Sherwood Copper Corporation
TSX VENTURE : SWC

Sherwood Copper Corporation

December 11, 2006 07:00 ET

Geophysics Survey at Sherwood's Minto Project Highlights Multiple Targets

Continued High Grade Copper-Gold Intercepts Reported from Area 2 Drilling

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 11, 2006) - Sherwood Copper Corporation (TSX VENTURE:SWC) today announced assay results for nine more Area 2 drill holes plus a preliminary interpretation of a recently completed gradient induced polarization (IP) survey conducted over areas south of the high grade Minto copper-gold deposit. The most recent drill results continue to define a significant occurrence of high-grade copper-gold mineralization at Area 2, while the results of the gradient IP survey are very encouraging, outlining several new exploration targets as well as better defining some already known targets. The IP survey outlines several aerially extensive chargeability anomalies, some of which are associated with strong copper anomalies in soils, magnetic anomalies or known but sparsely drilled mineralization.

"I am very encouraged by the consistently high copper and gold grades from drilling at Area 2," said Stephen Quin, President and CEO of Sherwood. "We continue to get substantial intersections above our target grade of 2% copper along with significant gold credits," he noted. "Further, the results of the recently completed IP survey are very encouraging: when we compare the signature and aerial extent of newly defined geophysical anomalies with the signature of Area 2, we see excellent opportunities for further discoveries of near surface, high-grade copper-gold mineralization," he said. "We aim to be testing both previously known but now better defined targets as well as the newly defined ones in 2007 and look forward to an exciting exploration season."

Results of the South Minto Property Gradient Induced Polarization Survey

Aurora Geosciences Ltd. of Whitehorse, Yukon Territory, was contracted to conduct a gradient induced polarization survey over an area south of the main Minto deposit. This area, approximately 330 hectares in size, encompasses the Area 2 deposit as well as other areas where mineralization was known from historic drilling by prior owners. The survey area also encompasses large areas with no prior drilling and no known mineral occurrences. By conducting the IP survey over Area 2, Sherwood has a chargeability signature that our geological team can use to compare to other areas of the property and use it to rank chargeability responses. See the map linked to this press release (http://ccnmatthews.com/docs/sherwood1.gif) for the location of targets discussed herein.

The results of the gradient IP survey provide considerable encouragement that there may be significant mineralized systems outside of the main Minto deposit and Area 2. Since the IP survey should principally define areas of sulphide mineralization and, given that the only significant sulphides in the Minto area are copper sulphides (pyrite is, for example, rare to absent in the mineralization discovered to date on the Minto property), any anomalies identified have a high probability of being related to copper sulphide mineralization. Three examples of encouraging results in the chargeability data received as part of the IP survey follow. Firstly, there is a substantially larger anomaly in the Area 2 region that extends well beyond the limits of the current drilling. Secondly, a chargeability anomaly has been identified in the northwest corner of the survey block where there are no prior indications of mineralization and no outcrop. Thirdly, targets of interest previously defined through other exploration techniques (such as magnetic surveys, soil geochemistry and prior drill holes) are now better defined.

The core of the mineralization intersected at shallow levels at Area 2 is highlighted as a relatively high chargeability anomaly (with respect to the surrounding area). However, the chargeability anomaly associated with Area 2 now appears to be just a small lobe of a much larger chargeability feature extending to the southwest, into an area where there are only three previous drill holes that penetrate the anomaly. All three of these holes intersected multiple intervals of foliated and mineralized rock (the best intersection being 7.6m of 1.97% Cu and 0.76g/t Au), confirming the presence of copper sulphide mineralization associated with this anomaly. The strongest portions of the anomaly have not been drill tested and there is room to define a significant resource within the limits of the anomaly.

The highest chargeability anomaly in the entire survey is located in the northwest corner of the survey block and is coincident with a cluster of previously defined magnetic anomalies. Since most of the near surface mineralization identified on the Minto property is magnetic, including the main Minto Deposit and Area 2, the coincidence of these anomalies is very encouraging. In addition, this chargeability anomaly is open on the margins of the survey block, to the west and north, so the total aerial extent of the anomaly is unknown and the gradient IP survey needs to be extended in those directions to determine its total extent.

All of the target areas of interest that had been previously identified using magnetic data, copper-in-soil geochemistry or mineralization encountered in sparsely distributed drilling have been enlarged and better defined as a result of the new IP survey. Gradient IP chargeability anomalies associated with the targets known as Ridgetop and Airstrip remain open toward the south, beyond the limits of the IP survey. Additional IP surveys are planned for 2007 to complete the definition of these targets.

The IP survey was completed with a station and line spacing of 50 metres, on cut survey lines.

