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Tawsho Mining Encounters Significant Gold Mineralization at Whisker Valley Property, Newfoundland

Tawsho Mining Inc. (TSX VENTURE:TAW) has reported that recent work conducted on its Whisker Valley property in Baie Verte, Newfoundland show very positive results.

The data from the new IP geophysical survey and the soil sampling program have been compiled and analyzed. Six well defined anomalous areas have been identified on the basis of these results. Two target anomalies overlie the Sidewinder and the Mackenzie gold prospects respectively. These showings were explored by Noranda during the 1988-89 periods. Historical assay values from mineralized grab samples taken from these two deposits ranged from 0.29 gpt to 14.5 gpt.

The high gold values in soil samples that were obtained by Noranda in the vicinity of these prospects have also been confirmed by the soil sampling results recently completed by Tawsho. These data collectively point to a potentially significant gold bearing area.

"We are pleased and highly encouraged by these results. We now have well defined targets that need to be tested by drilling. These results will give us more insight to structures that control the spatial distribution of the mineralization and the alteration vectors and this will point us in the direction of the mineralizing centers. Everything we have seen so far confirms that the area contains potentially significant gold deposits", comments Dr. Michael Avedesian, CEO. "In addition, we are highly encouraged by the preliminary remote sensing results which we have recently obtained from Belle Vista Geoscience. The people at Belle Vista mathematically fuse multivariate image multi-temporal spectral satellite data, radar sat panchromatic data and knowledge based geological data to produce a new type of image of the area. These new images more clearly identify fault structures, rock lithologies and alterations that are not visible on simple spot satellite or aerial Lidar images or geological maps. Using these textural and color patterns, we hope to quickly categorize the rest of our claimed region this summer to refine their mapping and identify structures and alterations that have the highest probabilities of containing mineralized areas. We can then concentrate our more detailed exploration on these targeted regions."

The gold bearing mineralized zones occur within silicified zones containing finely disseminated pyrite, and local hematite cut by numerous thin quartz veins and stringers. This geological context is consistent with the IP anomalies identified on the property that are characterized by high chargeability and high resistivity anomalies.

Three additional IP anomalous areas have been identified to the south of these showings that contain almost identical IP characteristics as those found at the Sidewinder and Mackenzie showings. These areas will also be targeted in the next drill program.

A large IP anomaly having characteristics almost identical to those at the Sidewinder and Mackenzie showings has been mapped ESE of the Road Gold Showing. This gold showing discovered by Bayswater was the focus of Tawsho's 2010 summer drill campaign (see November 18, 2010 news release) in which gold mineralization was identified in 4 holes. This high chargeability-high resistivity anomaly appears to be cut at its northern edge by an east-west fault zone that passes in the vicinity of Tawsho drill holes 10-02 and 10-04 at its east end and hole 10-06 at its west end. All three holes report gold mineralization with assay values ranging from 8.1 gpt to .2 gpt (see November 18, 2010 press release). Several holes are planned to test the fault zone where it crossed the high IP anomalies.

Two additional IP anomalies are also present that warrant some attention; one area contains a high chargeability anomaly overlying a low resistivity anomaly and the other area a low chargeability anomaly overlying a high resistivity anomaly. Before targeting these anomalous areas for drilling, additional field studies are required to assess the significance of these results. Although a few grab field samples taken in these areas contain anomalous gold assays it is difficult to assess their significance. The soil geochemical survey was not completed over the area of these anomalies and will be undertaken in the next exploration program.

This press report was prepared by Edward Procyshyn P. Geo. who is the qualified person as defined by NI 43-101 and reviewed by Michael M. Avedesian P.Eng.

Source:

Tawsho Mining Inc.

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