October 3, 2012

Happy Creek drills 11.0 metres of 0.82% W03 at the Fox tungsten property

October 3, 2012 - Vancouver, British Columbia - Happy Creek Minerals Ltd. (TSX-V:HPY, the “Company”) is pleased to announce additional drilling results from its 100% owned, 162 square kilometre Fox tungsten-molybdenum property. The Fox property is located approximately 75 kilometres northeast of 100 Mile House, British Columbia (B.C.), Canada.

At the Ridley Creek area, four prospects called the 708, BN, RC and BK contain high tungsten values in outcrop and span a distance of approximately 3.0 kilometres. In 2010, trenching returned 1.0 metre of 2.38% W03 (tungsten trioxide), 0.40 metres of 11.10% W03, 7.0 metres of 0.80% W03, and 4.6 metres of 0.85% W03 at each prospect, respectively.

In 2011, the first ever drilling in the RC prospect returned 7.35 metres of 1.22% W03 in F11-07 and 4.7 metres of 1.02% W03 in F11-08. On September 18, 2012, the Company announced additional results with F12-01 and F12-02 (see Table below). F12-01 returned 17.4 metres of 0.90% W03 including 10.4 metres of 1.35% W03.

New results from the RC prospect include vertical hole F12-09 with 11.0 metres of 0.82% W03 starting at 15.0 metres, including 4.0 metres of 2.18% W03. F12-09 is located 30 metres northwest of F12-01. F12-07 is located approximately 140 metres south of F12-01, and contains 4.6 metres of 0.75% W03 starting at 13.0 metres. The near-surface intervals indicate a gently west-dipping zone and are thought to reflect near true-thickness. F12-07 includes 1.0 metre of 1.41% W03, 0.59% zinc and 5.79 g/t indium. Results continue to indicate positive concentrations of the rare metal indium, used in many modern electronic applications, such as touch-screen devices.

David Blann, President and Chief Executive Officer of Happy Creek states: “F12-09 has returned another top-tier result from this new discovery and we are still just beginning to explore its potential. We see immense opportunity in the three kilometre long zone. The Fox project continues to advance and we are initiating baseline studies and permitting for the next phase of its development.”

Preliminary 2012 Drill Results Summary from the Fox Tungsten Property

Hole From
F12.01 15.0 32.4 17.4 0.90 9.0
F12-02 16.0 23.0 7.0 0.31 3.1
F12-04 26.0 29.6 3.6 0.21 2.1
F12-05 19.0 22.9 3.9 0.20 2.0
F12-07 13.0 17.6 4.6 0.75 7.5
F12-09 15.0 26.0 11.0 0.82 8.2
includes 22.0 26.0 4.0 2.18 21.18
The tungsten bearing skarn zones are found within a favorable geological unit that is between 20 and 40 metres in thickness and starts at or very close to surface. All holes to date, in an area approximately 250 metres by 100 metres in dimension, have intersected the favorable geological unit with associated tungsten values. There is thought to be a strong likelihood for mineralized skarn to occur over the three kilometre length of known mineralized prospects. Two holes were drilled per setup, the odd numbered holes being vertical and the even number holes at a -55 degree angle to the east. F12-3 and 4, F12-5 and 6, F12-7 and 8 are located approximately 50, 100 and 140 metres south of F12-01, respectively. F12-03 returned low tungsten values and F12-04 contains 3.6 metres of 0.21% W03. F12-05 contains 13.9 metres of 0.08% W03 starting at 9.0 metres, including 3.9 metres of 0.20% W03. F12-6 and 8 contain low tungsten values. In general, drill holes that are located further westward contain the best grades and thickness and the zone remains open in extent.

The British Geological Survey has recently ranked tungsten as among the scarcest elements on earth and deemed it a strategic metal that is critical for industrial, military and electronic manufacturing applications. Tungsten (W) market prices are based on the contained W03 and the form in which it occurs. Prices vary from around US$15.0/kg to US$40.0/kg W03.

Happy Creek has advanced the Fox prospect from a very early stage to a new and large scale tungsten discovery, containing high grades and thought to be similar to some of the largest tungsten mines and advanced stage projects world-wide. Positive tungsten values occur in drill holes, outcrops, stream sediment and soil in an area approximately three kilometres by 10 kilometres in dimension. To date, approximately 15% of the Ridley Creek area has been tested to a shallow depth. Positive tungsten results also occur at the Nightcrawler zone located 4 kilometres to the south of the Ridley Creek area. Both areas remain open in extent.

Preliminary results for F12-10 to F12-29 and final tungsten results for all holes are pending.

On behalf of the Board of Directors,

“David E Blann”
David E Blann, P.Eng.
President, CEO

David Blann, President, CEO
Corporate Office:

Phone: 604.662.8310
Email: Info@happycreekminerals.com
Website: www.happycreekminerals.com
Investor Relations:
James Berard
Phone: 604-687-2768
Toll free: 1-877-459-5507

David Blann, P.Eng., is a Qualified Person as defined under Canadian NI43-101 regulations and has reviewed and approved the technical content of this press release. Happy Creek employs a strong Quality Assurance and Control system for its drilling programs. Samples are cut from NQ size drill core using a rock saw, and a blank, standard or duplicate are inserted into the sample string every tenth sample. Samples are shipped to Agat Laboratories in Burnaby, B.C. where they are prepared and analyzed first by aqua regia digest and ICP + ICP-MS finish. Samples that return greater than 50 ppm W (tungsten) are then re-tested in triplicate using a peroxide fusion digestion and ICP-finish reporting all results, and averaged giving preliminary results. For these assays that return greater than 1% W, the sample is subjected to a W Classical assay using XRF and results are pending. QC samples show good repeatability with peroxide fusion analyses in triplicate. W is converted to W03 by a multiplication factor of 1.261. Neither 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 or accuracy of this release.

You can view the Next News item:October 11th, 2012, Happy Creek trenches 5.0 metres of 0.76% copper, 2.09 g/t gold at Hawk property, B.C.

You can view the Previous News item:September 18th, 2012, Happy Creek drills 17.4 metres of 0.90% W03 near surface at the Fox tungsten property

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