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Toronto Stock Exchange - EXN


TORONTO, June 28, 2013 /CNW/ - Excellon Resources Inc. (TSX:EXN) ("Excellon" or the "Company"), Mexico's highest grade silver producer, is pleased to provide an update on the status of its agrarian legal suit
against the Ejido La Sierrita (the "Ejido"), which was filed in August
2012. Excellon sued the Ejido to terminate the surface rights
agreement ("SRA") in respect of the surface rights to 1,100 hectares of
exploration ground west of the La Platosa Mine and for various damages
relating to the illegal blockade of the mine last year. The Ejido also
sued for termination of the SRA one week after being advised of
Excellon's suit.


At a hearing of the Agrarian Court held yesterday afternoon, Excellon
proposed the purchase or lease of 10 hectares from the Ejido based on a
court-supervised appraisal of the value of these particular hectares.
The Ejido representatives reluctantly advised the Court that the
Company's proposal would be brought before the Ejido general assembly
for review and consideration. The next hearing date is scheduled for
July 15, 2013.


"We have proposed and are willing to discuss a rational resolution that
will benefit our employees, the residents of Bermejillo, Mapimi and La
Sierrita, our other stakeholders and our shareholders," stated Brendan Cahill, President and CEO. "Our aims are to ensure the health, safety and wages of our workers and
cooperative and effective investment in local communities. We will
pursue the necessary avenues to ensure a just and equitable resolution
of this dispute that provides lasting benefits for all of our
stakeholders, including the residents of La Sierrita."


The decision to terminate the SRA (refer to press release dated
September 10, 2012) was driven by the need to limit the risk exposure
of the SRA on La Platosa production. This decision has since been
solidified by current capital markets conditions and has become an
element of Excellon's business strategy. The termination of the SRA
will result in reduced expenditures of over US$600,000 annually and
near-term savings of approximately US$600,000 during 2013. Excellon
will also continue its suit against the Ejido for damages relating to
the illegal blockade of the mine last year.


Excellon owns all surface rights and mineral rights needed to produce
silver from the La Platosa Mine and conduct further surface and
underground exploration for further high-grade manto mineralization and
the CRD/Source of the La Platosa mantos. The Company holds
approximately 41,000 hectares of mineral and mining rights at La
Platosa which entitle the Company to explore for and mine minerals at
La Platosa and in an extensive surrounding area, including under any
surface rights held by the Ejido.


About Excellon


Excellon's 100%-owned La Platosa Mine in Durango is Mexico's highest
grade silver mine, with lead and zinc by-products making it one of the
lowest cash cost silver mines in the country. The Company is
positioning itself to capitalize on undervalued projects by focusing on
increasing La Platosa's profitable silver production and near-term
mineable resources.


The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of the content of this
press release, which has been prepared by management. This press
release contains forward-looking statements within the meaning of
applicable securities laws. Such statements include, without
limitation, statements regarding the future results of operations,
performance and achievements of the Company, including potential
property acquisitions, the timing, content, cost and results of
proposed work programs, the discovery and delineation of mineral
deposits/resources/reserves, geological interpretations, proposed
production rates, potential mineral recovery processes and rates,
business and financing plans, business trends and future operating
revenues. Although the Company believes that such statements are
reasonable, it can give no assurance that such expectations will prove
to be correct. Forward-looking statements are typically identified by
words such as: believe, expect, anticipate, intend, estimate, postulate
and similar expressions, or are those, which, by their nature, refer to
future events. The Company cautions investors that any forward-looking
statements by the Company are not guarantees of future results or
performance, and that actual results may differ materially from those
in forward looking statements as a result of various factors,
including, but not limited to, variations in the nature, quality and
quantity of any mineral deposits that may be located, significant
downward variations in the market price of any minerals produced,
particularly silver, the Company's inability to obtain any necessary
permits, consents or authorizations required for its activities, to
produce minerals from its properties successfully or profitably, to
continue its projected growth, to raise the necessary capital or to be
fully able to implement its business strategies. All of the Company's
public disclosure filings may be accessed via and readers are urged to review these materials, including the
technical reports filed with respect to the Company's mineral
properties, and particularly the November 22, 2011 NI 43-101-compliant
technical report prepared by Roscoe Postle Associates Inc. with respect
to the La Platosa Property. This press release is not, and is not to be
construed in any way as, an offer to buy or sell securities in the
United States.



SOURCE: Excellon Resources Inc.



For further information:



Brendan Cahill, President & CEO (416) 364-1130 info@excellonresources.com http://www.excellonresources.com/">www.excellonresources.com