Mr. Bill Pearson reports

POSTPONEMENT OF SPECIAL MEETING OF COASTAL GOLD SHAREHOLDERS

Coastal Gold Corp., pursuant to the arrangement agreement dated March 1, 2015, between Coastal Gold and Sulliden Mining Capital Inc., has received the consent of Sulliden and has postponed its special meeting of shareholders to 10 a.m. (Toronto time) on Friday, May 8, 2015. The meeting will be held at 65 Queen St. West, eight floor, Toronto, Ont., M5H 2M5.

On May 3, 2015, the corporation received a revised unsolicited offer from First Mining Finance Corp. to acquire all of the outstanding common shares of Coastal Gold for 0.15 common share in the capital of FMF for each Coastal Gold common share, by way of a plan of arrangement under the Business Corporations Act (Ontario). The FMF offer is conditional upon termination of the arrangement agreement between Coastal Gold and Sulliden before 5 p.m. (Toronto time) on May 9, 2015.

The special committee of the board of directors of Coastal Gold has determined that it requires additional time to review the FMF offer in order to determine whether the FMF offer constitutes a superior proposal, as defined in the arrangement agreement.

The postponement will allow the special committee and its advisers additional time to review the FMF offer, and to make recommendations to the board of directors of Coastal Gold arising from the special committee's review.

Coastal Gold cautions that there can be no assurance that the FMF offer will lead to the termination of the arrangement agreement and the execution of an arrangement agreement with FMF, or that the proposed transaction contemplated by the FMF offer will be approved by shareholders of Coastal Gold or consummated.

Completion of the proposed transaction is subject to a number of conditions, including TSX Venture Exchange acceptance. Additionally, the proposed transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the management information circular prepared in connection with the proposed transaction, any information released or received with respect to the proposed transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Coastal Gold should be considered highly speculative.

We seek Safe Harbor.