Mr. Dunham Craig reports

GEOLOGIX AIRBORNE GEOPHYSICS & FIELDWORK IDENTIFY MULTIPLE NEW DRILL TARGETS AT TEPAL

Geologix Explorations Inc. has released results from the property-wide airborne geophysical survey completed over the company's entire 172-square-kilometre Tepal project in Michoacan state, Mexico (see the company's news release dated Dec. 2, 2011). Results of the survey have identified multiple new prospective exploration targets warranting immediate follow-up. Visit the company's website for more details.

Highlights of the survey include:

• Seven strong geophysical targets identified throughout project area;
• Three priority targets with coincidental gold, copper, silver and molybdenum in geochemical or drilling results;
• Multiple anomalies located within the same structural corridor as the North, South and Tizate zones;
• Follow-up evaluation being conducted over several targets to delineate priorities for a follow-up drill program.

Of the seven airborne geophysical anomalies identified, three have had preliminary reconnaissance groundwork and are considered priority drill targets. These new drill target areas range in size from three kilometres by three kilometres to one kilometre by one kilometre, and appear to have similar geophysical and geological characteristics to those identified over the known mineralization (North, South and Tizate zones) where, in addition to favourable geology and geochemistry, structural controls intersect, which has proven to be an important component. The remaining four areas are currently undergoing fieldwork to better define their potential. All seven of these new areas are being followed up with detailed soil sampling, mapping and trenching to delineate targets in advance of a systematic follow-up drill program.

Dunham Craig, president and chief executive officer, stated: "We are pleased with these latest results, as they give the Tepal project an exciting element of exploration potential to coincide with the ongoing development of the known deposits currently being advanced to a prefeasibility study (PFS). The size of the exploration targets and our preliminary field examinations indicate that we are in a position to rapidly advance these targets toward a drill testing stage. Early drill testing is important, as a new discovery could significantly impact final design in a definitive feasibility study."

Target No. 1

Target area No. 1 (three kilometres by three kilometres) has a large geophysical signature of elevated magnetics, cored by a magnetic low where a potassic signature has replaced the magnetic low, which is a textbook geophysical signature for porphyry deposits. Outcrop is scarce in the area, but observed exposure indicates the presence of an intrusive plug with local potassic and propylitic alteration similar to North, South and Tizate zones. A soil sampling program consisting of 220 soil samples, using a line spacing of 200 metres and sample separation of 100 metres, has been completed, with final results pending. Preliminary reconnaissance geochemical results indicate that the area is mineralized in gold, copper, silver and molybdenum.

Target No. 2

Target area No. 2 (one kilometre by one kilometre) lies along strike and within the same structural corridor as the known deposits. The geophysical signature suggests an intrusive plug in a structural setting identical to the zones that are subject to the current resource definition and PFS studies. The geophysical anomaly is coincident with previous geochemical anomalies (soil) in gold, copper and molybdenum. Additional soil sampling and trenching immediately over the coincident anomaly have been completed, and analytical results are expected shortly. Trenching in the central area indicates it is underlain by intrusive rocks with potassic and propylitic alteration similar to the North, South and Tizate zones.

Target No. 3:

Target area No. 3 (1.5 kilometres by 0.4 kilometre) is located north of the Tizate zone in an area where prospect drilling by prior operators reported 32 metres grading 0.11 gram per tonne gold and 0.26 per cent copper. In addition, the induced polarization survey contracted by the company in 2009 has outlined a widespread chargeability anomaly in the same area. Further mapping and sampling are under way. The prior drill results are in line with results of peripheral mineralization outlined in the three known zones, and warrant additional systematic drill testing.

Follow-up anomaly No. 4

The area lies along the same structural corridor that is host to the North and South zones. Structural interpretations indicate the area is underlain by complex and intersecting structures that are prospective for additional porphyry-type mineralization. Field visits to the anomalous area suggest that a program of detailed soil sampling and mapping is required to further define the target.

Follow-up anomaly No. 5

The area is located along strike and in the same structural setting/corridor as the known zones of mineralization, and in line with target No. 2. Electromagnetic signatures suggest that disseminated sulphide mineralization is present. No outcrop is present, and the area is targeted for soil sampling and trenching in order to characterize the geophysical anomaly.

Follow-up anomaly No. 6

The area is located two kilometres west of the North zone in magnetic, electromagnetic and alteration terrain similar to the terrain hosting the known mineralization. Of specific interest is a radiometric anomaly suggesting a large area of potassic alteration, measuring approximately three kilometres by one kilometre.

Follow-up anomaly No. 7

The area is marked by a prominent magnetic intensity high and a radiometric anomaly indicating potassic alteration is present. Structural interpretations of geology suggest complexities that are favourable for porphyry-type environments. The area measures two kilometres by one kilometre.

The airborne geophysical survey was designed to:

1. Define and outline geological and structural domains that are similar to the domains within which current resources are located (magnetics);
2. Identify the geophysical response of known mineralization to extrapolate and search for areas of similar signatures on the property (electromagnetics);
3. Identify and characterize geochemical signatures of alteration associated with known mineralization to further locate prospective areas on the property (radiometric).

Dunham L. Craig, PGeo, president and CEO of Geologix, Vancouver, B.C., is the qualified person for the purposes of National Instrument 43-101, standards of disclosure for mineral properties, of the Canadian Securities Administrators, and has reviewed and verified the data contained in this news release.