Premier Gold Mines Limited Completes $104 million Acquisition of Goldstone Resources Inc.

On August 16, 2011, Premier Gold Mines completed the previously announced acquisition of Goldstone Resources for approximately $104 million. Each Goldstone shareholder received 0.16 of one Premier common share and a nominal cash payment of $0.0001 for each Goldstone share held.

The acquisition consolidates 100% ownership of the Hardrock Project in Canada that is host to a multi-million ounce NI 43-101 compliant resource estimate.

Premier Gold Mines Limited is a Canadian-based mineral exploration and development company with several projects and deposits in Northwestern Ontario, Nevada and Mexico.

Goldstone Resources Inc. is a gold exploration and development company operating in the historically significant Geraldton-Beardmore camp of Northwestern Ontario and focused on gold exploration and deposit delineation at its Key Lake, Brookbank, Northern Empire and Leitch-Sand River gold properties, and as a partner in the Hardrock Project joint venture with Premier.

Goldstone was represented by a team from McMillan LLP that included Paul Davis, Greg McIlwain and Andrew Walker (corporate/ securities), Herb Ono (US securities), Michael Friedman and Carl Irvine (tax), Brent McPherson and Adam Chisholm (litigation), Mathew German (real estate) and Lyndsay Wasser (employment).