Woulfe Mining Corp.
TSX VENTURE : WOF

Woulfe Mining Corp.

April 19, 2011 09:00 ET

Woulfe Mining First New Drill Results from Sangdong

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 19, 2011) -Woulfe Mining Corp. ("Woulfe" or the "Company") (TSX VENTURE:WOF) announces drill results from the initial three underground holes of a 38 hole drilling program in progress at its Sangdong tungsten-molybdenum project in South Korea.

As previously announced, this drilling program is targeting the unmined ore in the upper portion of the mine. This Main Zone is made up of the inclined shaft, infrastructure pillars, the Hangingwall and Footwall Zones above the current water level. The tungsten-molybdenum mineralisation at Sangdong is hosted within three parallel, shallow-dipping skarn zones (Main, Hangingwall and Footwall) with a lateral extent of up to 1,200 metres along strike and 1,500 metres down dip.

Brian Wesson, CEO/President of Woulfe, commented from site in Korea that: "Spring has arrived and we are now working unhindered to achieve our goals of completing the drilling, mine plan, feasibility and detailed design this year. We are working on the geology and mining plan with personnel from Wardrop as we progress the project".

The central Main Zone, being high grade, was largely mined out during previous production apart from support pillars and protective areas around infrastructure mainly in the top and margins of the lodes. The overlying Hangingwall Zone and underlying Footwall Zone are largely intact. The National Instrument 43-101 resource estimate undertaken in early 2010 by Wardrop UK (a Tetra Tech Company) ("Wardrop") as part of the Scoping Study, totalling 103.2 million tonnes at 0.35% WO3 and 0.04% MoS2, based on a cut-off grade of 0.1% WO3, included only the Hangingwall and Footwall Zones.

Refer to press release titled "Woulfe Mining Corporation, Sangdong Project, Scoping Study", dated April 2010, by Wardrop, available on Woulfe's website, for further technical information on the project.

The large infrastructure protective pillar supporting hoist chambers, inclined shafts and the main haulage level which traverses the top of the mine and both flanks down-dip. There is very little historical drilling data within this pillar as it was not considered a potential source of ore. Woulfe now understands that the high grade Main Zone has only been partially mined within the upper portion of the mine. The objective of the current drilling program is to define the resources above the water level for feasibility reserve estimation and mine planning purposes.

The samples are prepared on-site in Korea to appropriate industry standards and sent to SGS Perth, Australia for analysis. Samples are analysed by Inductively Coupled Plasma Mass Spectrometry (ICP) and for ore-grade quantities of specific elements by aqua regia or 4-acid digestion followed by ICP analysis. Molybdenum is analysed by X-ray fluorescence. The QA/QC protocol comprises insertion of one standard, one blank (crushed glass) and one pulp duplicate in every batch of 20 samples. No QA/QC results are available as yet.

Further drilling results will be released on a regular basis as they are received now that all drilling, geology and sample preparation procedures are in place.

The initial three holes comprise:

WSDD0022A - Collar 4111472N, 485283E, Azimuth 166.3, Dip 50.3, Depth 55 metres, Target F/W
WSDD0023A - Collar 4111479N, 485280E, Azimuth 363.4, Dip 32.6, Depth 152 metres, Target F/W
WSDD0025A - Collar 4111506N, 485316E, Azimuth 342.2, Dip 0.5, Depth 18.1 metres, Test hole

The three holes reported here targeted the Footwall Zone. The Footwall Zone comprises a number of alteration zones separated by unaltered partings. Historical information indicates that the Footwall Zone has a lower average grade than both the Main and Hangingwall Zones. All three holes are located on the eastern margin of the skarn which historical information indicates as having a lower grade than the central zone. The reasons for testing the Footwall Zone on the margin of the skarn with the initial holes were due to access limitations and the ability to drill down-holes only at the start of the drilling program. These limitations have now been overcome and extensive drilling has now taken place across the entire area.

These initial results are encouraging since the holes were drilled on the margins of the skarn that historical information indicates as having a lower grade than new results show. WSDD0025A was a short test hole drilled to commission the underground electric rig. The other two holes were drilled using the air-powered Kempe rigs.

