10/18/2006 Reports Further High Grade

[Zoinkers]

Press Release Source: War Eagle Mining Company Inc.


Correction: War Eagle Mining Company Reports Further High Grade Zinc and Germanium Assays
Wednesday October 18, 3:34 pm ET


Underground Percussion Drilling


VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Oct 18, 2006 -- In the release issued earlier today, the title was noted incorrectly. The correct title has now been added, and the correct and complete release follows.
War Eagle Mining Company Inc. (TSX VENTURE:WAR.V - News) has released a second batch of assay results from it's underground high-grade zinc and germanium mineralization at the Tres Marias Mine in Mexico. Assay results continue to extend the lateral potential for additional tonnage within the Tres Marias Mine with encouraging drill intersections of up to 18 metres (59 feet) and ending in mineralization. Drill samples were obtained from percussion drill holes which are being horizontally drilled into the stope walls of the mine. The percussion drilling program is continuing into walls of the underground stopes.



Assays below have a cut-off grade of 5 per cent zinc or equivalent
germanium and are weighted averages.

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From To Interval % of gm/tonne
Level Hole No. (meters) (meters) (meters) Zinc Germanium
--------------------------------------------------------------------
4.5 2 0 8 x 8 19.90% 659
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5 3 12 16 4 7.10% 54
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5 3 20 38 x 18 16.11% 134
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5 8 2 6 4 6.66% 3
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5 8 12 14 2 14.58% 14
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5.5 1 2.4 3.6 1.2 7.36% 4
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5.5 6 0 9.6 x 9.6 6.96% 48
--------------------------------------------------------------------
6 2 19 21 2 6.63% 0
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6 3 6 10 4 13.73% 53
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6 3 16 30 x 14 14.76% 53
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6 4 22 24 2 13.69% 67
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6 4 32 34 2 11.91% 1
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6 5 12 14 2 10.35% 21
--------------------------------------------------------------------
x denotes holes that ended in mineralization

These recent results compliment the underground percussion drilling
assays reported on August 1, 2006 as out lined below.

--------------------------------------------------------------------
From To Interval % of gm/tonne
Level Hole No. (meters) (meters) (meters) Zinc Germanium
--------------------------------------------------------------------
4.5 4 0 7.2 x 7.2 13.10% 1065
--------------------------------------------------------------------
5 11 3.0 7.8 x 4.8 17.30% 177
--------------------------------------------------------------------
5 12 0 3.6 x 3.6 4.20% 158
--------------------------------------------------------------------
5.5 2 0 9.0 x 9 3.80% 201
--------------------------------------------------------------------
6 2 0 6.0 x 6 9.40% 14
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6.5 2 11.0 12.0 x 1 8.50% 16
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6.5 3 0 2.4 x 2.4 23.10% 10
--------------------------------------------------------------------
6.5 5 0 4.8 x 4.8 9.40% 27
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6.5 7 0 6.0 x 6 17.20% 85
--------------------------------------------------------------------
x denotes holes that ended in mineralization
Underground Diamond Drilling

Underground diamond drilling is now complete in the adit and level 2 with assay results due shortly. Further holes will be drilled beginning in the next few days for levels 3, 4, 5, and 6.

War Eagle Mining expects to be able to announce a mineral resource calculation at the Tres Marias Mine by the end of the year.

Terence F. Schorn, P. Geo, President

War Eagle Mining Company Inc.

CUSIP. No. 933901209



The TSX Venture Exchange has not reviewed and does not accept the responsibility for the adequacy or accuracy of the contents of the foregoing.



Contact:
Contacts:
War Eagle Mining Company Inc.
Bob Faris
Vice President, Corporate Development
1-800-877-1626 or [phone]

War Eagle Mining Company Inc.
Steve McGuire
1-800-877-1626 or [phone]
Email: [e-mail]
Website: www.wareaglemining.com



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Source: War Eagle Mining Company Inc.