Sherwood Copper Corporation
TSX VENTURE : SWC

Sherwood Copper Corporation

June 12, 2007 07:00 ET

Sherwood Reports Excellent Metallurgical Test Results From Area 2 at Minto Mine

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 12, 2007) - Sherwood Copper Corporation (TSX VENTURE:SWC) today announced results for the independent metallurgical testing of the high grade Area 2 copper-gold mineral resource, which returned encouraging results, comparable to those achieved from the main Minto deposit under similar conditions. These metallurgical results, along with the Area 2 resource estimate, will form the basis of a Preliminary Feasibility Study for Area 2 underway by SRK Consulting (Canada) Inc. of Vancouver, BC. Both the main Minto deposit and the Area 2 resource are located within 500m of the Minto mill, which is currently undergoing commissioning.

"The metallurgical test results from the Area 2 discovery at our high grade Minto copper-gold mine are very encouraging," said Stephen Quin, President and CEO of Sherwood. "The results are directly comparable to the main Minto deposit, achieving recoveries of 90% to 95% of the copper in concentrates grading typically 35-45% copper. Flotation gold and silver recoveries were also comparable to those achieved for the main deposit."

As reported February 26, 2006, the measured and indicated resource for Area 2 comprises 3.8 million tonnes at an average grade of 1.80% copper and 0.74g/t gold at a 1.0% copper cut-off within a larger measured and indicated resource of 7.6 million tonnes at an average grade of 1.26% copper and 0.48g/t gold using a 0.5% copper cut-off grade. This estimate incorporates the results of 92 drill holes; 79 completed by Sherwood in 2006 and 13 completed by previous operators. The Area 2 resource remains open to further expansion and additional drilling is planned for 2007.

Metallurgical Test Results

G&T Metallurgical of Kamloops, BC conducted variability testing on 22 composites representing each of the mineralized horizons K, L, M, N, O, P and Q intersected at Area 2 with grades ranging from 0.3% to 3.5% copper. All samples grading greater than 1% copper achieved 90% to 95% copper in open circuit batch tests at a standard grind, slightly less for lower grade material. Master composites were then prepared for each of the L, M and N zones and the deeper O, P and Q zones for locked cycle testing. Locked cycle tests were conducted at target primary grind sizings of 150 micron and 270 microns; these target primary grind sizings represent the feasibility grind size for the main Minto deposit and the proposed coarse grind scenario, respectively.

The locked cycle tests indicated that recoveries averaging 95% of the copper could be achieved for the L and M zones, which comprise the majority of the resource at Area 2, at both grind sizes and produce a copper concentrate grading approximately 42% copper. Gold recoveries in flotation typically averaged 80% to 84% at a 150 micron grind, and 63% to 75% at the coarser grind size. Silver recoveries averaged 80% to 87% for the L and M zones respectively, regardless of grind size.

Locked cycle tests on the N Zone, which has less bornite and more chalcopyrite and primarily contributes low grade material to the Area 2 resource, achieved 94% to 97% copper recoveries and a concentrate grade of 29% copper, while gold recoveries were 77% at the finer grind and 68% at the coarser grind. Silver recoveries were consistent at around 80%. Locked cycle tests on the O Zone achieved average copper recoveries of 92%, while gold and silver recoveries averaged approximately 70% and 80% respectively, at about 42% copper concentrate grade, regardless of grind size.

The P zone composite achieved average copper recoveries of about 90% at a 40% copper concentrate grade, regardless of grind size, in locked cycle tests. The Q Zone composite achieved about 91% copper recovery at a 40% to 42% copper concentrate grade. Gold recoveries for the P Zone were 67% and 51% at the finer and coarser grinds, respectively, while for the Q Zone they were 79% and 68% respectively at the finer and coarser grinds. Silver recoveries averaged about 80% overall.

No gravity work was carried out to determine what amount of gravity recoverable free gold was being lost to tailings. Oxidation was not an issue in any of the samples tested and the lower copper recoveries reported above were generally for the lower grade sample material provided.

Minto Project

The Minto Project is a high-grade copper-gold deposit located in the Yukon Territory of Canada. The mill is currently undergoing commissioning and is expected to ramp up to full production during the third quarter of 2007.

Sherwood

Sherwood's successful consolidation of the ownership of the Minto Project provides a unique investment opportunity - participation in a fully permitted, operating, high-grade, open pit copper-gold project located in Canada with tremendous exploration potential on the 100% owned 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 metallurgical testing on the Minto samples was carried out under the supervision of John Folinsbee, P.Eng., of G&T Metallurgical Services Ltd. of Kamloops, B.C.

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.

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