All significant drill intercepts, defined as any mineralisation of 1 metre lengths or longer, are presented in the following table. It should be noted that some of these intercepts are narrow and will almost certainly be less than the minimum mining width.

Hole IDInterval (m)Length (m)True Width (m)Grade (%WO3)Grade (%MoS2)
WSDD0025A8.0-18.110.13.640.510.04
includes13.0-18.15.11.840.880.06
WSDD0023A98.7-100.01.30.690.540.00
WSDD0023A119.0-120.01.00.530.420.04
WSDD0023A130.5-133.02.51.330.8301.0
includes130.5-131.51.00.531.700.06
WSDD0023A144.0-146.02.01.062.420.08
WSDD0022A40.5-47.87.36.130.380.03
includes45.5-47.82.31.930.940.03
Note:a cut-off of 0.1% WO3was used for the intersection calculations

The full sample and assay results from which the above intercepts have been calculated are shown in the following table. Note that not all the samples are contiguous. Additional sampling is being undertaken where required and these results will be presented in future news releases.

Sample #Hole IDFrom (m)To (m)Length (m)True Width (m)Grade (%WO3)Grade (%MoS2)
WSD00005WSDD0025A7.08.01.000.360.050.10
WSD00006WSDD0025A8.09.01.000.360.160.03
WSD00007WSDD0025A9.010.01.000.360.080.00
WSD00008WSDD0025A10.011.01.000.360.110.00
WSD00009WSDD0025A11.012.01.000.360.180.02
WSD00010WSDD0025A12.013.01.000.360.140.02
WSD00011WSDD0025A13.014.01.000.361.940.03
WSD00012WSDD0025A14.015.01.000.360.220.07
WSD00013WSDD0025A15.016.01.000.360.060.00
WSD00014WSDD0025A16.017.01.000.360.160.07
WSD00015WSDD0025A17.018.11.100.3961.900.13
WSD00022WSDD0023A8.39.00.700.3710.430.10
WSD00023WSDD0023A19.420.10.700.3710.040.08
WSD00024WSDD0023A42.843.10.300.1590.140.32
WSD00036WSDD0023A98.7100.01.300.6890.540.00
WSD00037WSDD0023A101.3101.80.500.2650.060.07
WSD00038WSDD0023A111.0111.50.500.2650.050.02
WSD00039WSDD0023A117.7119.01.300.6890.010.08
WSD00041WSDD0023A119.0119.50.500.2650.130.03
WSD00042WSDD0023A119.5120.00.500.2650.700.05
WSD00043WSDD0023A120.0120.70.700.3710.000.02
WSD00045WSDD0023A122.8123.40.600.3180.220.02
WSD00052WSDD0023A130.5131.00.500.2650.760.05
WSD00053WSDD0023A131.0131.50.500.2652.650.07
WSD00054WSDD0023A131.5132.00.500.2650.190.18
WSD00055WSDD0023A132.0132.50.500.2650.160.13
WSD00056WSDD0023A132.5133.00.500.2650.370.08
WSD00058WSDD0023A133.0133.50.500.2650.030.08
WSD00059WSDD0023A133.5134.00.500.2650.030.00
WSD00060WSDD0023A134.0134.50.500.2650.000.00
WSD00061WSDD0023A134.5135.00.500.2650.000.00
WSD00062WSDD0023A135.5136.00.500.2650.390.05
WSD00063WSDD0023A138.1138.50.400.2120.150.03
WSD00064WSDD0023A140.3140.70.400.2120.320.00
WSD00065WSDD0023A140.7141.50.800.4240.000.00
WSD00066WSDD0023A141.5142.51.000.530.130.00
WSD00068WSDD0023A143.3144.00.700.3710.140.03
WSD00069WSDD0023A144.0145.01.000.530.520.03
WSD00070WSDD0023A145.0146.01.000.534.320.13
WSD00071WSDD0023A146.0146.60.600.3180.130.18
WSD00081WSDD0022A1.52.00.500.420.110.02
WSD00083WSDD0022A27.027.50.500.420.060.02
WSD00084WSDD0022A27.528.00.500.420.000.00
WSD00085WSDD0022A29.030.01.000.840.000.08
WSD00086WSDD0022A30.030.50.500.420.100.00
WSD00087WSDD0022A30.531.00.500.420.580.08
WSD00088WSDD0022A31.031.50.500.420.050.07
WSD00089WSDD0022A31.532.00.500.420.000.00
WSD00090WSDD0022A32.032.50.500.420.100.00
WSD00103WSDD0022A40.040.50.500.420.150.03
WSD00104WSDD0022A40.541.00.500.420.350.17
WSD00105WSDD0022A41.041.50.500.420.180.00
WSD00106WSDD0022A41.542.51.000.840.050.02
WSD00107WSDD0022A42.543.51.000.840.050.05
WSD00108WSDD0022A43.544.51.000.840.040.00
WSD00109WSDD0022A44.545.00.500.420.160.05
WSD00110WSDD0022A45.045.50.500.420.190.02
WSD00112WSDD0022A45.546.00.500.420.480.08
WSD00113WSDD0022A46.046.50.500.421.960.00
WSD00114WSDD0022A46.547.30.800.6720.110.03
WSD00115WSDD0022A47.347.80.500.421.700.00
WSD00116WSDD0022A47.848.30.500.420.090.00
WSD00117WSDD0022A48.349.00.700.590.060.00

