Mr. Brian Wesson reports

WOULFE MINING INCREASES INDICATED RESOURCE BY 2.75 TIMES TO SUPPORT THE INITIAL 10 YEARS MINING AT SANGDONG

Woulfe Mining Corp. has completed the phase 2 drilling and further historical data compilation at the Sangdong mine in South Korea. Tetra Tech Wardrop has completed an update of the mineral resources. The resource for the skarn mineralized zones is summarized the attached table. It is important to note that this resource represents mineralization only within the upper section of the mine. The resource given in the attached table represents approximately one-quarter of the known dip length, broadly that above the historical minus-two level, of known mineralization from the old mine. An updated estimate for the mineralization downdip will be forthcoming in the near future. Woulfe is continuing to drill and explore within the accessible working areas to refine the resource.

       RESOURCE ESTIMATE FOR SANGDONG SKARN MINERALIZED 
                  ZONES, UPPER SECTION                                                          

Class       Skarn zone          Tonnes   Density    WO3    MoS2
                                                     (%)     (%)

Indicated   Main             5,952,106      3.25   0.50    0.03
Indicated   Footwall F2      2,298,570      2.98   0.63    0.04
Indicated   FW intermediate  5,576,578      2.91   0.27    0.03
Indicated   Footwall F3      2,604,460      2.96   0.56    0.05
Indicated total             16,431,714      3.05   0.45    0.04
Inferred    Hangingwall      7,191,922      2.96   0.58    0.08
Inferred    Main               259,481      2.92   0.52    0.02
Inferred    Footwall F2      2,680,957      2.91   0.50    0.03
Inferred    FW intermediate  6,523,488      2.88   0.23    0.02
Inferred    Footwall F3      2,712,775      2.90   0.49    0.03
Inferred total              19,368,623      2.92   0.44    0.05

Details

This resource update (effective date as of Jan. 5, 2012) represents the combination of the new compliant phase 2 drilling results and further compilation of detailed historical geological and mining data. Work concentrated on developing more detailed models of the three skarn zones from both drill data and additional historical geological mapping. Importantly, additional intermediate alteration mineralization was defined between the two thinner skarn zones, the F2 and F3 zones, that make up the Footwall zone. Additional mining records were digitized and detailed models of historical mining depletion were created. Each of the skarn zones is described as follows.

Hangingwall zone

The Hangingwall zone above minus-two level is unclassified in this update. This is a change from the interim resource update of July, 2011. Geotechnical studies showed poor ground conditions in this upper area where this zone is close to the surface. In addition, the phase 2 drilling encountered consistent problems in attempting to core this zone with little addition to the sample inventory. This reduction in confidence in this zone at this level in the mine led to non-classification. Tetra Tech noted, however, that there is still good potential for this zone downdip, which will be reported in the near future.

Main zone

The detailed study of historical mining areas largely concentrated on the Main zone. Areas of mining depletion were modelled. The Main zone is largely mined below the minus-two level. A zone of indicated mineralization is defined on the eastern periphery of the Main zone. The downdip resource potential is thought to be limited to pillars remaining in the lowest levels of the old mine.

Footwall zones

The Footwall zones were the main subject of the detailed study of historical geological mapping and distribution of the mineralization. This resulted in a change of approach from that in the interim resource report. This estimate has divided the Footwall zone into two separate skarn zones, the F2 and F3 zones, plus a zone of lower-grade alteration material between these zones termed the intermediate zone. It is anticipated that, in some areas, it will be possible to mine the three units together and this will be determined in the current feasibility study work. The current modelling is consistent with historical downdip information for the Footwall zone, and the downdip potential of these zones is good and will be reported in the near future.

Future work

Woulfe is continuing to drill, explore and sample within the upper section of the old mine and plan to dewater down to minus-four level in the near future to allow these efforts to be expanded. Definition and refinement of the Sangdong models will continue as more underground drilling is completed. These data will increase the sample density increasing the area meeting the criteria for the indicated category.

This news release has been reviewed and approved, in the form and context in which it appears, by Paul Gribble, FIMMM, CEng, of Tetra Tech (which is working with Woulfe on the Sangdong studies). Mr. Gribble has appropriate qualifications and sufficient relevant experience to qualify as a qualified person for the reporting of mineral resources and exploration results for the Sangdong deposit.

Brian Wesson, president and chief executive officer of Woulfe Mining, commented: "The drilling programs have been successful and produced a significant upgraded in the indicated resource. The proving-up of over 10 years of mining resources to accommodate the mining of 1.2 million per annum from above the valley floor (above two level) takes the project forward a large step as it provides sufficient ore for the feasibility. The feasibility study is running three months late due to the drilling and the metallurgical test work which was moved to China. Tungsten was mined and APT manufactured for many years by the previous mine owner Korea Tungsten. Woulfe is focused on reconfirming the recoveries and looking to optimize the flow sheet using new-age Chinese technology that has been developed over the last 20 years as the world's largest APT supplier. Feasibility is due for release at the end of the quarter."

We seek Safe Harbor.