Drilling Continues At Kinsley Mountain Project

VANCOUVER, BC - "During the second quarter of 2012, we became operator at TV Tower, earned a controlling interest at Kinsley while continuing to expand the extent of gold mineralization, and completed a robust maiden resource estimate on our Halilaga copper-gold project," stated Pilot Gold President and CEO Matt Lennox-King. "With drilling already underway at TV Tower, an active drill program at Kinsley and ongoing drilling and economic studies at Halilaga, we will continue to make significant headway at all three of our key projects

At the Kinsley Mountain Project the 2012 work program includes 12,000 metres of core and RC drilling with detailed geologic modelling and analysis designed to confirm and expand the historic gold footprint and to test priority exploration targets at depth and along strike. Lennox-King ╥We have also submitted a Plan of Operations with the United States Bureau of Land Management that would increase the area on which we can actively explore. We achieved the initial 51% earn-in on May 10, 2012, and have elected to earn an additional 14% interest (to an aggregate of 65%) in the project by making a further $3 million in expenditures on the property before May 2017. We have already incurred approximately $1.9 million in eligible expenditures toward this second option. Nevada Sunrise Gold Corporation, Pilot Gold's joint venture partner, currently has a 49% interest. Our revised budget at Kinsley Mountain for the year is $2.9 million. We have begun testing high priority targets approximately 500 metres to the northwest of the historic mine area.

The company's address is Suite 1650, 1055 West Hastings Vancouver, BC V6E 2E9, 604.632.4677, fax: 604.632.4678, email: [email protected].