Area 2 Drill Results

Sherwood has received results for 9 more Area 2 drill holes, bringing the total number of holes received and released to 48 out of 79 holes completed. Please note the news release dated November 20 incorrectly reported the status of assays from drill holes: it should have read that assay results had been released for 39 of 79 Area 2 holes at that time, not 50 of 79. Due to a significant backlog at the assay lab, holes are not necessarily being assayed in order and results for 31 more holes from Area 2 plus two others are still pending. Highlights from the latest drill holes are set out in the table below, while complete results are attached.



--------------------------------------------------------------------------
Hole From To Interval Interval Copper Gold Silver
ID (m) (m) (m) (ft) (%) (g/t) (g/t)
--------------------------------------------------------------------------
06SWC-105 Interval L 48.6 62.8 14.2 46.6 1.37 0.66 5.5
--------------------------------------------------------------------------
Including 54.8 62.7 7.9 25.9 2.02 1.02 9.0
--------------------------------------------------------------------------
06SWC-114 Interval M 110.7 126.9 16.2 53.1 2.05 0.67 8.1
--------------------------------------------------------------------------
Including 110.7 115.2 4.5 14.8 3.42 0.76 12.3
--------------------------------------------------------------------------
06SWC-123 Interval M 145.1 159.0 13.9 45.6 2.14 0.82 6.1
--------------------------------------------------------------------------
Including 151.1 158.6 7.5 24.6 2.59 0.88 7.0
--------------------------------------------------------------------------
06SWC-126 Interval M 148.3 153.5 5.2 17.1 2.14 0.86 8.7
--------------------------------------------------------------------------
06SWC-140 Interval M 148.3 161.9 13.6 44.6 2.40 1.00 7.1
--------------------------------------------------------------------------
Including 157.3 161.9 4.6 15.1 3.36 1.28 11.6
--------------------------------------------------------------------------
06SWC-151 Interval M 103.6 112.5 8.9 29.2 1.75 1.34 6.6
--------------------------------------------------------------------------


Drill results to date from Area 2 typically intercept what Sherwood geologists have designated as Area 2 Interval M. Interval M has comparable grades, thicknesses and depths of burial to that of the main Minto deposit currently being developed as an open pit mining operation. In addition to Interval M, there is typically one or more high to moderate grade horizons above the Interval M (Intervals K and L) while multiple, additional zones of low to high grade mineralization lie below Interval M and present additional resource opportunities (Intervals N, O, P, Q, etc.).

Located near the northwest corner of the current drill area but well inside the perimeter of drilling holes, 06SWC-123 and -140 were located approximately 55 metres apart. Both intersected substantial thicknesses of Interval M mineralization grading better than 2% copper. Starting at 145.1m vertically below surface, Hole 06SWC-123 intersected Interval M, comprised of 13.9m (45.6ft) of 2.14% Cu and 0.82g/t Au, including a sub-interval of 7.5m (24.6ft) grading 2.59% Cu and 0.88 g/t Au. Starting at 148.3m vertically below surface 06SWC-140 intersected a similar thickness of mineralization in Interval M comprised of 13.6m (44.6ft) grading 2.4% Cu and 1.00 g/t Au with a higher grade sub-interval of 4.6m (15.1ft) grading 3.36% Cu and 1.28 g/t Au.

Hole 06SWC-114 is located on the south-eastern limits of the currently drilled area. Starting at 110.7m down a vertical drill hole, an Interval M intercept of 16.2m (53.1ft) grades 2.05% Cu and 0.67g/t Au. Included in this wider interval is a substantially higher grade sub-interval of 4.5m (14.8ft) of 3.42% Cu and 0.76g/t Au. Lying above the Interval M, Interval L graded 1.54% Cu and 0.28 g/t Au over a 4.9m (16.1ft).

Hole 06SWC-151 located at the north-eastern limit of the currently drilled area intersected Interval M starting at 103.6m down a vertical drill hole. Grading 1.75% Cu and 1.34g/t Au over of 8.9m (29.2ft) it indicates the deposit is still open in that direction.

Hole 06SWC-105 is located near the eastern perimeter of the currently drilled area. It intersected a shallow interval of mineralization identified as Interval L starting only 48.6m down the vertical hole. It graded 1.37% Cu and 0.66g/t Au over 14.2m (46.6ft), including a sub-interval of significantly higher grade mineralization at 2.02% Cu and 1.02g/t Au over 7.9m (25.9ft). Interval M was also intersected, starting at 97.2m down the hole with an interval of 13.6m (44.6ft) of 1.20% Cu and 0.43g/t Au, including a significantly higher grade sub-interval of 4.6m (15.1ft) which grades 2.04% Cu and 0.79g/t Au.

