Sherwood Copper Reports Increased Copper Production & Reduced Costs in Second Quarter 2008

VANCOUVER, BRITISH COLUMBIA, Jul 22 (MARKET WIRE) --
(All amounts in C$ unless otherwise stated)

Sherwood Copper Corporation (TSX VENTURE: SWC)(TSX VENTURE: SWC.DB) today
announced significantly improved operating results for the three months
ending June 30, 2008 from its high grade Minto copper-gold mine located
in the Yukon, as well as a significant reduction in its bank debt.

Second quarter 2008 production totalled 12.8 million pounds of payable
copper at an estimated total cash cost(i) of $0.96 per pound of payable
copper (after estimated by-product credits and offsite costs) versus 11.0
million pounds of payable copper at total cash cost(i) of $1.04(4) per
pound in the first quarter of 2008. These improved operating results were
achieved as a result of processing ramping up to and then exceeding
design capacity (with mill throughput increased 35% over that in the
first quarter), while unit operating costs per tonne fell 21% over the
same period, despite higher fuel prices.

Further, on June 30, 2008, Sherwood's subsidiary, Minto Explorations Ltd.
("MintoEx"), repaid an additional US$12 million of its project loan
facility ("PLF"), on top of a US$5 million payment made on March 30,
2008, reducing the amount outstanding under the PLF to US$40.9 million.
In addition, MintoEx placed US$7.5 million into its banks' debt service
reserve account to partially cover the next payment (due on September 30,
2008).

"Operations at our high grade Minto copper-gold mine delivered an
excellent quarter, with 12.8 million pounds of copper produced at total
cash costs(i) of under $1.00 per pound," said Stephen Quin, President &
CEO. "Our operating group made tremendous progress over the second
quarter; completing the commissioning of the Phase 2 mill expansion and
increasing throughput to levels above design on a sustained basis. This
production, combined with strong metal prices, has enabled us to
aggressively reduce our project debt," he said. "Going forward, we
continue to push down to much higher grades in the latter part of 2008,
which should result in production targets being met in 2008 and in a
significantly stronger 2009 than previously planned."

During the second quarter 2008, Sherwood continued its project
optimization process, developing and implementing a rescheduled open pit
mine plan that should result in significantly increased production in
2009 versus what was previously forecast as a result of bringing high
grade production forward from 2010. Production forecasts for 2008 of
approximately 55 million pounds of payable copper and 24,000 oz of
payable gold remain unchanged. "The rescheduled open pit should result in
more copper production sooner, which should increase value to all of our
stakeholders," said Mr. Quin.

Operating Highlights from Second Quarter 2008

During the three months ended June 30, 2008, Sherwood made significant
progress at its high grade Minto copper-gold mine, including the
following:

- Production increased approximately 17% to 13.23 million pounds of
contained and 12.80 million pounds of payable copper at an estimated
total cash cost(i) of $0.96 per pound of payable copper, after by-product
credits, treatment charges and selling costs. In the first quarter
production totalled 11.32 million pounds of contained copper and 10.95
million pounds of payable copper at a total cash cost(i) of $1.04(4) per
pound.

- Cash costs per tonne milled fell 21% from $86/tonne in the first
quarter to $68/tonne in the second quarter. Going forward, unit costs
should continue to trend down as a result of increased production and
mill throughput, and conversion to grid electrical power before the end
of 2008. The conversion to grid power should result in an immediately
reduction in operating costs.

- No ore was mined during the second quarter and all mill production was
drawn from material stockpiled over the prior 12 months, and all mining
activity was focused on stripping waste for the Phase 3 pit to expose
high grade ore by the end of the third quarter of 2008, which should
result in high production in the fourth quarter of 2008 and in 2009.
Costs related to waste stripping completed in the quarter were deferred.
Costs related to the mining and stripping of ore that was drawn from the
stockpile and processed in the quarter had previously been deferred but
have now been expensed and are included in the total cash costs for the
second quarter.

