http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aKWG-2005157&symbol=KWG&region=C

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Mr. Bruce Hodgman reports

TRADING IN KWG RESOURCES SHARES HALTED FOR THIRD-PARTY ANNOUNCEMENT

Trading in KWG Resources Inc.'s shares was halted for an announcement this morning by the General Chairperson's Association (GCA), representing unionized employees at the Ontario Northland Transportation Commission (ONTC).

The GCA has announced a revitalization plan for ONTC that includes the proposed construction of a rail link to the Ring of Fire mineral deposits in the James Bay Lowlands, where KWG has extensive claims.

The new railway will form part of the Ring of Fire mining infrastructure and will be located within mining claims held by Canada Chrome Corp., a wholly owned subsidiary of KWG. The GCA's proposal calls for the railway and other assets of the provincially held ONTC, along with the new Ring of Fire railway, to be transferred to a new port authority to be operated under the Canada Marine Act.