Mr. Paul Joyce reports

RUGBY MINING LIMITED: DRILLING UPDATE GREAT NORTHERN GOLD PROJECT, PILBARA, AUSTRALIA

Rugby Mining Ltd. is releasing preliminary high-grade gold results from the recently completed diamond drilling program at the Great Northern gold project in the Pilbara region of Western Australia. The initial drilling program was conducted at the early-stage Berghaus prospect, located approximately nine kilometres to the northwest of Wingina. Eight shallow holes for a total of 640 metres were drilled along 750 metres of strike to target high-grade gold mineralization associated with a series of northeast-trending structures in meta-sedimentary rocks. Two of the eight holes intersected visible gold mineralization. Preliminary gold assays have been received for all the drill holes, and significant drill results include:

RDD001:  0.5 m at 11.9 grams per tonne gold from 47.2 m

RDD002:  1.0 m at 17.4 grams per tonne gold from 15.5 m

RDD003:  3.4 m at 6.25 grams per tonne gold from 20.1 m

RDD006:  1.4 m at 16.1 grams per tonne gold from 63.2 m

RDD008:  0.5 m at 10.7 grams per tonne gold from 43.0 m

All results are preliminary, as assays are being verified and check samples are currently being assayed at another independent laboratory. Rugby's chief executive officer Paul Joyce stated: "We are encouraged by our initial program at Berghaus. We have both delineated high-grade mineralization and are close to meeting the minimum expenditure requirement for the project by drilling holes previously permitted by our joint venture partner. Further drilling at Berghaus will now follow drilling at our top-priority target, Wingina. Our objective at Wingina is to test for potential depth extensions to the very high-grade footwall gold zone. We believe that the host rocks are favourable for extensions of the high grade to significant depths. A 2,000 m drilling program is expected to commence early Q4, subject to permitting and drill rig availability.

"Previous operators established a historical mineral resource at Wingina; however, the resource was not completed in compliance with National Instrument 43-101 -- consequently the company is not reporting any resource estimates prior to further evaluation. We plan to work with independent consultants to upgrade the historical mineral resource at Wingina to NI 43-101 requirements. Under our JV agreement, the company has an option to purchase 80 per cent of the historical resource by 2018."

Quality control and assurance

Blanks and certified standards were inserted into the sample stream as part of Rugby's quality assurance and control program, which complies with National Instrument 43-101 requirements. Core samples were cut in half-lengths using a diamond saw, with one-half retained in secure storage for logging and the other half sent to ALS Laboratory Services lab in Perth, Western Australia, for mineral analyses. All samples were prepared using ALS's PREP-31B method (drying, crushing and pulverizing) and assaying for gold by ALS's Au-AA26 technique, in which a 50-gram charge was split from each sample for fire assay with an AAS finish. Check assaying is currently under way at Intertek-Genalysis Laboratory Services, Perth. Both ALS and Intertek are independent and ISO-9001:2000 certified laboratories with no association to Rugby.

Update: Cobrasco project, Colombia

Water permits for the proposed drilling program were recently granted. The permits are valid for a five-year period. The forestry extraction permit, the final step in the drill permitting process, is currently being processed by the Ministry of Environment with approval expected before year-end. Francisco Montes, Rugby's chief geologist and a qualified person within the definition of that term in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, has verified the technical information that forms the basis for this news release.

We seek Safe Harbor.