- Processed 206,263 tonnes of ore at an average grade of 3.26% copper
versus 152,368 tonnes processed at an average grade of 3.61% in the first
quarter. Mill throughput increased from an average of 1,674 tpd in Q1 to
2,266 tpd in Q2, a 35% increase in throughput. In June 2008, throughput
averaged 2,521 tpd.

- Shipped 9,849 dry metric tonnes ("dmt") of concentrate from the Port of
Skagway in April 2008, with similar amounts scheduled to be shipped in
each of July and August 2008. Revenue and costs related to the April
shipment will be recognized in the second quarter of 2008, while those
for the July and August shipments in the third quarter of 2008. As a
result of Sherwood's revenue recognition policy, Sherwood's net income or
loss may vary significantly from quarter to quarter based on revenue
recognition timing.

- Held 15,936 dmt of copper concentrate grading approximately 40.3%
copper in inventory at June 30, 2008.

- Significant progress was made in the construction of the powerline and
related facilities, which should connect the Minto Mine to the Yukon
power grid before year-end 2008 and should result in a significant
reduction in operating costs once connected.

Minto Mine Operating Statistics

--------------------------------------------------------------------------
Q1/08 YTD Total
(3) Q2/08 (5)
--------------------------------------------------------------------------
Production
(contained in concentrates)
--------------------------------------------------------------------------
- Copper (000's lbs) 11,322,942 13,232,620 24,555,562
--------------------------------------------------------------------------
- Gold (oz)(1) N/A N/A N/A
--------------------------------------------------------------------------
- Silver (oz) 63,440 68,300 131,740
--------------------------------------------------------------------------
Mining
--------------------------------------------------------------------------
- Waste (tonnes) 1,372,953 3,301,619 4,674,572
--------------------------------------------------------------------------
- Ore (tonnes) 321,431 0 321,431
--------------------------------------------------------------------------
- Total material mined (tonnes) 1,694,384 3,301,619 4,996,003
--------------------------------------------------------------------------
- Copper grade (%) 3.57 N/A 3.57
--------------------------------------------------------------------------
- Gold grade (g/t)(1) 1.46 N/A 1.46
--------------------------------------------------------------------------
- Silver grade (g/t) 14.6 N/A 14.6
--------------------------------------------------------------------------
Milling
--------------------------------------------------------------------------
- Tonnes processed 152,368 206,263 358,631
--------------------------------------------------------------------------
- Copper grade (%) 3.61 3.26 3.34
--------------------------------------------------------------------------
- Gold grade (g/t)(2) 1.73 N/A N/A
--------------------------------------------------------------------------
- Silver grade (g/t) 14.8 12.6 13.5
--------------------------------------------------------------------------
Recoveries
--------------------------------------------------------------------------
- Copper (%) 94.5 93.3 93.3
--------------------------------------------------------------------------
- Gold (%)(1) 79.7 N/A N/A
--------------------------------------------------------------------------
- Silver (%) 88.5 86.1 86.7
--------------------------------------------------------------------------
Concentrate
--------------------------------------------------------------------------
- Dry tonnes produced 13,243 14,468 27,711
--------------------------------------------------------------------------
- Copper grade (%) 38.8 41.5 40.3
--------------------------------------------------------------------------
- Gold grade (g/t)(1) N/A N/A N/A
--------------------------------------------------------------------------
- Silver grade (g/t) 148.0 148.5 149.0
--------------------------------------------------------------------------
Operating Costs (C$)
--------------------------------------------------------------------------
- Cash cost per tonne milled $85.65 $67.86 $75.42
--------------------------------------------------------------------------
- Total operating cost/payable lb Cu $1.19 $1.09 $1.14
--------------------------------------------------------------------------
- Estimated by-product
credits/payable lb Cu(4) ($0.56) ($0.48)
($0.52)-------------------------------------------------------------------------

- Treatment, refining, freight,
port, insurance $0.41 $0.34 $0.37
--------------------------------------------------------------------------
- Total cash cost/payable lb Cu $1.04 $0.96 $0.99
--------------------------------------------------------------------------
1 Gold is not assayed on site, resulting in a significant lag in receiving
this data.
2 Gold grades for ore mined are estimated from the reserve block model,
whereas copper and silver grades are based on blast hole assays.
3 Q1/08 numbers have been adjusted based on concentrate settlement
information available after April 17, 2008.
4 Q2/08 by-product credit numbers (gold and silver) are based on estimates
and will be adjusted after final settlement.
5 YTD totals may not match the totals from individual quarters due to
rounding and post-quarter adjustments.

