Selwyn Resources Ltd.: Don Deposit-Significant Potential at Depth Confirmed

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 7, 2011) - Selwyn Resources Ltd. ("Selwyn") (TSX VENTURE:SWN) is pleased to announce additional drill results from the drilling of the 63-lens of the Don deposit at Selwyn Project, Yukon Territory. The drill results are part of the definition drilling program in the Don deposit that is being conducted by Selwyn Chihong Mining Ltd., the joint venture company equally owned by Selwyn and Chihong Mining Canada Ltd., a wholly owned subsidiary of Yunnan Chihong Zinc and Germanium Co. Ltd.

Drilling continues with one drill at the Don deposit and two drills at the XY West deposit, all of which are targeted to confirm known mineral resources.

Highlights: 63-lens of the Don Deposit

• DON-180 intersected 29.85 metres true thickness grading 9.27% zinc and 3.48% lead, including 4.70 metres grading 24.56% zinc and 13.10% lead; and

• DON-192 intersected 43.15 metres true thickness grading 8.94% zinc and 3.16% lead including 12.58 metres grading 12.86% zinc and 4.91% lead.

Dr. Harlan Meade, President and CEO of Selwyn, states, "The further confirmation of a thick zone of gentle dipping high grade mineralization at depth in the Don deposit is very encouraging. The potential that this mineralization connects with similar gentle dipping thick zones of high grade mineralization in the adjacent Don East deposit makes this an attractive target for early development and provides an additional attractive alternative for underground mining at the Selwyn Project."

63 Lens Don Zone Drill Results

The high-grade mineral resource for the Don deposit undertaken to NI 43-101 standards is composed of three lenses in the underground environment, each of which is structurally bounded by faults. The three main lenses are the 61-lens, 62-lens, and the 63-lens.

Drill hole DON-180 intersected a thick section of high-grade mineralization that is hosted within a much broader envelope of zinc-lead mineralization. The high-grade mineralization was intersected from 642.50 to 673.60 metres for a true thickness of 29.85 metres grading 9.27% zinc and 3.48% lead including 4.70 metres grading 24.56% zinc and 13.10% lead.

The intercept in DON-192 correlates very well with the nearby high-grade intercepts in DON-180, thereby reinforcing the confidence in the detailed 3D modeling of the 63-lens. The mineralization was intersected from 586.90 to 642.80 metres, with a higher-grade section from 598.90 to 642.80 metres grading 8.94% zinc and 3.16% lead over a true thickness of 43.15 metres. This includes 12.58 metres of 12.86% zinc and 4.91% lead.

These new drilling results are the deepest known extensions of the Don deposit. These drill holes suggest a flattening of the dip of the 63-lens at depth. Based upon preliminary interpretation the mineralization could dip more gently and may extend from the Don deposit towards a similar, gently dipping, thick zone of mineralization in the adjacent Don East deposit, approximately 500 metres to the southeast. This is important because if this interpretation is correct then the lowest elevations of both deposits are at the same relative depth below surface. Additional drilling is required to define the mineral potential of any possible extension of these gently dipping thick zones of high-grade mineralization that have now been defined in both the deeper parts of the Don and Don East mineralized zones. No mineral resource has been defined between the Don and Don East deposits, so more work is required to determine the thickness and orientation of this area of high mineral potential.

Drill hole DON-173 intersected high-grade zinc-lead mineralization from 602.50 to 618.90 metres for a true thickness of 15.25 metres grading 9.88% zinc and 3.01% lead including 3.16 metres grading 14.53% zinc and 4.90% lead.

Other intercepts from 2011 in the 63-lens include drill holes DON-183, DON-185, DON-188, DON-190, DON-191, DON-193, DON-195, DON-196, and DON-205; which all host high grade mineralization.

Upon receipt of all assay results from the definition drilling program and passing of quality assurance and quality control, the data will form the basis for a new mineral resource estimate for the bankable feasibility study that Selwyn Chihong is advancing with Wardrop Engineering. Several drill holes were positioned to define limits of bounding fault structures and/or areas of lower-grade zinc-lead mineralization in order to refine limits of the high-grade mineralization for revising the mine plan that is an integral part of bankable feasibility study. Results from the definition drilling program continue to confirm the 3D geological and structural models for Don deposit. The location of the new drill holes and lenses can be found on drill plan maps available at www.selwynresources.com.

The previous mineral resource for the Don deposit done to NI 43-101 standards includes an Indicated mineral resource for high-grade mineralization of 5,325,000 tonnes grading 9.98% zinc and 3.86% lead and an Inferred mineral resource of 5,335,000 tonnes grading 7.94% zinc and 2.95% lead. This mineral resource estimate was conducted by Independent Qualified Person, Cliff Pearson, P.Geo. and Non-Independent Qualified Person, John J. O'Donnell, P.Geo. (see January 29, 2008 news release).

The Selwyn Project exploration program is being reviewed by Vice President Exploration, Mr. Jason Dunning, M.Sc., P.Geo, and Mr. Wolfgang Schleiss, P.Geo., Manager of Exploration, who is responsible for on-site activities. Mr. Dunning and Mr. Schleiss are both Qualified Persons within the meaning of National Instrument 43-101. All assay data has been through internal validation of quality assurance and quality control. Selwyn has established a sampling and assay control program with blind insertion of assay blanks, standards and duplicates for the Selwyn Project. A quality control and quality assurance program is in place at ACME Analytical Laboratories Ltd. ("ACME") that includes blanks, duplicates and standards. At ACME, silver and base metal analyses are conducted by a 23-element, four-acid digestion, ore-grade ICP-AES technique.

Selwyn's focus is the exploration and development of its properties that make up the Selwyn Project in the Yukon, which hosts large tonnages of zinc-lead mineralization. The known deposits have the potential for large scale production, and the potential to provide a secure supply of zinc and lead to meet the future needs of the zinc and lead markets in Asia and beyond. The recently announced acquisition of the assets of ScoZinc Limited provides Selwyn with a second opportunity for growth and the potential for production revenues in 2012.

This press release contains forward-looking statements concerning mineralization at the Selwyn Project. These forward- looking statements are based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of geological variability and other risk factors beyond Selwyn's control. As a result, actual results may differ materially from the expected results. Additional drilling is required to confirm the potential of the new discovery areas and expansions of the current resource areas and the extension of the higher grade deep mineralization to depth. There is no assurance that such additional drilling will expand mineral resources or that the resources being defined can be developed as an economically attractive mine, and there are many uncertainties associated with permitting and other factors that could delay such development.