Sherwood Copper Corporation
TSX VENTURE : SWC

Sherwood Copper Corporation

November 02, 2006 07:00 ET

Sherwood Releases More High Grade Results From Its Area 2 Discovery at Minto

06SWC-111 intersects 16.8 metres of 4.0% Copper & 1.7g/t Gold within 33.4 metres of 2.8% Copper & 1.2g/t Gold

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 2, 2006) - Sherwood Copper Corporation (TSX VENTURE:SWC) today announced results for a further 15 drill holes from its Area 2 discovery at the Minto project in the Yukon. At year end, drilling ended within approximately 130m of the open pit currently undergoing waste stripping in preparation for commercial production in the second quarter of 2007. These latest drill holes in Area 2 continue to delineate high-grade copper-gold mineralization over an area of up to 350m by 260m and well outside the original magnetic anomaly targeted. This mineralization has the potential to lead to an extended operating life of the Minto Project, at similar grades to those planned for the first six years of operation.

Highlights from the latest drill holes are set out in the table below, while complete results are attached. All drill holes are vertical while the mineralized horizons are sub-horizontal to gently dipping to the northwest so the intersected intervals reported herein are interpreted to be at or near to true thicknesses.



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Inter- Inter-
From To val val Copper Gold Silver
Hole ID Interval ID (m) (m) (m) (ft) (%) (g/t) (g/t)
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06SWC-109 Interval 2 (M) 154.1 167.5 13.4 43.8 2.05 0.79 6.4
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06SWC-110 Interval 1 (L) 113.0 120.2 7.2 23.7 2.16 0.59 6.8
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06SWC-111 Interval 4 (M) 109.1 142.5 33.4 109.5 2.86 1.21 11.0
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Including 125.7 142.5 16.8 55.1 3.97 1.73 15.8
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06SWC-116 Interval 1 (L) 106.8 116.9 10.1 33.1 2.10 0.87 6.8
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Interval 2 (M) 147.1 161.5 14.4 47.2 2.08 0.68 6.0
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06SWC-125 Interval 3 (M) 152.8 166.6 13.8 45.3 2.87 1.03 8.1
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Including 154.2 161.6 7.4 24.3 3.96 1.36 10.1
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06SWC-132 Interval 1 (M) 159.5 178.9 19.4 63.6 2.04 0.88 6.0
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06SWC-135 Interval 2 (M) 101.8 110.6 8.8 28.9 2.37 0.71 5.3
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Including 106.3 110.6 4.3 14.1 3.17 0.98 7.0
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"I am encouraged with the consistency of high grade copper-gold intercepts from Area 2 of our Minto Project," said Stephen Quin, President and CEO of Sherwood. "Many drill holes return significant sections of greater than 2% copper and 0.5g/t Au. The high grades over substantial thicknesses in drill holes 06SWC-111, -125 and -132 are particularly encouraging as they are the first assay results from the bornite-rich area we were following late in the 2006 drill program," he said. "By tracing this mineralization to the northwest, we ended up extending high grade copper-gold mineralization well outside the limits of our initial target area. We plan to complete a resource estimate and pre-feasibility study with the objective of converting resources defined in Area 2 to mineral reserves, ideally before we commence production in 2007," he added.

Drilling at Area 2 typically intercepts what Sherwood geologists now interpret to be the equivalent to the main ore zone at the adjacent Minto deposit. The working model is that Area 2 and the Minto deposit are separated by a fault with limited displacement. Area 2 has comparable grades, thicknesses and depths of burial to that of the deposit currently being developed as an open pit mining operation. In addition to the main horizon, there is typically one high grade and at least one moderate grade horizon above the main horizon while multiple, additional zones of low to high grade mineralization lie below the main horizon and present additional resource opportunities.

Geological modelling is well underway and for comparison purposes drill intersections in this news release are labelled with respect to their relative position from the drill collar where Interval 1 is the first significant interval of greater than 0.5% copper. The letter designation denotes the absolute position of that interval in the geological model. The letter M equals the equivalent of the Minto deposit "Main Zone". Horizons "M" and "L" are the principal two horizons of economic interest at Area 2 due to their similar grade and depths of burial as the adjacent Minto Deposit mineralization which is currently under development.

Recent Drill Results

Sherwood completed 18,376 metres (60,289 feet) of NQ size drilling in 79 exploration holes at Area 2 in 2006. Heavy demand at the assay laboratory had initially caused a significant backlog in sample preparation and a delay in receiving assay data. This situation has changed and results are now available for 15 new holes. Following this release, assay results are now pending on an additional 43 holes from Area 2 and 1 hole from a separate exploration target. All drill samples are now either at ALS-Chemex's lab in Vancouver or are in transit. Due to the prior backlog at the assay lab, some sample shipments were analyzed out of order and accounts for the non-sequential (by hole) release of results. Sherwood is still on track to complete the Area 2 resource estimate by early 2007.

