Massive Black Horse Chromite Discovery

Black Horse deposit has an Inferred Resource Now 85.9 Million Tonnes @ 34.5%

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Message: KWG Commences Drilling on Big Daddy

KWG Commences Drilling on Big Daddy (ccnm)

MONTREAL, QUEBEC--(Marketwire - Oct. 27, 2011) - KWG Resources Inc. (TSX VENTURE:KWG) is pleased to report that a 12,000 metre core drilling program is underway on its Big Daddy Chromite deposit in the Ring of Fire, James Bay Lowlands. KWG has earned 28% interest in these mineral claims and will increase this to 30% by funding 50% of this $5 million program. The goal of this program is to collect a chromitite sample of sufficient size for pyro-metallurgical testing and to complete resource definition drilling on that portion of the deposit that is amenable to open pit mining. Cliffs Natural Resources is the project operator, and it is anticipated that the metallurgical testing and drilling will be completed during the first quarter of 2012.

About KWG:KWG also owns 100% of Canada Chrome Corporation which has staked claims and conducted a $15 million surveying and soil testing program for the engineering and construction of a railroad to the Ring of Fire from Exton, Ontario where the Trans Canada line of the Canadian National Railway can be connected. KWG's subsidiary Debut Diamonds Inc. has nine diamond exploration projects in Ontario, three of which are funded and currently active with planned expenditures of up to $3 million.

Shares issued and outstanding: 636,878,941

FOR FURTHER INFORMATION PLEASE CONTACT:

Bruce Hodgman KWG Resources Inc. Vice-President 416-642-3575 info@kwgresources.com
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