High Grade Underground Target At Arturo Mine

THUNDER BAY, ON – Premier Gold Mines Limited reported an update of ongoing exploration and development activities at the Company’s 40%-owned South Arturo Mine in Nevada. The South Arturo Mine is a joint venture between Premier and Barrick Gold Corporation’s wholly-owned subsidiary Barrick Gold Exploration Inc.

As updated guidance and exploration results, following a recent joint venture meeting, for the Phase 2 mining project at South Arturo, Premier provided. Development work continues to advance open pit operations with first gold production expected in 2016 – Premier has funded the projected spend to the end of November. Drilling to test the continuity and expansion of the NE Button Hill underground target confirms high-grade gold mineralization with intercepts as high as 0.75 ounces per ton gold across 90 feet (25.7 grams per tonne (g/t) Au across 27.4 meters (m)). 2016 gold production projected to be approximately 200,000 ounces of gold (80,000 to Premier).

Ongoing work includes a capitalized pre-stripping program (currently progressing at 200,000 tons per day) and associated site preparation for mining the Phase 2 open pit. Initial gold production is expected in early 2016; however, primary production is expected to begin at mid-year next year.

In addition to mine development, Barrick is conducting drilling on behalf of the JV of the NE Button Hill horizon for high-grade gold mineralization situated down-dip of the Phase 2 pit. This program is designed to infill drill spacing to demonstrate continuity and continue to step out down-dip and along strike. Both targets have been successful with assays being received from 7 holes.