NWM Drills 2.155 g/t Au over 25.9 Meters at Lluvia de Oro (R10-08)

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Symbol: NWM

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TORONTO, July 20 /CNW/ - Lluvia de Oro Infill & Step-out Drilling Update No. 1:

NWM Mining Corporation (the "Company" TSX-V: NWM) is pleased to report on completion of Phase One of the reverse-circulation (RC) drilling program conducted at Lluvia de Oro in the month of June (2,981.2 meters of drilling), and to provide results of the core drilling program through core hole number R10-017 (3,140.5 meters of drilling).

Highlights of the current drill results include a number of favorable gold intercepts in the area designated as the Southeast Lobe (SEL) of the southwest Creston Pit, and RC drill hole (R10-008), which indicates a significant extension to the Southeast Lobe mineralization. RC holes R10-002 through R10-004, R10-006, and R10-008 are listed in Table 1 below, and initial core drill results defining new mineralization in the Southeast Lobe area are listed in Table 2 below.

    
                  ------------------------------------------
                    RC Hole     From    To   Length    Au
                    ID           (m)    (m)    (m)   (g/t)
                  ------------------------------------------
                    R10-002      0.0   24.0   24.0   0.323
                                37.5   51.0   13.5   0.579
                                72.0  109.5   37.5   0.325
                  ------------------------------------------
                    R10-003     24.0   55.5   31.5   0.245
                  ------------------------------------------
                    R10-004      6.0   22.5   16.5   0.322
                                42.0   66.0   24.0   0.962
                                81.0  106.5   25.5   0.758
                  ------------------------------------------
                    R10-006     36.0   51.0   15.0   0.242
                                66.0   72.0    6.0   0.222
                                84.0  118.5   34.5    0.31
                  ------------------------------------------
                    R10-008     96.0  121.9   25.9   2.155
                    Including  106.7  111.3    4.5    7.24
                               245.4  256.0   10.7   0.782
                  ------------------------------------------
                    R10-010     76.2   88.4   12.2   0.399
                               100.6  103.6    3.0   0.485
                  ------------------------------------------
                    R10-011     38.1   45.7    7.1   0.223
                  ------------------------------------------
                    R10-012     10.7   15.2    4.2   0.423
                  ------------------------------------------

    Table 1: RC drill hole assays for the Southeast Lobe of the Creston Pit.

                  ------------------------------------------
                                From         Length   Au
                    Hole ID      (m)  To (m)   (m)   (g/t)
                  ------------------------------------------
                    L10-010      9.0   17.5    8.5   0.482
                                43.8   46.4    2.6   0.379
                                77.6   92.5   14.9   1.165
                    Including   77.6   82.0    4.4    2.72
                  ------------------------------------------
                    L10-011     14.5   20.5    6.0   1.008
                                50.6   67.4   16.8   0.556
                                83.7   98.5   14.8   0.337
                    Including   92.4   94.0    1.6    2.29
                               118.6  127.8    9.2   0.464
                               150.1  171.5   21.4   0.356
                  ------------------------------------------
                    L10-012     22.0   64.8   42.8   0.359
                    Including   38.5   46.0    7.5    1.12
                                96.8   98.8    2.0   1.891
                               197.5  211.0   13.5   0.313
                  ------------------------------------------
                    L10-013     12.1   15.0    2.9   0.298
                                65.0   88.0   23.0   0.542
                    Including   66.1   70.3    4.2    1.73
                                99.1  106.0    6.9   0.304
                  ------------------------------------------
                    L10-014      2.5    5.3    2.8   0.887
                    Including   17.5   20.5    3.0   1.075
                               100.3  101.8    1.5   0.312
                  ------------------------------------------
                    L10-015     31.9   34.9    3.0   0.291
                               116.0  119.0    3.0   0.455
                               172.0  175.0    3.0   0.379
                               205.0  209.5    4.5   0.386
                  ------------------------------------------

    Table 2: Core drill hole intercept assays in the Southeast Lobe of SW
                                 Creston Pit.
    

The significant mineralized intercept identified in R10-008 (2.155 g/t Au over 25.9 Meters) can be seen (in Figure 1) to be some 200 meters to the southwest of the new mineralization identified in the Southeast Lobe (SEL). A follow up drill program to identify the potential continuity of mineralization between and to the south of these areas is now in progress.

Figure 1: http://www.nwmcorp.ca/images/creston1200.jpg Digital Globe satellite image showing drill hole (R10-08) approximately 200 Meters south and west of the newly defined mineralization in the Southeast Lobe area (SEL) of the Creston Pit. RC holes are represented by stars and core holes by circles. Arrows indicate the trace of inclined drill holes.

It is important to note that none of the newly identified mineralization in the SEL area was included in the previously calculated proven and probable reserves for Lluvia de Oro. This area outlines a newly defined zone of gold mineralization and drill hole R10-08 has detected a significant band of mineralization some 200 Meters to the south and west of the recently defined SEL area. Continuity of mineralization between and to the south of these areas could materially affect future resource and reserve calculations for Lluvia de Oro.

Four other exploration drill holes were drilled in the area west and southwest of the Creston Pit exploring for extensions of mineralization in the southwest direction. These drill holes did not return significant intercepts of gold mineralization (Table 3), however, the several intercepts encountered suggest that further exploration of the southwest extension is needed.

