Excellon Resources Inc.

Excellon Resources Inc.

October 16, 2006 17:11 ET

Excellon Resources Inc.: Assays Verify High Grades in 12 Sulphide Intersections Expanding the Limits of the Guadalupe Manto

TORONTO, ONTARIO--(CCNMatthews - Oct. 16, 2006) - Excellon Resources Inc. (TSX VENTURE:EXN)(TSX VENTURE:EXN.DB.U) is pleased to announce high grade assay results from 12 intersections of massive sulphide and sulphide-rich breccia on its 100% owned Platosa Property in Durango State, Mexico. All 12 holes lie beyond the northern limits of the Guadalupe Manto as outlined in the NI 43-101 Mineral Resource Estimate prepared by Scott Wilson Roscoe Postle Associates ("Scott Wilson RPA"), independent geological and mining consultants, which was reported on August 17, 2006.

These recent intersections extend the interpretation of the mineralization in this manto by up to 100 metres (see map). Silver grades range between 461 and 5,480 g/T (14.8 and 176.2 oz/T); lead grades range between 4.4 and 58.0%; and zinc grades range between 0.9 and 29.9% over intervals ranging from 0.7 to 7.7 metres (see table). The assays reported here reflect only the massive sulphide portions of the intersections and results from sulphide-bearing breccias and mineralized limestone surrounding the massive sulphides are pending.

The results from Holes LP-288, 293 and 301 confirm the visual assessments reported previously on August 25 and September 5, 2006. Hole 301 has two separate intersections of massive sulphide, 6.4 and 6.2 metres, respectively grading 1,351 and 892 g/T (43.4 and 28.7 oz/T) Ag; 29.9 and 20.8% Pb; and 14.0 and 11.3% Zn. These intersections are surrounded by limestone and sulphide breccia zones ranging from 0.6 to 1.2 metres thick for which assays are pending and were assumed to have zero values for purposes of the calculations presented here. Final results should improve the grade of these intersections somewhat.

In addition to the 12 holes reported here, assays are pending for nine additional intersections of massive sulphides ranging from 0.65 to 6.55 metres in thickness. Another 10 holes have cut sulphide-bearing breccias with assays to date ranging from 0.7 to 5 metres thick that carry grades ranging from 62 to 472 g/T (2 to 15 oz/T) Ag; 1 to 4% Pb; and 1.1 to 5.1% Zn. Other assays on these holes are pending as well as other intersections of a similar nature on 16 additional holes.

"We are pleased to receive laboratory confirmation of the anticipated grade of the intersections we've had since August outside of the NI 43-101 Resource. They represent some of the thickest intersections of massive sulphide drilled on the property and the zones remain open in several directions. We are looking forward to tracing this high grade mineralization with the mine development and exploration from underground in the near future," said Richard Brissenden, Excellon's chairman. "Current drilling has shifted to regional targets away from the immediate vicinity of the Platosa Mine. Two rigs are drilling on the Excellon-Apex Silver Joint Venture ground, 1.5 and 5 kilometres distant from the mine, and one rig is testing targets near the old Zorra Mine, four kilometres west of the mine on ground optioned from Exploraciones Altiplano. We have contracted an airborne Mag-Electromagnetic survey for later this fall and are looking forward to adding this data to our district exploration information."

The regional drilling is testing preliminary geological, geochemical and geophysical targets developed near old mines and prospects within the Sierra Bermejillo where the Platosa Mine is located. Drilling to seek the lower reaches of the Zorra Chimney, four kilometres to the west of Platosa is underway. The Zorra Chimney was an irregular cylindrical body roughly 35 metres in diameter and 85 metres deep that was mined in the 1960s and 1970s. Initial holes are also being drilled in the "Crestoncitos" jasperoid breccias 1.5 kilometres to the southeast of the Platosa Mine and around the "Canyon Colorado" rhyolite intrusion five kilometres to the northwest of the Platosa Mine. This rhyolite body is surrounded by extensively prospected iron-oxide bodies (gossans) and has several strong geophysical anomalies associated with its flanks.

Qualified Person and Quality Assurance and Control

Dr. Peter Megaw, PhD, CPG has acted as the Qualified Person, as defined in NI 43-101, for the exploration data and supervised the preparation of the technical exploration information on which this news release is based. Dr. Megaw has a PhD in geology and more than 20 years of relevant experience focused on silver and gold mineralization, and exploration and drilling in Mexico. He is a Certified Professional Geologist (CPG 10227) by the American Institute of Professional Geologists and an Arizona Registered Geologist (ARG 21613). Dr. Megaw is not independent of Excellon as he and his company are shareholders.

The Platosa exploration program is designed and supervised by Dr. Peter Megaw, Excellon's consulting geologist and exploration manager of its Mexican subsidiary. Assaying is being performed by SGS Laboratories of Don Mills, Ontario with check assaying by ALS Chemex of Vancouver, British Columbia and/or BSI Inspectorate of Reno, Nevada. Scott Wilson RPA completed the engineering design for Excellon's test mining program at Platosa and provides ongoing technical advice to the operation.

To view the Table: Assay Results, please click on the following link: http://www.ccnmatthews.com/docs/exrtable.pdf

To view the Location of Mantos map, please click on the following link: http://www.ccnmatthews.com/docs/exrmap.pdf

Excellon, an emerging silver producer, is using proceeds from its test-mining operation to explore its 14,692-hectare Platosa/Saltierra Properties in northeastern Durango State, Mexico. Taking advantage of a unique convergence of infrastructure, high grade ore, and low production costs, the Company has built a significant treasury and will remain self-financed well into the future as it tracks the Carbonate Replacement Deposit believed to be at Platosa.

On behalf of


Richard W. Brissenden, Chairman 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, should 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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