Premier Red Lake drilling returns high grade gold

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pleased to announce that drilling on the Rahill-Bonanza Joint Venture Property
in Red Lake continues to intersect significant gold grades both down-dip from
the Bonanza Deposit, and in the on-strike CP Zone. The Rahill-Bonanza Property
is located in the heart of the Red Lake Mining District in Northwestern
Ontario and is being explored under a joint venture with Red Lake Gold Mines
Limited ("RLGM"), an affiliate of Goldcorp Inc.
    The focus of current drilling is to define and expand mineralization
within the Bonanza deposit that is host to a gold resource exceeding 900,000
ounces, and to test for potential extensions to the CP Zone that is located
along strike from the Bonanza Deposit. The Bonanza Deposit is located
immediately south of Gold Eagle Mines' (TSX:GEA) Bruce Channel discovery that
is currently the subject of a takeover offer from Goldcorp Inc. (TSX:G -
NYSE:  GG). Drilling continues to return broad intersections of near-surface
gold mineralization on the joint venture project proximal to existing mine

    Extension drilling at the Bonanza Deposit continues to demonstrate the
potential to expand mineralization at depth with intersections that include
9.7 g/t Au across 3.0 metres and 21.8g/t Au across 3.0 metres in hole PG08046,
and 5.4 g/t Au across 5.0 metres in hole PG08047.

    The deposit remains open at depth and current drilling is testing
down-dip from the known gold resource. Table 1 provides a summary of results
from current drilling (all widths represent core lengths):

    Table 1 Bonanza Deposit Deep Drilling Results

    Hole     Target     Zone   Azimuth   Dip   From(m)  To(m)   Width   Assay
     ID       Zone                                                      (g/t)
    PG08046  B1-F1 HG    B1      353     -45     482     485       3     9.7
                        RH1                      487     502      15     1.8
                        RH2                      538     541       3    21.8
    PG08047  B1-F1 HG   RH2      360     -50     489     494       5     5.4
                         F1                      590     593       3     5.5
    PG08049  B1-F1 HG    F1      355     -60     654     657       3     2.2
    PG08050  B1-F1 HG            355     -70   pending

    The current program also consists of in-fill drilling in support of
potential "advanced" underground exploration in the future. This drilling is
to further define higher grade "shoots" within the deposit that would be the
primary targets of an underground program. Highlights from the first two holes
include 9.8g/t Au across 6.0 metres and 11.0g/t Au across 5.0 metres.

    Table 2 summarizes results received to date:

    Table 2 Bonanza Deposit Infill Drilling Results

    Hole     Target     Zone   Azimuth   Dip   From(m)  To(m)  Width   Assay
     ID       Zone                                                     (g/t)
    PG08044   B1-F1 DEF  F2      310     -61      74      78       4     7.3
                        Incl.                     75      76       1    22.8
                          X                      192     208      16     1.9
                         F1                      231     247      16     4.6
                        Incl.                    233     239       6     9.8
    PG08045   B1-F1 DEF          320     -72   pending
    PG08048   B1-F1 DEF  F6      338     -71     271     276       5    11.0
                         F1                      313     317       4     4.5
                          X                      327     332       5     3.5
                         F3                      360     363       3     4.2

    The CP Zone is located along strike from the main Bonanza Deposit and
current drilling has shown appreciable visible gold in numerous holes drilled
to test this horizon. Assays from this drilling are expected in the near
    "The current program is meeting our expectations as we continue to
delineate higher-grade lenses within the Bonanza deposit" stated Ewan Downie,
President of Premier. "With the existing nearby infrastructure, these zones
will likely become part of any future mine planning in the area".
    In addition to the Bonanza Deposit, the Rahill-Bonanza Project is host to
the past-producing Wilmar Gold Mine where, over a period of four years,
203,256 tons of ore was mined at an average grade of 0.30 oz/ton Au (10.3g/t
Au). The deposit remained open at depth when the mine shutdown and drilling
performed down-dip of the mine workings by the joint venture in 2007 returned
numerous significant intersections including 18.1g/t Au over 2.0 metres and
14.2g/t Au over 5.0 metres.
    Deep drilling is underway on the east part of the project proximal to and
west of the prolific Red Lake Gold Mines complex. This drilling is targeting
the mine's host horizon along strike from the zones currently being mined.
Drilling onto the Joint Venture project from the Campbell Complex of RLGM,
collared on the 41 Level (some 1875 metres or 6150 feet below surface),
successfully intersected the mine horizon, opening up significant exploration
potential along strike from the mine onto the joint venture project. Altered
mafic and ultramafic rock units, identical to those that host the main zones
at the mine were intersected and the most significant assay from this hole was
6.8 gpt Au (0.20 oz/ton) over 1.0 metre. Plans are underway for additional
drilling in this area.
    A presentation providing an update of the Red Lake program is available
on the company's website, The Rahill-Bonanza Project
covers several kilometres of the main Red Lake "Mine Trend" that is host to
the world class Red Lake Gold Mines to the east, and Gold Eagle's "Bruce
Channel" discovery to the west of the Joint Venture Property.
    Stephen McGibbon, P. Geo., 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. Core from Rahill-Bonanza is sent to Accurassay
Laboratories, an accredited mineral analysis laboratory in Thunder Bay,
Ontario, for preparation and analysis utilizing both fire assay and screen
metallic methods.

    Premier Gold Mines Limited is a well financed Canadian-based mineral
exploration and development company with 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 Red Lake Gold
Mines. The company also owns a strategic project located on the main
Musselwhite Gold Mine trend.

    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) 346-0100; E-mail:, Web Site:

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