Additional information on Area 2 can be found in a news release dated October 12, 2006. A map illustrating the location of individual drill holes within Area 2 will be placed on Sherwood's website by November 6, 2006.

Minto Project

The Minto Project is a high-grade copper-gold deposit located in the Yukon Territory of Canada. As announced on July 10, 2006 and updated August 28, 2006, Sherwood has completed a feasibility study for the development of the Minto Project as a high grade, open pit copper-gold mine, which study demonstrated robust returns. Sherwood has engaged its engineering, procurement and construction management, mining and general contractors for the development of a mining operation at Minto. Development is now well underway and production is forecast to commence in the second quarter of 2007.

Sherwood

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 infrastructure and exploration potential on the property.

Quality Assurance

The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 and reviewed by Stephen P. Quin, P. Geo., President & CEO for Sherwood Copper Corporation. The exploration activities at the Minto project site are carried out under the supervision of Brad Mercer, P. Geol., Exploration Manager with Sherwood.

The analytical method for the copper, gold and silver analyses is multistage acid digestion of the samples followed by atomic absorption spectroscopy for copper and fire assay with atomic absorption spectroscopy finish for gold and silver carried out by ALS Chemex in North Vancouver. When visible gold is noted in drill core samples or regular fire assay values appear abnormally high, the pulp and screen metallic assay method is used to determine the total gold content and gold contents of different size fractions. This is considered industry best practice when dealing with coarse gold mineralization where a nugget effect is suspected. This determination is accepted as the most representative value and is used in the assay database for resource calculations. Blank and standard samples are used for quality assurance and quality control, and any check samples that assay outside the expected ranges results in the entire batch being re-assayed. After the completion of planned drill programs at Minto, random check assays will be carried out by Acme Analytical of Vancouver.

Assay intervals reported herein are drill core lengths unless otherwise stated. Because the deposit is essentially flat lying and most drill holes reported to date are vertical, true widths are generally expected to be the same as reported core lengths.

Additional Information

Additional information on Sherwood and its Minto Project can be obtained on Sherwood's website at http://www.sherwoodcopper.com.