Located on the west side of the deposit, holes 06SWC-126 and -127 situated approximately 60 metres apart and forming part of the west perimeter of the current drilled area, returned respectable assay values and the mineralization remains open in that direction. Hole 06SWC-126 intersected Interval M over 5.2m (17.1ft) and graded 2.14% Cu and 0.86g/t Au starting at 148.3m vertically below surface. 06SWC-127 intersected a thicker but lower grade Interval M starting at 120.9m vertically below surface and graded 1.17% Cu and 0.39 g/t Au over 9.3m (30.5ft).

Holes 06SWC-122 and -137 returned mediocre assay results (as expected) on the south perimeter of the drilled area. The shallow mineralization Sherwood is currently focused on appears to be cut off in 06SWC-122 and is petering out in 06SWC-137.

All drill holes are vertical while the mineralized horizons are sub-horizontal to gently inclined to the northwest, so the intersected intervals are at or near to true thicknesses.

The current drill intersections in this news release are discussed in reference to drill-hole plans located at http://ccnmatthews.com/docs/sherwood2.gif. Drill cross-sections will be added to Sherwood's website at a future date.

Minto Project

The Minto Project is a high-grade copper-gold deposit located in the Yukon Territory of Canada. As announced August 28, 2006, the feasibility study indicates production averaging 41 million pounds of copper and 17,295oz of gold per year at cash costs of US$0.57 per pound over the first six years of operations. Mine construction is substantially advanced and Construction Manager JDS Energy & Mining is supervising development activities, with Hatch providing engineering and procurement services. Clark Builders has been retained as general contractors and is constructing the process and related facilities, Pelly Construction is completing the contract mining and numerous other contractors have been engaged for specialized areas of activities. Development activities at the Minto Project are proceeding rapidly and production is forecast mid-2007, with an accelerated schedule targeting start up in Q2, 2007. Project financing and forward sales agreements for a significant portion of the first four years of production were announced October 26, 2006.

Sherwood Copper

Sherwood's successful consolidation of the ownership of the Minto Project provides a unique investment opportunity - participation in an already permitted, partially constructed, high-grade, open pit copper-gold project located in Canada with developed infrastructure and substantial exploration potential within the current property.

On behalf of the board of directors

SHERWOOD COPPER CORPORATION

Stephen P. Quin, President & CEO

This news release may contain forward looking statements which are not historical facts, such as ore reserve estimates, anticipated production or results, sales, revenues, costs, or discussions of goals and exploration results, and involves a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, metal price volatility, volatility of metals production, project development, ore reserve estimates, future anticipated reserves and cost engineering estimate risks, geological factors and exploration results. See the Company's filings for a more detailed discussion of factors that may impact expected results.



Details of Drill Results
To accompany Sherwood Copper News Release Dated December 11, 2006

