SCM

The Board of Directors of Selwyn Resources Ltd. (TSX VENTURE:SWN) ("Selwyn")
announces today that the TSX Venture Exchange (the "Exchange") has approved
notice of Selwyn's intention to make a normal course issuer bid (the "Bid") in
respect of its common shares (the "Shares").


The Bid will be carried out by Selwyn Chihong Mining Ltd. ("SCM"), which is a
company owned 50% by each of Selwyn and Chihong Canada Mining Ltd. ("Chihong").
SCM is the operator of the joint venture (the "Joint Venture") between Selwyn
and Chihong that was formed on August 18, 2010 to carry out exploration and
development activities at the Selwyn Project located in the eastern Yukon and
Northwest Territories. Chihong put up Canadian $100,000,000.00 (the "Chihong
Earn-In Funds") for the purpose of earning a 50% interest in the Joint Venture.


The purpose of the Bid is to enable SCM to establish an incentive share option
plan (the "Plan") for its employees under which Shares may be purchased by the
employees pursuant to options ("Options") granted under the Plan. SCM will
purchase the Shares through the facilities of the Exchange at the prevailing
market price for the Shares. Options will be granted to employees of SCM who are
not seconded employees of Selwyn and the Shares will be sold to the employees
upon exercise of their Options. The exercise price under an Option will be
established at the closing price for the Shares on the Exchange on the day prior
to the day of grant of the Option.


Under the Bid, SCM intends to spend up to Canadian $1,000,000 to acquire Shares.
These funds will come from the Chihong Earn-In Funds. The actual number of
Shares that may be purchased and the timing of any such purchases will be
determined by SCM, provided that SCM will not acquire more than 16,046,927
(which is 5% of the issued and outstanding Shares) over a 12-month period
commencing on February 1, 2011 or acquire an aggregate of more than 2% of the
total issued and outstanding Shares over any 30-day period. Canaccord Genuity
Corp. will be conducting the Bid on behalf of SCM. Selwyn has not made a normal
course issuer bid in the last 12 months and therefore has not acquired any
Shares pursuant to a normal course issuer bid during this time.


The powers of the board of directors' of SCM were transferred through its
incorporation documents to the Management Committee of the Joint Venture and
accordingly, the Management Committee will administer the Plan. The Management
Committee has four members, two representing Selwyn and two representing
Chihong. The Shares which are purchased will be owned and held by SCM as an
asset of the Joint Venture until such time as they are sold upon the exercise of
Options. Under applicable corporate law, SCM may not vote the Shares held by it
at meetings of the shareholders of Selwyn. SCM will hold the proceeds from the
exercise of Options and use the proceeds for expenditures on the Selwyn Project
and for administrative costs of SCM. The establishment of the Plan and the sale
of Shares thereunder will be carried out in accordance with applicable
securities laws, policies, rules, regulations and exemptions. 


Selwyn's focus is the exploration and development of the Selwyn Project in the
eastern Yukon and Northwest Territories with its joint venture partner Chihong
Canada Mining Ltd. The Selwyn Project represents one of the largest undeveloped
resources of zinc and lead in the world and is unique in that it is mostly
located in the politically-attractive and stable jurisdiction of the Yukon
Territory. It is therefore both a unique opportunity and a strategic asset
providing a long term secure supply of zinc and lead to the Pacific Margin.


This news release contains forward-looking statements concerning the Bid and the
Selwyn Project. These statements are based on assumptions and judgments of
management regarding future events or results that may prove to be inaccurate as
a result of failure to obtain necessary regulatory or shareholder approvals,
exploration results and other risk factors beyond Selwyn's control. There can be
no assurance that such forward-looking statements will prove to be accurate as
actual results and future events could differ materially from those anticipated
in such statements. Accordingly, readers should not place undue reliance on
forward-looking statements contained in this news release.

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