SOURCE: Cotton & Western Mining, Inc.

May 26, 2011 08:30 ET

CWRN: "Revenues Distributed, 2nd Bulk Shipment Close"

HOUSTON, TX--(Marketwire - May 26, 2011) - Cotton & Western Mining, Inc. (PINKSHEETS: CWRN), the company under Irrevocable Assignment of Documentary Letter of Credit Proceeds, distributed the revenues from its first bulk shipment of iron ore under the following percentages; 60% to ongoing operations, 30% to Project Investors and 10% to Management. The Project Investors recovered approximately 75% of their cash contributions; The Ensenada International Terminal was paid approximately $320,000.00 for receiving, storage, material handling and cargo loading, $356,000.00 was paid to Road-Runner Trucking, $1,115,000.00 was paid to COSFAR Bulk Cargo Shipping, $220,000.00 was paid in royalty fees and surface rights. The Company was also able to meet its obligations to PowerScreen of California paying a balance of $975,000.00 for the crushing equipment. We would like to thank PowerScreen for their ability to provide us with over $1,500,000.00 in equipment that was paid off under settlement of DLC proceeds, without their help it would have been very difficult to secure the equipment we had specified for the production. The Company will be receiving more equipment from PowerScreen shortly.

Operations Update: The Company has been continuously excavating, crushing and processing raw crude iron ore since the first shipment departed the Pacific Ocean Port of Ensenada, Baja California, Mexico on April the second, 2011. Currently 3-18mm and 1-3mm iron ore is being processed and stored at the Company's on site Lay-down Yard, trucking to the port is scheduled to re-start within the next couple weeks, with more trucks than we used on the first shipment. As of this date, no Fixture Note has been signed with any bulk cargo shipper, we have yet to determine a vessel size for the next shipments depending on grades and sizes, it is most likely to be a mixed shipment of +61% and -61% Fe on a sliding scale basis reject less than 56% and guarantee at 58% for lower grade and reject less than 58% and guarantee 61% Fe for higher graded iron ore.

CWRN Current Share Structure: The Company has stated that it is not currently providing any Market Awareness nor is it involved with the market in any way. The share price of the Company's stock for now will be dictated by the market and will be for a few more months. The outstanding shares for CWRN have not changed since early November 2010. The following share count is from November 2010 and as of May 26, 2011.

Authorized Shares: 6,000,000,000

Outstanding Shares: 4,361,635,980

Restricted Shares: 2,056,610,879

Free Trading Shares: 2,305,025,101

Free Trading Shares Held Close: 550,000,000

Free Trading Shares on the Street: 1,755,025,101

Note: Pan American Mineral Ventures, LLC. Officers, Directors, Insiders and Affiliates control over 50% of the Company's Outstanding Shares, Robert L. Cotton and Sharon Vazquez are co-managers of Pan American Mineral Ventures, LLC., State of Nevada, both are Officers and Directors of CWRN.

OTC:PK Status: CWRN is no longer a developing company and as such the non-reporting SEC status in not desirable to maintain a healthy share value for the shareholders; therefore, the Board of Directors have agreed to move on. The company will be merging into a new mining company that will be involved with several other iron ore mining projects and will be an SEC reporting company listed on the OTC:QB; this process shall take some time and will require shareholder's voting approval. A Shareholders meeting will be held, all shareholders of record will be given a 45 day written notice of the time and place of the meeting. A news release will also be issued with the Shareholders notice.

Notes: The Baja Pacific -- "Mina Guadalupe" is operated by Panamerican Minerals Ventures, S.A. de C.V., Ensenada, Baja California, under contract with CWRN and held in trust for CWRN by its principal officers and directors, Robert L. Cotton and Sharon Vazquez.

Related News: China Seaborne Trade, Spot Price Iron Ore may be viewed at the following link; Metal Bulletin Iron Ore Index Link http://www.mbironoreindex.com/

About Cotton & Western Mining, Inc.
Cotton & Western Mining, Inc. (PINKSHEETS: CWRN), a Nevada Corporation, is engaged in metal mineral exploration, development and operations for "Iron Mineral Mining." For more information, please visit the company's website at www.cottonwestern.com.

Safe Harbor: Statements regarding financial matters in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such statements about the Company's future expectations, including future revenues and earnings, technology efficacy and all other forward-looking statements be subject to the Safe Harbors created thereby. The Company is a development stage firm that continues to be dependent upon outside capital to sustain its existence. Since these statements (future operational results and sales) involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results.

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