NWM Announces Amended Standby Credit Facility and Private Placement

TSX Venture Exchange

Symbol: NWM

Shares Outstanding: 223,021,863

TORONTO, Sept. 21 /CNW/ - NWM Mining Corporation (TSX-V: NWM) is pleased to announce the increase of its US $6,000,000 standby credit facility, announced on June 3, 2010, to US $16,500,000. The Company has already drawn down on US $4,000,000 under the original term sheet. Under the amended facility, up to an additional US $12,500,000 may be drawn down over the 12 months from the closing date, with repayment of all outstanding amounts due 24 months following the closing date. Interest will continue to be charged at a rate of 15% per annum and a standby charge of 0.25% per month applies to all available funds not yet drawn down. The Company will also pay to the lender a fee of US $175,000, of which US $50,000 has already been paid and the remaining US $125,000 will be paid on closing. Up to an aggregate of 6,500,008 common shares may be issued in connection with the drawdown of the standby facility, of which 1,333,336 common shares have already been issued in connection with the draw down of US $4,000,000 referred to above. The amended term sheet designates US $2,000,000 as a convertible amount when drawn down, at the conversion price of (i) $0.12 per share or (ii) $0.20 per share in the event of certain circumstances and convertible for a period of 24 months.

    
    Private Placement
    -----------------
    

The Company is also pleased to announce that it is proceeding with a non-brokered private placement to raise up to CAD $4,000,000 by issuing up to 50,000,000 common shares of NWM at a price of CAD $0.08 per share.

A placement, finder or agent's fee, as appropriate, may be payable in relation to this private placement.

The common shares issued pursuant to the above noted transactions will be subject to a hold period of four months and one day.

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

This news release includes "forward-looking information", as such term is defined in applicable securities laws. The forward-looking information includes, without limitation, the success of exploration activities and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward-looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among others, risks and uncertainties relating to exploration and development; the ability of the Company to obtain additional financing; the need to comply with environmental and governmental regulations; political and economic instability and general civil unrest in Mexico, if any; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; competition; and other risks and uncertainties, including those described in the Company's other regulatory filings filed with the Canadian Securities Administrators and available at www.sedar.com. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and the Company is under no obligation to update or alter any forward-looking information.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.

For further information: NWM Mining Corporation at [phone]