Mr. Guy Charette reports

CARPATHIAN GOLD INC. PROVIDES CORPORATE UPDATE

Carpathian Gold Inc. has concluded a further extended forbearance and amendment agreement with Macquarie Bank Ltd. in respect of the project finance facility entered into between Macquarie and the corporation's wholly owned subsidiary, Mineracao Riacho dos Machados Ltda. (MRDM). The agreement provides for a $1.1-million (U.S.) increase in the amount of funds made available under tranche 3 of the facility entered into between Macquarie and the corporation's wholly owned subsidiary, MRDM, for a total facility of up to $213.1-million (U.S.), of which approximately $211.97-million (U.S.) is currently drawn. The current forbearance period expires on May 29, 2015, and repayment of any funds drawn down under tranche 3 is to be effected by May 29, 2015. Discussions with Macquarie are continuing; however, there is no assurance that Macquarie will agree to any further extensions of the forbearance or tranche 3 repayment date.

We seek Safe Harbor.