North American Tungsten Corporation Ltd.
TSX VENTURE : NTC

North American Tungsten Corporation Ltd.

October 15, 2008 21:34 ET

North American Tungsten Cancels Private Placement and Strategic Agreement With Hunan Nonferrous Metals Corporation

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 15, 2008) - North American Tungsten Corporation Ltd. (TSX VENTURE:NTC) ("NTC" or "the Company") announces that it has cancelled the private placement of approximately 13.4 million units of NTC at a price of $1.45 per unit on a private placement basis as part of a Strategic Alliance Agreement ("Agreement") previously announced (see news release dated March 5, 2008) between Hunan Nonferrous Metals Corporation ("Hunan Nonferrous") and the Company. The Company has granted Hunan Nonferrous numerous extensions (a total extension of 192 days) to the closing date contemplated in the Agreement in order for Hunan Nonferrous to expeditiously apply for and use reasonable good faith efforts to obtain the relevant Chinese Government approvals, which to date have not been received.

Effective June 2, 2008 the Company cancelled the exclusivity clause under the Agreement with Hunan Nonferrous in order to engage in negotiations with additional potential strategic partners. Further, NTC subsequently successfully closed both a $5,004,000 brokered flow through financing (see news release dated August 7, 2008) and a US$3,000,000 Convertible Debenture financing (see news release dated September 23, 2008). NTC continues to review various potential sources of Mactung project financing.

Mr. Stephen Leahy, Chairman & CEO of NTC stated, "While we certainly hope to work with Hunan Nonferrous in the future, the duration of the approval process has been too prolonged and NTC must continue forward its negotiations with other parties."

The Company would also like to take this opportunity to announce that the European APT (ammonium paratungstate) remains stable at $250 to $255 per metric tonne unit ("mtu") versus the prior quote of $252 to $257 per mtu (September 12 2008) in contrast to the high degree of volatility in both the equity and physical commodity markets.

ABOUT NORTH AMERICAN TUNGSTEN CORPORATION LTD.

The Company is a publicly listed Tier 1 Junior Resource Company engaged primarily in the operation, development, and acquisition of tungsten and other related mineral properties in Canada. The Company's 100% owned Cantung mine and Mactung development project make it one of the few tungsten producers with both a producing mine and strategic development asset in the western world. Mactung is one of the world's largest known undeveloped high grade tungsten-skarn deposits.

ON BEHALF OF THE BOARD OF DIRECTORS

Stephen M. Leahy, Chairman & CEO

Cautionary Note: The Company relies upon litigation protection for "forward-looking" statements.

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

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