    
                  ------------------------------------------
                    RC Hole   From          Length    Au
                      ID       (m)   To (m)   (m)    (g/t)
                  ------------------------------------------
                    R10-001   118.5  124.5    6.0    0.253
                  ------------------------------------------
                    R10-005   228.0  234.0    5.6    0.213
                  ------------------------------------------
                    R10-007   196.6  201.2    4.6    0.256
                  ------------------------------------------
                    R10-009    71.6   79.2    7.1    0.400
                  ------------------------------------------
                    R10-013     0.0    3.0    3.0    0.238
                              105.2  112.8    7.6    0.321
                  ------------------------------------------

     Table 3: RC drill hole intercept values for the west and southwest
                              Creston Pit area.
    

RC holes R10-014 through R10-017 and core hole L10-016 were drilled in the Northeast Extension area (not shown on Figure 1). These holes were drilled principally with a view to upgrading resource categories in that area where previously reported inferred resources may be upgraded to measured and indicated resources, and ultimately to reserve categories. Core hole L10-016 tested an Enzyme Leach soil anomaly previous identified at Lluvia de Oro and resulted in intercepts of 31.3 and 44.8 vertical meters, including a 25.1 meter interval (vertical thickness) of mineralized rock in the metamorphic sequence underlying the detachment block (96.3 to 124.0m at -65 degrees intercept). The intercept of gold mineralization in the metamorphic rocks defines a new target for further exploration in the Northeast Extension area.

    
                  --------------------------------------------
                                From           Length    Au
                    Hole ID     (m)   To (m)     (m)   (g/t)
                  --------------------------------------------
                    R10-014  No Sig. Assays to  122.7
                  --------------------------------------------
                    R10-015     27.4   30.5       3.1  1.545
                                42.7   53.3      10.6  0.367
                                  93  109.7      16.7  0.273
                               118.9  129.5      10.6  0.896
                  --------------------------------------------
                    R10-016     33.5   36.6       2.8  2.033
                                80.8     93      11.1  0.450
                               103.6  109.7       5.5  2.258
                               118.9  135.6      15.1  0.265
                  --------------------------------------------
                    R10-017     13.7   16.8       2.8  0.328
                                21.3     29       7.0  0.131
                                67.1   71.6       4.1  0.778
                                80.8   83.8       2.7  1.036
                  --------------------------------------------
                    L10-016     17.5   52.0      31.3  0.535
                                74.5  124.0      44.8  0.670
                    Including  110.5  118.0       6.8   2.15
                  --------------------------------------------

    Table 4: Drill intercept assay results for the Northeast Extension area.
    

Core drill holes L10-001 through L10-009 were drilled in Area 1, on the northwest end of Creston Pit, to define margins of known mineralization for mine planning and to provide drilling information in areas of planned leach pad construction. Drill holes L10-001, L10-003, L10-007, and L10-009 were successful in defining grade blocks between existing drill lines, and holes L10-004 through L10-006 were condemnation drill holes in the area of the northeast leach pad (see Table 5 below).

    
                  --------------------------------------------
                              From              Length   Au
                    Hole ID    (m)  To (m)        (m)  (g/t)
                  --------------------------------------------
                    L10-001    7.0    14.5        7.5  0.755
                              59.5    70.1       10.6  0.394
                  --------------------------------------------
                    L10-002  No Sig. Assays to  179.5
                  --------------------------------------------
                    L10-003    5.5     8.5        2.6  0.313
                             118.0   122.5        3.9  0.485
                             133.0   141.9        7.7  0.224
                  --------------------------------------------
                    L10-004  No Sig. Assays to  164.9
                  --------------------------------------------
                    L10-005  No Sig. Assays to  165.5
                  --------------------------------------------
                    L10-006  No Sig. Assays to  183.5
                  --------------------------------------------
                    L10-007   30.6    34.0        3.1  0.551
                              46.0    50.5        4.1  0.255
                              99.2   118.0       17.0  0.489
                  --------------------------------------------
                    L10-008  No Sig. Assays to  214.3
                  --------------------------------------------
                    L10-009   26.5    48.7       22.2  0.699
                              56.1    64.0        7.9  0.307
                              70.4    74.5        4.1  0.450
                  --------------------------------------------

           Table 5: Drill results from nine core holes in Area 1.
    

The drilling program was designed to accomplish three objectives: 1) provide gold-silver-copper assay information for areas between existing drill lines within the defined block of mineral resources at the Lluvia de Oro mine and to upgrade resource categories in these areas; 2) continue the drill holes below the defined Upper Zone mineralization envelope to explore and obtain grade and continuity information for the Lower Zone mineralization; and 3) conduct exploration drilling to find the margins of existing mineralization, which includes some condemnation drilling. The objectives of drilling have been realized to date and the cost of drilling and related support has been within budget.

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Mr. Rodney A. Blakestad, C.P.G., is the Qualified Person in compliance with National Instrument 43-101 of the Canadian Securities Administrators for this press release and has reviewed and approved the technical and scientific disclosure contained herein.

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

This news release includes "forward-looking information"; as such term is defined in applicable securities laws. The forward-looking information includes, without limitation, the success of exploration activities and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among others, risks and uncertainties relating to exploration and development; the ability of the Company to obtain additional financing; the need to comply with environmental and governmental regulations; political and economic instability and general civil unrest in Mexico, if any; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; competition; and other risks and uncertainties, including those described in the Company's other regulatory filings filed with the Canadian Securities Administrators and available at www.sedar.com. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and the Company is under no obligation to update or alter any forward-looking information.

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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 of this release.

SOURCE NWM Mining Corporation

For further information: For further information: NWM Mining Corporation at (416) 364-6799

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