Multiple High-Grade Gold Assays From Program At Golden Mountain

VANCOUVER, BC - Fosterville South Exploration has intersected wide intervals of high-grade gold in multiple drill holes during the initial phase of core drilling at its Golden Mountain Project in Victoria, Australia.

Based on the high-grade drilling results during this initial core drilling program, the previous high-grade drill results reported by Fosterville South from near surface percussion drilling and regional groundwork, Fosterville South also has staked (exploration tenement applications) an additional 404 sq km contiguous with and immediately to the east of the Company's Golden Mountain project tenements, as to cover off all of what the Company believes is the geologically prospective ground in the immediate area.

These high-grade core drilling assays follow previously reported high-grade assays from shallow, near surface percussion drilling conducted by Fosterville South, such as 6 meters at 8.9 g/t Au within a total intercept of 22 meters at 3.44 g/t Au in hole GMP 13 (from 60 meters) and 4 meters at 9.04 g/t Au within a total intercept of 28 meters at 2.22 g/t Au in hole GMP 11 (from 36 meters).

Chief Operating Officer, Rex Motton, said, "Fosterville South has acquired a premier land package of approximately 3000 sq km in Victoria, and this is the result of a multi-year head start on the current land rush happening today. We are well funded and have now commenced exploration initiatives that will ramp up shortly. These initial high-grade gold assays from Golden Mountain are indicative of the quality of the properties within Fosterville South and we look forward to keeping investors up to date as we progress on the ground on all fronts."

The geological interpretation of the central mineralization as a north-south striking near vertical fault zone is proving especially useful in terms of drill hole targeting. All drill core is using oriented core techniques.  In drill hole GMDH28, three occurrences of visible gold have been observed over a drill length of 12 meters located on fractures and within quartz veins, which correlated well with the individual generally 1m interval assay results.