Market Overview

Mustang Completes Mayville Resource Drilling

TORONTO, ONTARIO--(Marketwire - Dec. 5, 2012) - Mustang Minerals Corp. (TSX VENTURE:MUM)(FRANKFURT:NJF) ("Mustang" or the "Company") today announced final results from its in-fill resource drilling at the Mayville Property. The drill holes were spotted over a strike length of 720 meters and the holes were drilled between 200 and 350 meters vertical depth. The Mayville deposit has now been drilled over a strike length of 1.1 km along strike and to approximately 300 meters vertical depth. The deposit remains open to depth and along strike.

This set of resource holes were designed to fill in gaps in the previous drill hole spacing in order to complete the new resource model. Mineralization was encountered in each hole with variations in width and grade. Overall the maximum true width intersected at Mayville was MAY-06-55 which assayed 0.41% Cu and 0.19% Ni over 126.2 meters. A summary of drill intersections for Mayville will be posted on the Mustang website.

MAY12-140 was targeted to test a down hole EM target in the central part of the deposit. The hole intersected a 0.35 meter zone of 3.80% copper and 16.38 g/t TPM including over 15 g/t platinum. The core zone in MAY12-140 assayed 0.96% copper and 0.31% nickel over 13.53 meters. Within this core zone a higher grade section of 5.51 meters of 1.53% copper and 0.29% nickel exists. Similar higher grade values have been intersected in other drill holes MAY06-16, MAY12-46, and MAY12-57ext in the same central portion of the Mayville Deposit. These results indicate the possible potential for underground mining grades in the deposit. (see website longsection for drill hole location)

Summary of the most recent drill holes include:



----------------------------------------------------------------------------
Au+Pt+
Cu Ni Ag Co Pd
Hole From To Metres (%) (%) (g/t) (g/t) (g/t)
----------------------------------------------------------------------------
MAY-12-140 304.65 305.00 0.35 3.80 0.16 10.00 132.00 16.38
317.00 363.00 48.67 0.43 0.15 1.00 76.32 0.22
Including 348.47 362.00 13.53 0.96 0.31 1.89 161.52 0.35
353.49 358.00 5.51 1.53 0.29 2.73 150.40 0.35
----------------------------------------------------------------------------
MAY-12-139 330.00 336.34 6.34 0.48 0.15 1.15 78.54 0.25
346.87 361.00 14.13 0.41 0.13 1.34 77.72 0.24
374.29 374.59 0.30 0.48 1.50 2.00 569.00 0.28
376.92 377.35 0.43 0.44 0.30 2.00 70.52 0.27
391.00 399.00 8.00 0.34 0.12 0.94 76.50 0.26
----------------------------------------------------------------------------
MAY-12-138 95.40 97.50 2.10 0.67 0.01 - 228.33 0.12
301.00 303.00 2.00 0.32 0.05 - 41.50 -
309.00 316.00 7.00 0.47 0.23 - 101.29 0.31
320.84 326.00 5.16 0.40 0.17 - 88.16 0.41
331.00 337.00 6.00 0.34 0.10 - 68.00 0.11
----------------------------------------------------------------------------
MAY-12-137 363.00 368.88 5.88 0.34 0.15 - 87.87 0.24
----------------------------------------------------------------------------
MAY-12-136 339.32 343.36 4.04 0.88 0.22 3.25 152.20 0.31
371.00 380.00 9.00 0.60 0.16 2.17 99.22 0.23
420.53 421.10 0.57 1.07 0.72 4.00 350.00 0.37
422.84 428.00 5.16 0.40 0.17 1.36 89.00 0.33
----------------------------------------------------------------------------
MAY-12-135 235.55 258.37 22.82 0.25 0.13 - 89.26 0.18
----------------------------------------------------------------------------
Width = apparent width.



Mustang will now proceed with completion of a NI 43-101 resource estimate update for the Mayville Deposit. RPA Associates has been engaged to complete this work. Preliminary economic analysis of a mining operation combining the Makwa Ni-Cu Deposit and the Mayville Cu-Ni Deposit is then scheduled. The two near surface deposits are located approximately 20km apart.

Resource Estimate Update

A long section showing the approximate location of recently drilled holes at the Mayville Project and a geophysical compilation map showing the prospective geophysical trend at the Mayville Project along with the recent drill hole locations on longsection has been posted on the Mustang website at www.mustangminerals.com.

Mayville is located 35 km by road from the Company's Makwa Nickel Deposit. Currently, the outlined mineralization at the two properties is detailed below.



1. The Makwa Ni-Cu Deposit has a NI 43-101 outlined reserve estimate
completed in February 2010 by Micon International Limited of 9.86
million tonnes in the Probable Ore Reserve category containing 0.541%
nickel, 0.113% copper 0.433 g/t PGM at the Makwa Project.
2. The Mayville Cu-Ni Deposit has a present NI 43-101 Indicated Resource of
9.227 million tonnes containing 0.61% copper, 0.23% nickel and 0.174 g/t
palladium.



QA/QC Program

All core samples are sent to Accurassay Laboratories in Thunder Bay, Ontario. Analysis is completed for nickel, copper, cobalt and silver using an Aqua Regia digestion followed by AAS/ICP finish. For gold, platinum and palladium, fire assay of 30g aliquots followed by combination fire assay and AAS finish is employed. Drill core is logged and split on the Makwa site by Mustang personnel with half the core retained and stored. Mustang implements a QA/QC program on drill core including inserting blanks, duplicates and commercial standards at regular intervals with all core sample submissions to the laboratory.

Carey Galeschuk P.Geo. is the National Instrument 43-101 Qualified Person for Mustang Minerals Corp.

Western Areas NL (ASX:WSA), an Australian based nickel producer, owns 19% of the common shares of Mustang.

To find out more about Mustang Minerals Corp. (TSX VENTURE:MUM) visit our website at www.mustangminerals.com.

We seek safe harbour.

This news release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of the Securities Act (Ontario) (together, "forward-looking statements"). Such forward-looking statements may include the Company's plans for its mineral projects in Manitoba, the overall economic potential of its properties, the availability of adequate financing and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements expressed or implied by such forward-looking statements to be materially different. Such factors include, among others, risks and uncertainties relating to potential political risk, uncertainty of production and capital costs estimates and the potential for unexpected costs and expenses, physical risks inherent in mining operations, currency fluctuations, fluctuations in the price of nickel and other metals, completion of economic evaluations, changes in project parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those described in the Company's Management Discussion and Analysis for the most recent financial period and Material Change Reports filed with the Canadian Securities Administrators and available at www.sedar.com.

Shares Outstanding: 198,160,658

FOR FURTHER INFORMATION PLEASE CONTACT:
Mustang Minerals Corp.
David Black
Investor Relations
416-955-4773
info@mustangminerals.com
www.mustangminerals.com

 

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