The test hole WSDD0025A was terminated at 18.1 metres in high grade mineralisation (last intersection 1.1 metres at 1.90% WO3) in what is interpreted to be the F1 Footwall vein immediately underlying the Main Zone. Further interpretation work is required to determine the Footwall veins intersected by holes WSDD0023A and WSDD0022A.

Woulfe is utilising seven rigs to accelerate the program to offset the delayed start due to restrictions caused by equipment delays and the severe winter. This includes four contract surface rigs, a contract underground machine and two Company-owned underground machines, mostly working around the clock. On the 12th April 2011, some 3000 metres of the 5000 metre drilling program (60%) had been achieved. The drilling is on track to be completed by the end of May and an updated NI 43-101 resource statement is to be published by end June to underpin the Feasibility Study.

Woulfe appointed Mr Don Smith in January as Manager Geology. Mr Smith is a Member of the Australasian Institute of Mining and Metallurgy and has sufficient experience to conduct the drilling program and to manage the relevant geological, sampling and assaying processes. This news release has been reviewed and approved in the form and context in which it appears by Woulfe's Canadian-based geological advisor, Mr. Pat Stephenson, P.Geo, of AMC Mining Consultants (Canada) Ltd. Mr. Stephenson has appropriate qualifications and sufficient relevant experience to qualify as a Qualified Person for the reporting of exploration results for the Sangdong deposit.

On Behalf of the Board of Directors

Woulfe Mining Corp.

Brian Wesson (FAusIMM), President, CEO and Director

About Woulfe Mining Corp.

Woulfe Mining Corp. is a TSX-V listed company with a diversified portfolio of mining licenses for tungsten, molybdenum, gold, base metals and uranium-vanadium in South Korea.

The company's current projects include the Sangdong tungsten-molybdenum mine, historically, one of the largest tungsten mines in the world; the Muguk gold-silver mine, formerly South Korea's largest gold mine, as well as a number of other properties with significant known mineralization and excellent regional exploration potential.

Woulfe has high expectations for near-term, low-cost production. The company has assembled a highly skilled, in-country, bilingual technical team and a board of directors with an outstanding track record of success.

Forward-looking statements and forward-looking information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. We have made certain assumptions about the forward-looking statements and information and even though our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking statement or information will prove to be accurate. Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include, among others, the following: commodity price volatility; discrepancies between actual and estimated production, mineral reserves and resources and metallurgical recoveries; mining operational and development risk; litigation risks; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign investment; currency fluctuations; speculative nature of mineral exploration; global economic climate; dilution; share price volatility; competition; loss of key employees; additional funding requirements.

There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or information contained herein. Except as required by law, we do not expect to update forward-looking statements and information continually as conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the appropriate regulatory authorities.

Neither 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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