Note that the first quarter 2008 production statistics, previously
reported on April 17, 2008, have been adjusted as a result of quarter-end
reconciliations completed subsequent to that announcement, while second
quarter precious metal by-product credits are estimates that will be
adjusted after final settlement with the smelters.

Concentrate Shipments

In April, Sherwood loaded approximately 9,849 dmt of concentrate grading
approximately 38.8% copper on the vessel MV Sanka Eternal and, in
mid-July, an additional approximately 9,800 dmt of concentrate grading
approximately 40% copper will be shipped on the vessel MV Blundance for
sale to Asian smelters. Another shipment, of approximately 9,800 dmt of
concentrates is scheduled for loading in August 2008. Of these quantities
delivered, approximately 42% of the April shipment and 58% of the July
shipment will be delivered into Sherwood's copper forward sales
contracts, while the balance has been or will be sold at spot between the
loading date and final settlement date. In addition, these concentrates
contain significant gold and silver credits.

Production Outlook

Given that the mill has demonstrated sustained capacity in excess of the
2,400tpd design, Sherwood aims to average mill throughput in excess of
2,400 tonnes per day for the balance of 2008 in order to achieve its
production forecast of approximately 55 million pounds of payable copper
and 24,000 oz of payable gold in 2008.

As noted in the May 30, 2008 press release, as part of its optimization
plan, Sherwood has rescheduled mine production from the main pit at Minto
in order to accelerate the mining of high grade ore that was previously
scheduled for production in 2010 and moved it into late 2008 and all of
2009. This rescheduling involves developing the pit northward from the
current pit walls, as opposed to the prior plan of developing the
southern portion of the pit first. This rescheduled mine plan will expose
the largest amount of high grade copper-gold ore (greater than 4% copper
and 2g/t gold) in the main Minto pit 12-18 months earlier than previously
planned, resulting in increased copper production in 2009 while reducing
the forecast production for 2010 below that set out in the February 17,
2008 press release. Given current very high copper and gold prices, this
change in pit scheduling should result in several million pounds of
copper production being brought forward from 2010 into 2009, without
reducing Sherwood's forecast production of approximately 55 million
pounds of copper in 2008. Additional details will be provided in respect
of the rescheduled production outlook for 2009 and 2010 in the near
future.

As a result of this rescheduling, all production is being drawn from
stockpiles mined in prior periods, with the highest grade stockpile
material (greater than 4% copper) being processed first followed by
medium (2%-4%) and then lower grade (1-2%) before processing of high
grade resumes as soon as fresh ore is exposed in late third quarter 2008.
This means that the lowest production is expected to occur in the second
and third quarters of 2008. Due to Sherwood's revenue recognition policy,
which requires title and risk be transferred to the purchaser of the
concentrates, there is an approximate three to four month lag between
production and financial results.

Capital Programs

In addition to the $1.2 million in additional exploration expenditures
announced on July 17, 2008, MintoEx has approved capital allocations for
$3.1 million which expenditures include a number of productivity and
throughput expansion related activities. The crusher is being modified
and upgraded so that it should not have the freezing issues that proved
problematic in the extreme cold weather experienced in the first quarter
of 2008, and so that is easier to maintain, reducing downtime and
therefore increasing availability. In addition, a new concentrate
thickener is being added to handle increased production. Several other
improvements are being made, including improvements to the camp to
enhance living conditions for the employees. In parallel, construction of
the powerline and related facilities required to connect to the Yukon
grid is well advanced, should be completed before year-end and should
result in a significant reduction in costs once connected.