--------------------------------------------------------------------------
Hole From To Interval Interval Copper Gold Silver
ID Interval ID (m) (m) (m) (ft) (%) (g/t) (g/t)
--------------------------------------------------------------------------
AREA 2
--------------------------------------------------------------------------
06SWC-105 Interval L 48.6 62.8 14.2 46.6 1.37 0.66 5.5
--------------------------------------------------------------------------
Including 54.8 62.7 7.9 25.9 2.02 1.02 9.0
--------------------------------------------------------------------------
And Interval M 97.2 110.8 13.6 44.6 1.20 0.43 3.7
--------------------------------------------------------------------------
Including 106.2 110.8 4.6 15.1 2.04 0.79 6.4
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-106 Previously Released
--------------------------------------------------------------------------
06SWC-107 Previously Released
--------------------------------------------------------------------------
06SWC-108 Previously Released
--------------------------------------------------------------------------
06SWC-109 Previously Released
--------------------------------------------------------------------------
06SWC-110 Previously Released
--------------------------------------------------------------------------
06SWC-111 Previously Released
--------------------------------------------------------------------------
06SWC-112 Previously Released
--------------------------------------------------------------------------
06SWC-113 Previously Released
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-114 Interval L 75.7 80.6 4.9 16.1 1.54 0.28 5.4
--------------------------------------------------------------------------
And Interval M 110.7 126.9 16.2 53.1 2.05 0.67 8.1
--------------------------------------------------------------------------
Including 110.7 115.2 4.5 14.8 3.42 0.76 12.3
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-115 Assays Pending
--------------------------------------------------------------------------
06SWC-116 Assays Pending
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-117 Previously Released
--------------------------------------------------------------------------
06SWC-118 Previously Released
--------------------------------------------------------------------------
06SWC-119 Previously Released
--------------------------------------------------------------------------
06SWC-120 Previously Released
--------------------------------------------------------------------------
06SWC-121 Previously Released
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-122 Interval L 46.7 53.6 6.9 22.6 0.61 0.06 2.0
--------------------------------------------------------------------------
Interval O 239.2 242.8 3.6 11.8 1.61 0.82 8.7
--------------------------------------------------------------------------
Interval P 265.7 270.2 4.5 14.8 1.07 0.29 4.4
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-123 Interval J 11.9 20.6 8.7 28.5 0.78 0.14 2.0
--------------------------------------------------------------------------
Including 15.0 18.0 3.0 9.8 1.20 0.22 2.9
--------------------------------------------------------------------------
And Interval L 96.2 102.2 6.0 19.7 0.93 0.10 2.0
--------------------------------------------------------------------------
Interval M 145.1 159.0 13.9 45.6 2.14 0.82 6.1
--------------------------------------------------------------------------
Including 151.1 158.6 7.5 24.6 2.59 0.88 7.0
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-124 Previously Released
--------------------------------------------------------------------------
06SWC-125 Previously Released
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-126 Interval K 69.3 72.1 2.8 9.2 0.96 0.40 5.8
--------------------------------------------------------------------------
Interval M 148.3 153.5 5.2 17.1 2.14 0.86 8.7
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-127 Interval K 47.8 74.0 27.4 89.9 0.36 0.03 1.0
--------------------------------------------------------------------------
Interval M 120.9 130.2 9.3 30.5 1.17 0.39 4.6
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-128 Assays Pending
--------------------------------------------------------------------------
06SWC-129 Assays Pending
--------------------------------------------------------------------------
06SWC-130 Assays Pending
--------------------------------------------------------------------------
06SWC-131 Previously Released
--------------------------------------------------------------------------
06SWC-132 Previously Released
--------------------------------------------------------------------------
06SWC-133 Previously Released
--------------------------------------------------------------------------
06SWC-134 Assays Pending
--------------------------------------------------------------------------
06SWC-135 Previously Released
--------------------------------------------------------------------------
06SWC-136 Assays Pending
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-137 Interval L 39.5 57.1 17.6 57.7 0.44 0.16 1.6
--------------------------------------------------------------------------
Interval M 119.1 121.3 2.2 7.2 0.91 0.30 3.7
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-138 Previously Released
--------------------------------------------------------------------------
06SWC-139 Assays Pending
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-140 Interval M 148.3 161.9 13.6 44.6 2.40 1.00 7.1
--------------------------------------------------------------------------
Including 157.3 161.9 4.6 15.1 3.36 1.28 11.6
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-141 Assays Pending
--------------------------------------------------------------------------
06SWC-142 Assays Pending
--------------------------------------------------------------------------
06SWC-143 Assays Pending
--------------------------------------------------------------------------
06SWC-144 Assays Pending
--------------------------------------------------------------------------
06SWC-145 Assays Pending
--------------------------------------------------------------------------
06SWC-146 Assays Pending
--------------------------------------------------------------------------
06SWC-147 Assays Pending
--------------------------------------------------------------------------
06SWC-148 Assays Pending
--------------------------------------------------------------------------
06SWC-149 Assays Pending
--------------------------------------------------------------------------
06SWC-150 Assays Pending
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-151 Interval K 29.4 36.9 7.5 24.6 0.56 0.05 0.6
--------------------------------------------------------------------------
Interval L 52.2 64.4 12.2 40.0 0.59 0.04 1.1
--------------------------------------------------------------------------
Interval M 103.6 112.5 8.9 29.2 1.75 1.34 6.6
--------------------------------------------------------------------------

--------------------------------------------------------------------------
06SWC-152 Assays Pending
--------------------------------------------------------------------------
06SWC-153 Assays Pending
--------------------------------------------------------------------------
06SWC-154 Assays Pending
--------------------------------------------------------------------------
06SWC-155 Assays Pending
--------------------------------------------------------------------------
06SWC-156 Assays Pending
--------------------------------------------------------------------------
06SWC-157 Assays Pending
--------------------------------------------------------------------------
06SWC-158 Assays Pending
--------------------------------------------------------------------------
06SWC-159 Assays Pending
--------------------------------------------------------------------------
06SWC-160 Assays Pending
--------------------------------------------------------------------------
06SWC-161 Assays Pending
--------------------------------------------------------------------------
06SWC-162 Assays Pending
--------------------------------------------------------------------------
06SWC-163 Assays Pending
--------------------------------------------------------------------------
06SWC-164 Assays Pending
--------------------------------------------------------------------------
06SWC-165 Assays Pending
--------------------------------------------------------------------------
06SWC-166 Assays Pending
--------------------------------------------------------------------------
06SWC-167 Assays Pending
--------------------------------------------------------------------------
06SWC-168 Assays Pending
--------------------------------------------------------------------------



The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Sherwood Copper Corp.
    Stephen Quin
    President & CEO
    (604) 687-7545 or (888) 338-2200
    or
    Sherwood Copper Corp.
    Brad Kopp
    (604) 687-7545 or (888) 338-2200
    (604) 689-5041 (FAX)
    Website: www.sherwoodcopper.com