Mine Development Underway At Butte Highlands Gold Project

 

COEUR D'ALENE, ID - Timberline Resources Corporation reported that it has posted the required reclamation bond and site development has begun at its Butte Highlands Gold Project, located 15 miles south of Butte, Montana. The company anticipates that the initial site facilities and portal will be in place and it will be advancing underground by late October or early November. A ground breaking ceremony is tentatively scheduled for November 1, 2009.

Timberline's Vice President of Exploration, Paul Dircksen, commented, "We are very pleased with the progress at our Butte Highlands Gold Project over the past few weeks. Upon securing the permit and posting the bond, our joint venture company began site work immediately and is making good progress. The Butte Highlands project demonstrates the unique abilities of the Timberline and Small Mine Development (SMD) teams to evaluate the geologic viability along with the mining feasibility of underground mining projects. We have identified other similar sized underground projects that this partnership is uniquely qualified to take advantage of, and we will pursue those that have the potential to provide cash flow and enhance shareholder value."

More information regarding Timberline and its projects, including photo and video updates on the Butte Highlands Gold Project JV, may be found on the company's web site at www.timberline-resources.com.

Timberline Resources Corporation has taken the complementary businesses of mining services and mineral exploration and combined them into a unique, forward-thinking investment vehicle that provides investors exposure to both the "picks and shovels" and "blue sky" aspects of the mining industry. Timberline has contract core drilling subsidiaries in the western United States and Mexico and an exploration division focused on district-scale gold projects with the potential for near-term, low-cost development. The Company has formed a 50/50 joint venture with Highland Mining, LLC, an affiliate of Small Mine Development, LLC, at its Butte Highlands Gold Project which is permitted and has begun development in 2009.

The company’s address is 101 E. Lakeside Coeur d'Alene, ID 83814, 208.664.4859, fax: 208.664.4860, email: [email protected], www.timberline-resources.com.