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NR1223

10/03/2012

CALGARY, Alberta, Canada (Marketwire – October 3, 2012) – New Millennium Iron Corp. (“NML” or the “Corporation”) (TSX: NML) announced today the completion of drilling at its 100% ownedPerault Lakeproperty and 80%* owned Sheps Lake Property. 48 holes were drilled inPeraultLakefor a total of 3890.8 m. and 22 holes inShepsLakefor a total of 1918.1 m. The combined total area of both Sheps Lake and Perault Lake is approximately 17.25 km² with an average thickness of 60 m, where the taconite is un-altered giving excellent Davis Tube concentrate (“DTC”) recoveries with very low concentrate silica values (less than 2.00%) and high Fe values (>70.00%).  These results highlight the potential for the production of direct reduction (“DR”) grade pellet feed from these properties.

Currently drilling is in progress in theHowells Lakearea. This area comprises 100% NML ownedHowellsLakeproperty and 80%* owned Howells River North property. The taconite occurring in this area is a stratigraphic continuation of the LabMag deposit and connects to the KéMag deposit in QC. NML in 2006 drilled one hole in the central part of the region which also confirms the continuity of the stratigraphic units (refer to NR 11-25). Assay results for certain holes have been received to date from theHowellsLakearea. Two cross sections each fromPeraultLakeandSheps Lakewith the average assays are shown below

Dean Journeaux, President and CEO of NML, said,“ This year’s drilling results from Sheps Lake and Perault Lake indicate that we now have the potential to discover new significant deposits that would add to our growing resource base. The coarse liberating characteristics of the material and expected low SiO2 in the concentrate would lend itself to lower energy requirements during the concentrating process to produce DR grade pellets. The results fromHowellsLake and Howells River North indicate a continuity of mineralization between LabMag and KéMag deposits. When we have the remaining results, we plan to undertake a resource estimate in order to obtain NI 43-101 compliant resource estimates.”    

Drill Results:

Table 1 provides the average drill core analysis and assay results received to date.  (refer to Figure 1 & 2- Drill hole location plan). The Table includes drill core analysis results fromPeraultLakeandShepsLakeand Howells River North (HowellsLake) areas, using a DTWR cut-off of 18.00%.

[…]

The half drill core samples, on average 6 meters in length were sent to MidlandResearchCenter(“MRC”), an Independent Laboratory at Nashwauk, Minnesota, USAfor testing and analysis. The core is assayed for total iron. The magnetite concentrate is produced using the Davis Tube method and given as Davis Tube Weight Recovery percent (“DTWR%”). The magnetite concentrate is assayed for iron and silica. Some selected samples will be analyzed for other elements. Based on the drill core analysis received to date, the PeraultLaketaconite averages 30.24% Fe with 25.82% DTWR. The Davis Tube concentrate averages 70.52% Fe and 1.52% SiO2. The Sheps Lake taconite averages 30.73% Fe with 27.14% DTWR. The Davis Tube concentrate averages 70.71% Fe and 1.45% SiO2. Only a limited number of drill core results were received from the Howells River North (Howells Lake Area). The Howells River North averages 31.11% Fe with 29.22% DTWR. The Davis Tube concentrate averages 69.93% Fe and 2.20% SiO2.  Four sections, 300 and 301 for Perault Lake and 320 and 330 for Sheps Lake respectively, with 3 drill holes respectively intersecting all taconite units, are shown in Figure 3 to 6 with average test and assay results.

Drilling Plan (Refer to Figure 1 & 2):

Perault Lake:

The airborne anomaly located in this area is approximately 18 km long with an average width of approximately 1 to 1.5 km. The entire area was drilled on 2 and 1km spaced section lines with 2 to 3 holes on each line to check the magnetic anomaly. The logging and the partial drill assay results received to date indicate that the mineralized material  occurring at the northern part of the property, 6 km long and 1.5 km wide shows higher concentrations of magnetite while the 5 km long central part shows partial oxidation of magnetite to martite (hematite). In the 7 km long south section, the oxidation appears to be more prevalent resulting in lower Davis Tube recoveries.

Sheps Lake:

The airborne anomaly covering this property is 5.5 km and 1 to 1.5 km wide. The drilling was carried out on 1 km spaced section lines with 3 holes on each line. The taconite occurring in this area is fresh and un-altered. The drill core analysis received to date shows good weight recoveries and quite low SiO2 levels.

The combined total area of both Sheps and Perault Lake is approximately 17.25 km² with an average thickness of 60 m, where the taconite is un-altered giving excellent Davis Tube recoveries with very low concentrate silica values (less than 2.00%) and high Fe values (>70.00%). In addition, the partially oxidized area holds potential for additional resources, which would be thoroughly investigated during resource modeling. Complete core analysis results for Sheps andPeraultLakeare expected in the next two months. 

Howells Lake, Howells River North:

The area outlined for drilling based on the 2010 airborne magnetic survey is approximately 7.0 km long and 3.5 km wide. The mineralized material  occurs on either side of the Howells River. On the west side of the Howells River the mineralized material occurs in a single stratigraphic sequence similar to the LabMag and KéMag. On the east side the sequence is repeated  due to a low angle thrust fault, which pushed up a complete sequence of  layers (LC to LRGC) over the LabMag band. Only a limited number of drill core assays were received to date. The results are given in Table 1. 


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