipment to Brazil

GARDNERVILLE, NV--(Marketwire - May 21, 2008) - Sao Luis Mining, Inc. (PINKSHEETS: SAOL) (FRANKFURT: F5G) (www.saolmining.com), a diamond mining and precious metals exploration company, is pleased to announce the completion of its new DMS (Dense Media Separation) diamond recovery plant. The plant was manufactured by ProMet Engineers Africa.

The plant was scheduled to be shipped in the 4th quarter of 2007. Due to production delays, along with some slight technical improvements that better suit the processing of the diamond bearing materials contained on the concessions, the ship date was postponed. The plant has been water tested and was inspected by a Company engineering consultant the week of May 12th prior to being dismantled for shipment to Brazil in June 2008.

DMS plants provide the most efficient recovery levels for diamonds. The Company's plant is designed to process up to 150 tons per hour of heavy mineral concentrates from diamondiferous material found on the surface. The technology relies on the difference in densities between separate materials. The mixed solids are placed in a dense liquid solution. The diamonds and other heavy minerals, which are denser than the soil and gravel in which they are found, sink while the less dense material floats. The diamonds fall to the bottom where they enter a secured laser diamond sorter for further classification.

Michael J. Dillon, President and Chairman of Sao Luis Mining, says that "based on the results of the bulk sampling program, together with other geological surface reports for our Joint Venture Properties 231 and 117, we are anticipating initial production levels upwards of 20,000 carats of diamonds monthly which will allow the Company to further expand production while generating a positive revenue stream, thus enhancing shareholders equity."

About Sao Luis Mining:

Sao Luis Mining, Inc. (PINKSHEETS: SAOL) is a diamond mining and precious metals exploration company. Its strategy is to acquire interests in producing mines and develop properties that have the promise to be economically viable. Sao Luis Mining has a 51% joint venture interest in Comercio e Mineracao Sao Luis Ltda., which operates two diamond properties and an existing processing plant in the Sao Luis River Basin. The operation is located in the state of Mato Grosso, which is the most productive diamond district in Brazil and responsible for 61% of all the legally mined diamonds in Brazil in 2005. Additional information, including a photo gallery and geological report, is available at the Company's website www.saolmining.com.

Forward-Looking Statements:

This news release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. When used in this release, words such as "estimate," "expect," "anticipate," "projected," "planned," forecasted" and similar expressions are intended to identify forward-looking statements, which are, by their very nature, not guarantees of Sao Luis Mining, Inc.'s future operational or financial performance, and are subject to risks and uncertainties. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Due to the risks and uncertainties, actual events may differ materially from current expectations. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.