About Sherwood Copper

Sherwood Copper's objective is the profitable production of base and
precious metals from high grade, open pit mines in Canada. Sherwood's
first operating mine, the high grade Minto copper-gold mine in Yukon,
Canada, was built on budget and ahead of schedule. The Minto Mine is one
of the highest-grade open pit copper-gold mines in the world, and is
forecast to be a low cost producer. Aggressive exploration on the Minto
property has yielded significant success, providing Sherwood the
opportunity to 'grow from within' by expanding the resource and reserve
base, potentially leading to further production increases. To further
accelerate its production growth, Sherwood intends to pursue merger &
acquisition opportunities that fit its business model and, in May 2008,
Sherwood acquired 100% ownership in Western Keltic Mines (now Kutcho
Copper Corp.), owner of the high-grade Kutcho copper-zinc-gold-silver
deposit in northwestern British Columbia. Sherwood intends to lever off
its successful development of the Minto Mine and advance the Kutcho
project to a production decision.

Quality Assurance

The technical information in this news release has been prepared in
accordance with Canadian regulatory requirements set out in National
Instrument 43-101 and reviewed by Stephen P. Quin, P. Geo., President &
CEO for Sherwood Copper Corporation. The operational activities carried
out at the Minto Mine has been carried out under the supervision of
Randall Thompson, General Manager of the Minto Mine, and Kevin Weston,
Chief Operating Officer for Sherwood Copper, who have reviewed and
approved the information contained herein.

Additional Information

Additional information on Sherwood and its Minto Project can be obtained
on Sherwood's website at http://www.sherwoodcopper.com.

On behalf of the board of directors

SHERWOOD COPPER CORPORATION

Stephen P. Quin, President & CEO

This document may contain "forward-looking statements" within the meaning
of Canadian securities legislation and the United States Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are made as of the date of this document and the Company does
not intend, and does not assume any obligation, to update these
forward-looking statements.

Forward-looking statements relate to future events or future performance
and reflect management's expectations or beliefs regarding future events
and include, but are not limited to, statements with respect to the
estimation of mineral reserves and resources, the realization of mineral
reserve estimates, the timing and amount of estimated future production,
costs of production, capital expenditures, success of mining operations,
environmental risks, unanticipated reclamation expenses, title disputes
or claims and limitations on insurance coverage. In certain cases,
forward-looking statements can be identified by the use of words such as
"plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or "does
not anticipate", or "believes", or variations of such words and phrases
or statements that certain actions, events or results "may", "could",
"would", "might" or "will be taken", "occur" or "be achieved" or the
negative of these terms or comparable terminology. By their very nature
forward-looking statements involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or
achievements of the Company to be materially different from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Such factors include, among others, risks
related to actual results of current exploration activities; changes in
project parameters as plans continue to be refined; future prices of
resources; possible variations in ore reserves, grade or recovery rates;
accidents, labour disputes and other risks of the mining industry; delays
in obtaining governmental approvals or financing or in the completion of
development or construction activities; as well as those factors detailed
from time to time in the Company's interim and annual financial
statements and management's discussion and analysis of those statements,
all of which are filed and available for review on SEDAR at
www.sedar.com. Although the Company has attempted to identify important
factors that could cause actual actions, events or results to differ
materially from those described in forward-looking statements, there may
be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual results
and future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.

(i) These are non-GAAP performance measures and readers should refer to
notes on non-GAAP performance measures in the Company's management
discussion and analysis for the three month period ended March 31, 2008
as filed on Sedar for further details.

The TSX Venture Exchange has
not reviewed and does not accept responsibility for the adequacy or
accuracy of this press release.

Contacts:
Sherwood Copper Corporation - Investor Contact
Stephen P. Quin
(604) 687-7545

Sherwood Copper Corporation - Investor Contact
Chris Curran
(604) 687-7545
(604) 689-5041 (FAX)
Website: www.sherwoodcopper.com

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