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FNX Mining Company Inc. Announces $102 Million 'Bought Deal' Financing

FNX Mining Company Inc. is pleased to announce that it has entered into an agreement with a syndicate of underwriters co-led by GMP Securities Ltd. and BMO Nesbitt Burns Inc., which have agreed to purchase, on a bought deal basis, 7.5 million common shares of FNX at a price of $13.60 per common share for aggregate gross proceeds of $102 million. The underwriters also have the option to purchase for resale up to an additional 2.5 million common shares at a price of $13.60 per common share on the closing date. If the option is exercised the gross proceeds will be $136 million. FNX plans to use the net proceeds of the offerings for development of FNX's 100% owned Sudbury properties including; rehabilitation and development of the Levack Mine; Phase I development of the Podolsky 2000 Deposit; Phase II development of the PM Deposit; exploration and development of the Levack Footwall Deposits; continued exploration and development of the Podolsky North and South Deposits; exploration of the Aurora properties; and for working capital and general corporate purposes.

The common shares to be sold under this offering will be offered by way of a short form prospectus in each province of Canada where purchasers reside and the common shares to be sold under this offering will be offered in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended.

The offering is scheduled to close on November 28, 2005 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange, the American Stock Exchange and other applicable securities regulatory authorities.