Timberline Closes Acquisition Of Staccato Gold Resources 

COEUR D'ALENE, ID - Timberline Resources Corporation reported that it has closed on its acquisition of Staccato Gold Resources Ltd. by way of a plan of arrangement.

As previously announced, the acquisition, by way of a plan of arrangement (the "Arrangement"), was overwhelmingly approved by the shareholders of Timberline and Staccato, and the Final Order from the Supreme Court of British Columbia was issued approving the proposed acquisition of Staccato by Timberline. Randal Hardy, Timberline's CEO, commented, "We are very happy to have met all the closing conditions and to have closed on the acquisition of Staccato. We are excited to start working on the Lookout Mountain project, as well as several of the other exploration opportunities on the South Eureka property in the Battle Mountain / Eureka gold trend. In addition, we are progressing well at our Butte Highlands Gold Project, which is still on target with our objective to achieve production in 2011, and Timberline Drilling is doing very well as our team continues to optimize the operations and find opportunities to leverage our expertise in both underground and surface core drilling." The company's address is 101 E. Lakeside Coeur d'Alene, ID 83814, 208.664.4859, fax: 208.664.4860, email: [email protected].