Lincoln Mining Corporation
TSX VENTURE : LMG

Lincoln Mining Corporation

May 24, 2011 14:54 ET

Lincoln Mining Advances Pine Grove Gold Property, Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 24, 2011) - Lincoln Mining Corporation (TSX VENTURE:LMG) ("Lincoln" or the "Company") announces that it will continue to aggressively advance the Pine Grove gold project in 2011, including conducting an economic assessment and completing the permitting process. Recent in-house pit designs on resource areas have been encouraging and also support the Company's decision to continue exploration of various targets by drilling and also by developing new targets through soil sampling. The Company continues with its permitting work with the help of JBR Environmental Consultants, Inc. of Reno, Nevada. Additional metallurgical work is planned to begin shortly, including the investigation of high-grade ore recovery systems along with additional heap leach recovery confirmation.

Present gold resources are contained in two gold deposits, the Wilson and the Wheeler. The Wilson deposit is on the north side of Pine Grove Creek and the Wheeler deposit is about 3,000 ft eastward on the south side of Pine Grove Creek. Combined Indicated resources for the Wheeler and Wilson deposits are reported at 177,000 ozs gold contained in 5,316,000 tons grading 0.033 opt gold at a 0.010 opt gold cutoff grade. In addition, Inferred resources are reported at 115,000 ozs gold contained in 4,136,000 tons grading 0.028 opt gold at a 0.010 opt gold cutoff grade.

WILSON DEPOSIT AREA (see attached map)

Step-out Drilling: Lincoln presently has 15 drill pads on the Wilson patented claims in areas that represent step-out exploration on the Wilson gold deposit. State regulators have approved completion of drilling on these existing pads. Lincoln plans to complete drilling in these areas in 2011.

WS-17 Target: In 1991, Teck Resources drilled a single reverse-circulation hole, WS-17, approximately 400 to 500 ft northeast of the Wilson gold deposit. This vertical hole intercepted 45 ft grading 0.030 opt gold from 205 ft to 250 ft (Teck Resources 1991). Teck conducted no follow-up drilling. Grade-thickness maps indicate that the Wilson deposit remains open and trending northeastward towards hole WS-17. Lincoln plans to systematically test the WS-17 target with closely spaced step-out RC holes as soon as a permit can be obtained from the US Forest Service. The goal of the drilling is to develop new gold resources by extending the Wilson deposit to the northeast.

WS-6 Target: Approximately 1600 ft east of the Wilson deposit, on the lower northern slope of the Pine Grove drainage, is the "WS-6" drill target. In 1990, Teck Resources drilled reverse-circulation hole WS-6 near a collapsed adit in an area of historic, small mine workings and prospects. The vertical hole encountered 35 ft grading 0.043 opt gold from 0 to 35 ft (Teck Resources 1990). Teck conducted no follow-up drilling. A horizontal 8 ft-rock-chip sample collected up-slope from the drill hole in sheared Jurassic granodiorite contained 0.069 opt gold (Kinross Gold Corp. 2009). Two additional rock-chip samples collected from the same location contain 0.154 opt gold in sheared, iron-stained granodiorite and 0.103 opt gold in sheared granodiorite with copper stain (US Gold Corp. 2010). Low-angle shearing is prevalent in the host rock. Lincoln plans to systematically drill test the WS-6 target area with closely spaced, shallow RC drill holes as soon as a permit can be obtained from the US Forest Service. The goal of the drilling is to discover and develop new gold resources at shallow depth.

Gold Soil Anomalies: Two strong gold-in-soil anomalies are located on the southwestern portion of the Wilson patented claims. These anomalies are in the vicinity of some existing drill pads which can be drilled at this time. An additional four strong gold-in-soil anomalies are located off of the Wilson patented claims to the west-northwest on ground controlled by the Company. There is no past drilling in the vicinity of these soil anomalies. Lincoln plans to test all anomalies once permits are received.

WHEELER DEPOSIT AREA (see attached map)

Wheeler West Target: Numerous historic mine workings are located approximately 700 ft west of the Wheeler gold deposit. It appears that the old near-surface mine workings were focused on the granodiorite host rock that occurs immediately adjacent to rhyolite dikes. The source of gold mineralization is believed to be the rhyolite dikes. This style of gold mineralization is also present at the Wilson deposit. Past drilling by Teck Resources did not drill test this area. Lincoln intends to angle drill across the granodiorite and rhyolite dike sequence as soon as a permit can be obtained from the US Forest Service. The goal of the drilling is to discover and develop new gold resources near the existing Wheeler gold deposit.

Southern Cross Target: Lincoln plans to conduct a large soil survey (gold & copper) in an area known as the Southern Cross target area, approximately 3,000 ft south of the Wheeler gold deposit. Previous rock-chip sampling by Teck Resources included very anomalous gold assays including 2.013, 0.255, 0.246, 0.179, 0.047, and 0.016 opt gold (Teck Resources 1990). No geologic descriptions are available for these past rock-chip samples. Soil sampling should be revealing in this area and will begin once all snow has melted from north-facing slopes. The Company expects that new drill targets will develop from this work.

METALLURGICAL WORK

Column Leach Tests: Lincoln plans to conduct additional metallurgical tests on mineralized core from four PQ holes drilled in 2010. The core will be crushed to -3/8-inch and assayed to determine mineralized intervals. Composites will then be compiled for column leach and related tests. Geotechnical logging of the core has been completed by Golder Associates.

Mr. Jeffrey Wilson, the Company's Vice President Exploration and a Qualified Person under National Instrument 43-101, reviewed and approved the scientific and technical information contained in the preparation of this news release.

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.

On behalf of Lincoln Mining Corporation

Paul Saxton, President & CEO

To view the map associated with this press release, please click on the following link: http://media3.marketwire.com/docs/l524.pdf

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 LINCOLN'S PLANS TO EXPAND THE CURRENT RESOURCE AT ITS PINE GROVE PROJECT AND OTHER FUTURE PLANS AND OBJECTIVES OF LINCOLN 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. ACCORDINGLY, INVESTORS SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS. IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE COMPANY'S PLANS OR EXPECTATIONS INCLUDE THE RISK THAT ACTUAL RESULTS OF FUTURE EXPLORATION WORK, INCLUDING DRILL RESULTS AND RESULTS OF ENGINEERING AND METALLURGICAL STUDIES, WILL NOT SUPPORT THE COMPANY'S PLANS TO ADVANCE THE PINE GROVE PROJECT; COST OVERRUNS AND PROJECT DELAYS; AVAILABILITY OF CAPITAL AND FINANCING NECESSARY TO FUND PLANNED EXPLORATION WORK ON THE PINE GROVE PROJECT AND TO OTHERWISE ADVANCE THE PROJECT; FLUCTUATIONS IN COMMODITY PRICES AND FOREIGN EXCHANGE RATES; GENERAL ECONOMIC, MARKET OR BUSINESS CONDITIONS; MINING ACCIDENTS; REGULATORY CHANGES; TIMELINES OF GOVERNMENT OR REGULATORY APPROVALS AND PERMITTING; 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 TO THE EXTENT REQUIRED BY APPLICABLE LAWS.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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