Mr. Paul Dircksen reports

TIMBERLINE SHAREHOLDERS APPROVE ACQUISITION OF WOLFPACK GOLD (NEVADA)

At Timberline Resources Corp.'s annual and special meeting of shareholders held on Aug. 5, 2014, shareholders overwhelmingly approved the plan of arrangement pursuant to which Timberline will acquire Wolfpack Gold (Nevada) Inc., a subsidiary of Wolfpack Gold Corp.

At the meeting, approximately 75 per cent of the company's outstanding shares of common stock were represented, and over 94 per cent of the shares voted on the arrangement voted in favour of approving the arrangement, including the issuance of shares of Timberline's common stock to Wolfpack as consideration for the acquisition. The other proposals related to the arrangement, approval of a reverse stock split and approval of an increase in the company's authorized number of common shares, also passed with over 84 per cent and over 91 per cent of the shares voted on the proposals, respectively, voting in favour of those proposals.

Upon completion of the arrangement, Timberline will issue 0.75 share of its common stock for each outstanding common share of Wolfpack in exchange for all of the issued and outstanding shares of Wolfpack U.S., which holds a number of exploration properties in Nevada and approximately $5.3-million in cash, inclusive of the current $1-million (U.S.) loan from Wolfpack to Timberline, which will be cancelled at the closing of the arrangement. Completion of the arrangement is subject to certain approvals by the B.C. Supreme Court, the NYSE MKT and the TSX Venture Exchange, and the receipt of all other necessary regulatory and third party approvals. The arrangement is expected to close within the next 10 days.

Timberline president and chief executive officer, Paul Dircksen, commented: "We are pleased with the great voter turnout and that the vast majority of our shareholders have shown their support for the acquisition of Wolfpack U.S. When the transaction closes, we will have funding to focus on advancing our district-scale South Eureka/Lookout Mountain project in Nevada, where we have excellent potential for new discoveries in addition to the existing significant NI 43-101 resource. We intend to prioritize our expenditures on projects with superior potential that maximize our opportunities in Nevada, one of the most favourable gold domains in the world. In addition, Timberline's shareholders will continue to benefit from the future developments at Butte Highlands in Montana once the remaining permits are granted."

The following individuals were also elected to the company's board of directors at the meeting: Paul Dircksen, Randal Hardy, Vance Thornsberry, Robert Martinez and Leigh Freeman. Upon completion of the arrangement, Randal Hardy and Vance Thornsberry will resign from the board of directors, and the two Wolfpack nominees will be appointed.

We seek Safe Harbor.