Zone Expands With Deepest Hole To Date At Golden Mountain Project

VANCOUVER - Fosterville South Exploration Ltd. reported new gold assay results from the ongoing drill program at its Golden Mountain Project in Victoria, Australia. Multiple holes being reported today intersected long intervals of strong gold mineralization, including GMDH 45 which returned 55.1 meters at 3.06 g/t Au, including 15.9 meters at 6.93 g/t Au in the deepest hole drilled to date in the N-S zone.

Rex Motton, Chief Operating Officer and Director, said, "Drilling at Golden Mountain continues to intersect strong gold grades over lengthy intervals with excellent distribution of grade throughout the system. These assay results continue to demonstrate the potential for grade, size and continuity."

The Company is awaiting assays on 11 additional holes drilled at Golden Mountain.  Assays pending include four diamond drill holes from the southern part of the N-S zone and seven RC scout holes that were drilled at various extensional targets to the Golden Mountain mineralization. At Golden Mountain, the geological interpretation of the central mineralization as a north-south striking near vertical fault zone (N-S zone) is confirmed, with east-west faults and intrusive granitic dyke swarms (E-W zone) adding further zones of mineralization. The east-west striking granitic dyke swarm (E-W zone) is located on or near the Strathbogie granite contact, with mapping and geochemical sampling indicating this zone is about 1km in length.  Within the central part of the N-S zone, a fault-controlled extension to the gold mineralization in the south west (Southwest Fault) is now recognized, apart from the southern extension of the N-S zone as well. The intersection of the Southwest Fault with the main N-S zone causes a wide zone of fracturing and gold mineralization. As part of this 3D structural interpretation process all drill core is using oriented core techniques.