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 #39 Dated November 2, 2006

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Inter- Inter- Cop- Sil-
From To val val per Gold ver
Hole ID Interval ID (m) (m) (m) (ft) (%) (g/t) (g/t)
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AREA 2
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06SWC-105 Assays Pending
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06SWC-106 Previously Released
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06SWC-107 Interval 1 (M) 41.4 147.6 6.2 20.3 2.11 0.65 7.0
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06SWC-108 Previously Released
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06SWC-109 Interval 1 (L) 105.4 112.8 7.4 24.3 1.40 0.86 7.8
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Inc. 105.4 109.3 3.9 12.8 2.29 1.48 12.0
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Interval 2 (M) 154.1 167.5 13.4 43.8 2.05 0.79 6.4
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06SWC-110 Interval 1 (L) 113.0 120.2 7.24 23.7 2.16 0.59 6.8
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06SWC-111 Interval 1 (J) 9.1 18.4 9.3 30.5 0.93 0.11 1.52
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Interval 2 (K) 46.9 51.0 6.1 20.0 1.13 0.02 0.6
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Interval 3 (L) 68.1 72.7 4.6 15.1 0.93 0.12 2.5
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Interval 4 (M) 109.1 142.5 33.4 109.5 2.86 1.21 11.0
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Inc. 125.7 142.5 16.8 55.1 3.97 1.73 15.8
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06SWC-112 Previously Released
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06SWC-113 Previously Released
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06SWC-114 Assays Pending
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06SWC-115 Interval 1 (K) 71.8 74.1 2.3 7.5 0.77 0.06 1.6
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Interval 2 (L) 78.8 84.8 6.0 19.7 0.58 0.04 1.3
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Interval 3 (M) 124.7 138.2 13.5 44.3 1.54 0.55 5.9
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Inc. 131.7 138.2 6.5 21.3 2.02 0.78 8.8
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Interval 4 (P) 250.0 254.5 4.5 14.8 2.00 0.68 5.5
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06SWC-116 Interval 1 (L) 106.8 116.9 10.10 33.1 2.10 0.87 6.8
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Interval 2 (M) 147.1 161.5 14.40 47.2 2.08 0.68 6.0
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Interval 3 (P) 279.1 286.6 7.5 24.6 1.05 0.60 4.9
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06SWC-117 Previously Released
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06SWC-118 Assays Pending
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06SWC-119 Interval 1 (K) 47.2 61.6 14.4 42.2 0.54 0.21 1.7
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Interval 2 (L) 71.0 78.1 7.1 23.3 0.81 0.48 3.7
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Interval 3 (M) 90.5 102.3 11.8 38.7 1.66 0.38 3.9
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Inc. 96.5 102.3 5.8 19.0 1.92 0.48 4.7
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06SWC-120 Interval 1 (L) 54.6 67.4 12.8 42.0 1.56 0.90 8.0
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Inc. 60.8 67.4 6.6 21.6 2.58 1.55 14.0
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Interval 2 (M) 97.5 117.0 19.5 64.0 0.90 0.34 3.1
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06SWC-121 Interval 1 (L) 70.7 78.4 7.7 25.3 1.71 0.81 7.7
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Inc. 73.7 78.4 4.7 15.4 2.55 1.23 11.8
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Interval 2 (M) 120.7 140.1 19.4 63.6 1.73 0.71 6.2
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Inc. 126.0 140.0 14.0 45.9 2.05 0.88 7.7
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06SWC-122 Assays Pending
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06SWC-123 Assays Pending
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06SWC-124 Interval 1 (M) 158.2 171.1 12.9 44.3 1.73 0.61 5.2
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Inc. 162.7 170.2 7.5 24.6 1.98 0.67 6.0
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06SWC-125 Interval 1 (K) 113.0 116.1 3.1 10.2 0.74 0.04 1.5
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Interval 2 (L) 128.0 132.5 4.5 15.1 0.74 0.10 1.6
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Interval 3 (M) 152.8 166.6 13.8 45.3 2.87 1.03 8.1
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Inc. 154.2 161.6 7.4 24.3 3.96 1.36 10.1
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06SWC-126 Assays Pending
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06SWC-127 Assays Pending
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06SWC-128 Assays Pending
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06SWC-129 Assays Pending
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06SWC-130 Assays Pending
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06SWC-131 Interval 1 (L) 48.6 58.5 9.9 32.5 1.94 0.61 8.2
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Interval 2 (M) 93.7 107.1 13.4 44.0 1.63 0.45 4.5
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Inc. 98.2 107.1 8.9 29.2 1.87 0.50 5.4
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06SWC-132 Interval 1 (M) 159.5 178.9 19.4 63.6 2.04 0.88 6.0
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06SWC-133 Interval 1 (L) 63.6 65.0 1.40 4.6 7.13 3.74 36.1
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Interval 2 (M) 103.1 114.0 10.9 35.8 1.22 0.52 3.3
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06SWC-134 Assays Pending
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06SWC-135 Interval 1 (L) 49.9 56.3 6.4 21.0 1.01 0.34 1.4
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Interval 2 (M) 101.8 110.6 8.8 28.9 2.37 0.71 5.3
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Inc. 106.3 110.6 4.3 14.1 3.17 0.98 7.0
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06SWC-136 Assays Pending
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06SWC-137 Assays Pending
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06SWC-138 Assays Pending
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06SWC-139 Assays Pending
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06SWC-140 Assays Pending
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06SWC-141 Assays Pending
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06SWC-142 Assays Pending
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06SWC-143 Assays Pending
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06SWC-144 Assays Pending
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06SWC-145 Assays Pending
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06SWC-146 Assays Pending
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06SWC-147 Assays Pending
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06SWC-148 Assays Pending
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06SWC-149 Assays Pending
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06SWC-150 Assays Pending
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06SWC-151 Assays Pending
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06SWC-152 Assays Pending
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06SWC-153 Assays Pending
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06SWC-154 Assays Pending
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06SWC-155 Assays Pending
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06SWC-156 Assays Pending
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06SWC-157 Assays Pending
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06SWC-158 Assays Pending
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06SWC-159 Assays Pending
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06SWC-160 Assays Pending
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06SWC-161 Assays Pending
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06SWC-162 Assays Pending
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06SWC-163 Assays Pending
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06SWC-164 Assays Pending
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06SWC-165 Assays Pending
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06SWC-166 Assays Pending
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06SWC-167 Assays Pending
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06SWC-168 Assays Pending
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Contact Information

  • Sherwood Copper Corporation
    Stephen Quin
    President
    (604) 687-7545 or 1-888-338-2200
    or
    Sherwood Copper Corporation
    Brad Kopp
    Investor Relations
    (604) 687-7545 or 1-888-338-2200
    or
    Sherwood Copper Corporation
    Kristy Reynolds
    Investor Relations
    (604) 687-7545 or 1-888-338-2200
    (604) 689-5041 (FAX)
    Website: www.sherwoodcopper.com