Lincoln Mining Corporation
TSX VENTURE : LMG

Lincoln Mining Corporation

January 28, 2011 14:46 ET

Lincoln Mining: 2010 Year in Review

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 28, 2011) - Lincoln Mining Corporation (TSX VENTURE:LMG) ("Lincoln" or the "Company"). Paul Saxton, President and CEO of Lincoln Mining Corporation, is pleased to report on the Company's progress during 2010, marking its first full year of trading on the TSX-V.

The Company's immediate objective is to become a precious metals producer within 2 years with increasing production each year after that.

During 2010 the Company advanced all three of its 100% controlled gold/silver projects; the Pine Grove in Nevada, the Oro Cruz in southern California and the La Bufa in Chihuahua, Mexico. The Company's focus has been advancing the Pine Grove to develop an updated resource calculation, while also conducting further exploration work at its Oro Cruz and La Bufa projects. Details of all the exploration work can be found on the Company's website, www.lincolnmining.com. Lincoln also completed an equity financing during the year which netted $4.0 million.

During the year, a number of work programs were undertaken at the Pine Grove all designed to place the property into production. In February, a 63 drill-hole confirmation program was completed. The drilling was carried out on the two patented claim areas, the Wilson and the Wheeler which form part of the property, to reaffirm and potentially upgrade the gold resources identified by a 160-hole program conducted by Teck Resources Ltd. in the early 1990's. A number of the current drill-hole assay results are consistent with the high grade aspect of the previous underground mining grades. For detailed results, please see the Company's press release dated March 2, 2010.

In anticipation of future production, Lincoln has been considering an open pit, heap leach type of operation for Pine Grove. The process plant may have to be redesigned to ensure that the coarse gold from these high grade areas is recovered as well as the low grade finer gold. Metallurgical test work continues at McClelland Labs in Reno to determine potential gold recoveries from the various types of mineralization. Permitting and environmental studies will continue in 2011. In addition, geotechnical drilling is planned as well as more exploration drilling necessary to better define the high grade zones that have been intercepted.

At the Oro Cruz property in southern California, a National Instrument 43-101 compliant technical report on resources was completed by Tetra Tech of Denver (see complete report filed on SEDAR September 21, 2010 at www.sedar.com or on the Company's website) which has defined an inferred resource of 341,800 ounces grading 2.2 g/t using a cut-off of 0.6 g/t. This resource is being used as a base to potentially upgrade the resource and expand the deposit. The technical report recommends a twin hole program, bulk density and metallurgical test work to convert Inferred resources to Indicated and Measured. In addition, five satellite gold zones have been identified and over 10 targets in the area have been defined for future exploration. This preliminary information suggests the area has substantial room to grow the resource and a work program has been developed with that objective in mind. With the current resource, the project has near-term production potential. In the latter part of 2010, Lincoln staked an additional 63 claims in an area it believes to have exploration potential. The Company has hired Mintec, Inc. of Tucson, Arizona to complete an initial open pit design on the project and will use Tetra Tech of San Bernardino, California to begin environmental baseline studies on the property. As with the Pine Grove project this property has excellent infrastructure to accommodate access, utilities and facilities.

As a result of the geophysical survey, trench sampling, and mapping carried out in 2010, the La Bufa project is becoming an increasingly attractive exploration target. The property is situated in an outstanding location within the Sierra Occidental belt. The high grade historical production is a good indicator of the potential of the property with the investment of a major work program. Lincoln's mining concessions encircle the areas of past production with key targets and extensions now well defined by all the Company's exploration work. Over 22,000 line meters of geophysics have been completed, numerous soil and rock samples were taken and the area has been mapped in detail. Samples grading up to 1 ounce of gold and 28 ounces of silver have been reported. The host rock for the gold and silver is the "Lower Volcanics" and this setting combined with the data from geophysics and rock and soil sampling programs have given us numerous drill targets. Please see the Company's press release dated July 27, 2010 for more information.

The Company will continue to develop its exploration strategies with a view to maximizing shareholder value and focusing on its long term goal to build Lincoln Mining into a mid tier gold producer.

On behalf of Lincoln Mining Corporation

Paul Saxton, President & CEO

Lincoln Mining Corp. is a Canadian precious metals exploration and development company with several projects in various stages of exploration and development which include the Pine Grove gold property, the Oro Cruz gold property in California and the La Bufa gold-silver property in Mexico. In the United States, the Company operates under Lincoln Gold US Corp., a Nevada corporation.

THIS PRESS RELEASE INCLUDES FORWARD-LOOKING STATEMENTS OR INFORMATION. ALL STATEMENTS OTHER THAN STATEMENTS OF HISTORICAL FACT INCLUDED IN THIS RELEASE, INCLUDING WITHOUT LIMITATION, STATEMENTS REGARDING FUTURE PLANS AND OBJECTIVES OF LINCOLN MINING ARE FORWARD-LOOKING STATEMENTS THAT INVOLVE VARIOUS RISKS AND UNCERTAINTIES. THERE CAN BE NO ASSURANCE THAT SUCH STATEMENTS WILL PROVE TO BE ACCURATE AND ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN SUCH STATEMENTS. IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE COMPANIES' PLANS OR EXPECTATIONS INCLUDE AVAILABILITY OF CAPITAL AND FINANCING, GENERAL ECONOMIC, MARKET OR BUSINESS CONDITIONS, REGULATORY CHANGES, TIMELINES OF GOVERNMENT OR REGULATORY APPROVALS AND OTHER RISKS DETAILED HEREIN AND FROM TIME TO TIME IN THE FILINGS MADE BY THE COMPANY. THE COMPANY MAKES ALL REASONABLE EFFORTS TO UPDATE ITS CORPORATE MATERIAL, DOCUMENTATION AND FORWARD-LOOKING INFORMATION ON A TIMELY BASIS.

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