Excellon Resources Inc.

Excellon Resources Inc.

September 17, 2007 16:27 ET

Excellon Increases Annual Silver Production to 2,339,000 Ounces

TORONTO, ONTARIO--(Marketwire - Sept. 17, 2007) - Excellon Resources Inc. (TSX VENTURE:EXN) announces that its silver production for the fiscal year ended July 31, 2007 was approximately 2,339,000 ounces compared to 1,712,000 ounces in the same period in 2006. It also produced approximately 10,272,000 pounds of lead and 8,943,000 pounds of zinc during fiscal 2007 compared with 10,921,000 pounds of lead and 12,776,000 pounds of zinc in the fiscal year ended July 31, 2006.

Excellon shipped 45,691 tonnes of crushed ore to the Compania Fresnillo S.A. De C.V.'s Naica mill during the year ended July 31, 2007 compared to 44,413 tonnes of crushed ore in the fiscal year ended July 31, 2006. This was less than the planned rate of production, and due primarily to difficulties at Naica, which blends Excellon's high grade ore into its lower grade operation. However, improved ore handling arrangements at the Naica Mill and better blending of the high grade ore resulted in an increasing trend in the amount of ore Naica has been able to receive during the latter part of the fiscal year.

The underground operation expanded into the main Guadalupe Manto during the year with the installation of additional ventilation and pumping facilities to support production from the newly developed mining areas. Excellon has also purchased the necessary mining equipment to sustain the mine development and operation with the mine contractor's role reduced to primarily the supply of labour.

Update on Platosa Mill Evaluation

Excellon is evaluating the construction of a 350 tpd mill on the Platosa Property. The operation has produced high grade silver, lead and zinc ore, and sold it to Compania Fresnillo S.A. de C.V. for processing in their Naica milling facility since April 2005. The construction of the Platosa flotation mill would allow the production of lead and zinc concentrates at the site for sale to world markets and decrease Excellon's current operating costs. Excellon has initiated an environmental impact assessment, process development work, selection of suitable sites for the mill and tailings dam, and begun preliminary discussions with equipment suppliers and construction contractors. If the Company proceeds with the construction of the mill, the environmental permit is anticipated to be received in late 2007 with construction starting in 2008 and start-up in the last quarter of calendar 2008.

"Excellon's mining capacity continues to increase along with the development of additional mining areas to sustain ongoing production," said Richard Brissenden, Excellon's CEO and president. "The increasing rates of production and the increased silver production reflect the efforts to produce a more uniform blend of the high grade ores that helps maximize the ore delivered to the Naica Mill. With the blending efforts, the lead and zinc grades are being mined at grades closer to the average grade of the resource, resulting in slightly lower levels of lead and zinc in fiscal 2007. The construction of a mill at Platosa, the evaluation of which is underway, has the potential to enhance production and the financial returns at Platosa considerably, and we are looking forward to finalizing this decision before the end of calendar 2007."

About Excellon

Excellon, a self-sustaining mineral resource company operating in Durango State, Mexico, is committed to building value through production, expansion and discovery. The Company is producing silver, lead and zinc from high grade manto deposits on its Platosa Property, strategically located in the middle of the Mexican silver belt. In fiscal 2008, Excellon's focus is on increasing its Mineral Resources through an aggressive $11-million exploration program, expanding its operation, and studying the feasibility of building a mill at site. The Platosa Property, not fully explored, has several geological indicators of a large mineralized system, the tracking of which Excellon believes will lead to the discovery of a world class deposit.


Richard W. Brissenden, President and Chief Executive Officer

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 27E of the Exchange Act. Such statements include, without limitation, statements regarding future anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, business and financing plans, business trends and future operating revenues. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company's ability to obtain any necessary permits, consents or authorizations required for its activities, to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies. All of the Company's public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties.

This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this Press Release, which has been prepared by management.

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