CALGARY, ALBERTA–(EMWNews – July 21, 2008) – TVI Pacific Inc. (TSX:TVI) (“TVI” or the “Company”) announced today that its Philippine affiliate, TVI Resource Development (Phils.) Ltd. (“TVIRD”), has signed a Letter of Engagement with BNP Paribas (“BNP”) under which BNP has agreed to act as the Lead Arranger, on a best efforts basis, for purposes of an international offering of debt securities (up to US $40 million aggregate principal amount) to be marketed outside of the United States (the “Offering”), and to assist the Company in structuring the terms of the associated notes. TVIRD and BNP expect to negotiate the final terms of the Offering in light of prevailing market conditions and the circumstances of the Offering at the relevant time. The Offering is subject to a number of conditions, including the completion of due diligence, receipt of required regulatory approvals and the negotiation of formal documents.

If the Offering is successfully completed, TVIRD expects to use the proceeds from the sale of notes to fund TVIRD’s ongoing development and exploration operations on the island of Mindanao in the southern Philippines and, in particular, to complete the development of the Canatuan Sulphide Expansion Project, to advance exploration efforts on the Balabag Epithermal Gold/Silver Project and for general exploration and working capital purposes, including repayment of outstanding debt.

There can be no assurance that the Company and TVIRD will be able to successfully negotiate terms of the Offering, including the notes, acceptable to it or that the Offering will be made available to TVIRD as contemplated by the Letter of Engagement. The Offering is not underwritten and the can be no assurance that the Offering will be successfully completed.

About TVI Pacific Inc. (TSX:TVI)

TVI Pacific Inc. is a publicly traded Canadian mining company focused on exploring for and producing precious and base metals within district scale systems in the Philippines. The Company’s interest in the Canatuan Mine and its other Philippine assets are held through TVI Resource Development (Phils.) Ltd.

Certain information set out in this News Release constitutes forward-looking information. Forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, “continue”, “estimate”, “expect”, “may”, “will”, “intend”, “could”, “might”, “should”, “believe” and similar expressions. Forward-looking statements are based upon the opinions and expectations of management of the Company as at the effective date of such statements. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that those expectations will prove to have been correct. Forward-looking statements are subject to certain risks and uncertainties (known and unknown) that could cause actual outcomes to differ materially from those anticipated or implied by such forward-looking statements. These factors include, but are not limited to, such things as the volatility of prices for precious metals and base metals, commodity supply and demand, fluctuations in currency and interest rates, inherent risks associated with the exploration and development of mining properties, ultimate recoverability of mineral reserves, timing, results and costs of exploration and development activities, availability of financial resources or third-party financing, new laws (domestic or foreign), changes in administrative practices and changes in exploration plans or budgets. Accordingly, readers should not place undue reliance upon the forward-looking statements contained in this News Release and such forward-looking statements should not be interpreted or regarded as guarantees of future outcomes. The forward-looking statements of the Company contained in this News Release are expressly qualified, in their entirety, by this cautionary statement. Various risks to which the Company is exposed in the conduct of its business (including exploration activities) are described in detail in the Company’s Annual Information Form for the year ended December 31, 2007, which was filed on SEDAR on March 27, 2008 and is available under the Company’s profile at www.SEDAR.com. Subject to applicable securities laws, the Company does not undertake any obligation to publicly revise the forward-looking statements included in this News Release to reflect subsequent events or circumstances.

The Toronto Stock Exchange has neither approved nor disapproved of the information contained herein.