News Release
Selwyn Announces Updated Mineral Resource For Selwyn Project

Vancouver, BC, August 13, 2012 � Selwyn Resources Ltd. (SWN.TSX.V) (�Selwyn�) is pleased to announce an updated mineral resource estimate for the Selwyn Project in Yukon from new exploration drilling results at the Don deposit.  The updated mineral resource has been completed to National Instrument 43-101 (�NI 43-101) standards, and includes drill results from an exploration drilling program on the Don deposit that was completed in April 2012.

Jason Dunning, Vice President of Exploration stated �This updated Don deposit mineral resource is a very positive step for Selwyn Chihong Mining Ltd. (�SCML�). Our successful drill program in the Don Connector has demonstrated increased resources that provide flexibility to the ongoing conceptual underground mine plan in development at 3,500 tonne per day production capacity.�

Highlights

� The Don deposit has an Indicated mineral resource of 41,788,700 tonnes grading 5.35% zinc and 1.87% lead at a 2.0% zinc cut-off grade; which includes a higher-grade subset of 16,353,257 tonnes grading 7.26% zinc and 2.62% lead at a 5.5% zinc cut-off.  These higher-grade subsets provide a further basis for SCML�s ongoing engineering activities focused on a smaller but higher grade mine to initiate the site development and operation (see May 28, 2012 news release).
� The Don deposit has an Inferred mineral resource of 14,749,000 tonnes grading 5.13% zinc and 1.59% lead at a base case 2.0% zinc cut-off grade that includes a higher-grade subset of 4,159,900 tonnes grading 6.68% zinc and 2.08% lead;
� 13.2 % increase in Indicated mineral resources for the Don deposit reflects the success of the exploration drilling program in expanding the 63-lens of the deposit (see August 15, 2011 news release).
� The Selwyn Project global mineral inventory for Indicated mineral resources has increased by 2.60% at a base case 2.0% zinc cut-off grade;
� The Selwyn Project global mineral inventory for Inferred mineral resources has increased by 4.84% at a base case 2.0% zinc cut-off grade.

Recently Completed Exploration Drilling

This updated mineral resource estimate focuses on the Don deposit, and is based on the recent drilling program which occurred between November 2011 and April 2012.  Drilling consisted of 14 drill holes totalling 10,638.5 metres on the Don deposit. The drilling was undertaken by Selwyn Chihong Mining Ltd. (�SCML�), the joint venture company equally owned by Selwyn and Chihong Canada Mining Ltd., a wholly owned subsidiary of Yunnan Chihong Zinc and Germanium Co., Ltd..  The location of the drill holes can be found on drill plan maps available at www.selwynresources.com. This release is being released by Selwyn on behalf of the joint venture company.

SCML undertook the most recent exploration drilling at Don deposit in order to test the potential for higher-grade zinc-lead mineralization and an extension of the 63-lens for purposes of ongoing engineering studies. 

Zinc and lead mineralization hosted within the favourable strata of Selwyn Project has been traced by drilling over a continuous strike length of 37.5 kilometres; which includes the Don deposit. Over that strike length, fourteen deposits and zones have been defined by SCML and former operators. Each deposit is isolated within its own structural panel because of faulting which segments the continuity of the mineralization.  It is important to note that if not for faulting into discrete structural panels, the zinc-lead mineralization and favourable strata could be defined as continuous with common hanging wall and footwall rocks.

Don Deposit

The Don deposit was the second major discovery made in 2005 (see September 6, 2005 news release) as part of Selwyn�s first major exploration program on Selwyn Project.  Initial targeting for zinc-lead mineralization in the Don Valley was driven by a combination of following-up on historical base metal geochemical anomalies over interpreted favourable strata in the structural panel adjacent to the Anniv East deposit that had been defined by former project operators in the 1970�s. 

The discovery of the Don deposit was a pivotal event in the evolution of the Selwyn Project.  The discovery laid the foundation for additional drilling between the Anniv East and XY Central deposits that led to the identification of higher-grade zinc-lead mineralization that is now the focus of SCML�s engineering studies at 3,500 tonnes per day conceptual production capacity (see May 28, 2012 news release).

The October 2011 mineral resource estimate to NI 43-101 standards, defined the Don deposit as containing an Indicated mineral resource of 36,901,600 tonnes grading 5.63% zinc and 2.11% lead at a 2.0% zinc cut-off grade. This study was prepared by Independent Qualified Persons, Mr. Garth Kirkham, P.Geo., of Kirkham Geosystems Ltd., Burnaby, British Columbia, who undertook the 3D modeling and resource estimation; and Mr. Cliff Pearson, P.Geo., Pearson Geological Inc, Victoria, British Columbia, who undertook the detailed field evaluation of data collection protocols at the project worksite. 

Currently, the Don deposit contains, using a base case 2% zinc cut-off, Indicated mineral resources of 41,788,700 tonnes grading 5.35% zinc and 1.87% lead, which includes higher-grade subsets as defined in Table 2 that could provide further basis for SCML�s engineering activities (see May 28, 2012 news release). An Inferred mineral resource of 14,749,039 tonnes has been defined grading 5.13% zinc and 1..59% lead at the same 2.0% zinc cut-off.  Overall, there was a 13.2% increase in the Indicated mineral resources for Don deposit, notably in the 63-lens, from the October 24, 2011 SEDAR filed mineral resource estimate to NI 43-101 standards (see September 12, 2011 news release) that included the Don deposit.

For further details and complete disclosure, please go to www.selwynresources.com

The Selwyn Project exploration program is being reviewed by Vice President of Exploration, Mr. Jason Dunning, M..Sc., P.Geo. and Mr. Wolfgang Schleiss, P.Geo., Manager of Exploration, who are responsible for on-site activities. Messrs. Dunning and Schleiss are both Qualified Persons within the meaning of NI 43-101.  All assay data have undergone 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 also in place at ACME Analytical Laboratories Ltd. (�ACME�) and includes laboratory blanks, standards and duplicates. At ACME, silver and base metal analyses are conducted by a 23-element, four-acid digestion, ore-grade ICP-AES technique.

Selwyn�s primary focus remains the exploration and development of the properties that make up the Selwyn Project in the Yukon, by the joint venture comprised of Selwyn and Chihong Canada Mining Ltd. The Selwyn Project hosts large tonnages of zinc-lead mineralization which have the potential for large scale production, and could provide a secure supply of zinc and lead to meet the future needs of the markets in Asia and beyond.

This press release contains forward-looking statements concerning mineralization at and the development of 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 factors beyond Selwyn�s control, including the results of exploration activities, economic evaluations and engineering studies, the availability of funds in the financial markets on terms acceptable to Selwyn and the public�s view of the economic value of the Selwyn Project.. Additionally, more drilling is required to confirm the potential of the new discovery areas, expansions of the current resource areas. and the extension of the higher grade deep mineralization to depth at the Selwyn Project. 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. Uncertainties associated with permitting and other factors could delay development of the Selwyn Project.. Although Selwyn has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking statements, and there may be other factors that cause results not to be as anticipated or intended. There is no assurance that such information will prove to be accurate, as future events could differ materially from those anticipated in such information and accordingly, there is no assurance that the Selwyn Project will be developed into a profitable mine. Readers should not place undue reliance on forward-looking statements.

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For more information contact:
Dr. Harlan Meade, CEO
Catalin Chiloflischi, Manager of Investor Communications
Telephone: +1 (604) 801-7240
Toll-free: +1 (888) 989-9188
Facsimile: +1 (604) 689-8355
Email: info@selwynresources.com
Website: www.selwynresources.com

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 or accuracy of this release.