Premier announces commencement of underground drill program

    Shares Issued: 68,089,742

    THUNDER BAY, ON, June 12 /CNW/ - Premier Gold Mines Limited (TSX:PG) is
pleased to announce that diamond drilling has started from an underground
platform of Goldcorp Inc.'s (TSX:G, NYSE:  GG) affiliate, Red Lake Gold Mines,
toward the Bonanza-Rahill Property.
    Drilling began June 6, 2007 toward the joint venture (JV) property by
collaring on the 41 Level, approximately 1,875 metres (m) or 6,150 feet below
surface of the Campbell Complex (formerly Campbell Mine) of Red Lake Gold
Mines. This is the first of two holes that are planned to be drilled toward
the southwest. Each hole will be some 1,300 m in length with the final 650 m
passing through the JV property. These holes are being drilled immediately
west of and along strike from the current mine zones, which represents a key
target area in the 2007 exploration program. This drilling is testing for
possible extensions and/or repetitions of fault structures, key rock types and
vein material known to relate to mineralization at the Red Lake Gold Mines,
including the prolific High Grade Zones.
    Matt Long, P. Geo., Red Lake District Project Manager of Premier, is the
Qualified Person for the information contained in this press release and is a
Qualified Person within the meaning of National Instrument 43-101.

    Premier Gold Mines Limited is a Canadian-based mineral exploration and
development company with diverse property holdings that include several
projects and deposits in Northwestern Ontario and a joint venture in Mexico.
In the Red Lake gold mining camp, two of these are operated in joint venture
with Goldcorp Inc. (TSX:G). A strategic project is also located on the main
Musselwhite Gold Mine trend (Goldcorp-Kinross).

    The statements made in this Press Release may contain forward-looking
statements that may involve a number of risks and uncertainties. Actual events
or results could differ materially from the Company's expectations and
    %SEDAR: 00024152E

For further information:

For further information: Ewan Downie, President & CEO, Phone: (807)
346-1390, Fax: (807) 345-0284, e-mail:, Web Site:

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