Mr. John Ryan reports

PREMIUM EXPLORATION ENCOUNTERS 151 METERS (496 FEET) OF 2.68 G/T GOLD AT ITS IDAHO GOLD PROJECT

Premium Exploration Inc. has released assay results from drilling the deep zone at the Friday gold deposit in Idaho county, Idaho.

The drill hole has confirmed continuity of a high-grade gold zone below the current bulk-tonnage gold resource. Two additional holes have been completed in the deep zone, and drilling is now focused on the shallow high-grade zone at Friday. The drilling is being done to support a preliminary economic study of the high grade at the Friday deposit and is designed to extend the high-grade mineralization found in drill holes detailed in the Jan. 15, 2014, press release.

Highlights include:

• PFR20013-1: 15.19 grams per tonne gold over 9.14 metres (30 feet);
• Including 5.62 g/t gold over 54.1 m (177.5 feet);
• Including 2.69 g/t gold over 151 m (496 feet);
• The continuing drill program consists of 12 HQ core holes and complete assay results have now been received for the first drill hole PFR2013-1.

Drill hole PFR2013-1 was drilled 27 m south of PFR2009-10 and intercepted the strongest mineralization at approximately 17 m due to drill hole deflection. A zone of 54.1 m (237.7 to 291.8 m) encountered strongly silicified, clast-supported breccia rimmed with pyrite. This zone was also encountered in the next hole to be reported, PFR2013-2. A suite of metallic screens will be completed on the high-grade intercepts as well as a selected grade range to better understand gold distribution. Approximately 50 samples will have metallurgical testing work performed in the near future to further the company's understanding of the high-grade zone.

                           IDAHO DRILL RESULTS

Drill         From     To  Interval    From     To  Interval      Au    
hole            (m)    (m)       (m)    (ft)   (ft)      (ft)   (g/t)   
   
PFR2013-1   231.65 382.83    151.18     760  1,256       496    2.69     
            237.74 291.85     54.10     780  957.5     177.5    5.62     
            270.51 279.65      9.14   887.5  917.5        30   15.19 

The gold grade calculation is a weighted mean with no top cut and 
no bottom cut. The grade calculation includes internal waste and 
low-grade sections.
True widths are estimated to be between 65 per cent and 75 per cent 
of the drilled interval.

"The initial results from this program support the current understanding of the geologic and structural controls of the mineralization and will be used in the upcoming preliminary economic study. The high-grade gold intercepts from this drilling are encouraging and will likely have a positive impact on the economics of this project," stated John Ryan, president and chief executive officer of Premium.

Quality assurance

The company has implemented a rigorous quality assurance/quality control program using best industry practices at the Friday-Petsite property. The program includes security of samples, and drill core sawn in half and shipped in sealed bags. Blind duplicates, blank samples and certified standards are inserted into the sample stream. The samples are then boxed and freighted to ALS Chemex Labs in Elko, Nev., a lab certified for the provision of assays and geochemical analyses (ISO 9001:2008). Samples with gold values greater than 10 g/t were reanalyzed via the metallic screen procedure. Samples with visible gold were also analyzed initially using the metallic screen analysis, as were the samples immediately preceding and following the sample with visible gold.

Qualified person

The 2013 exploration program is directed by James Baughman, chief geologist of Premium Exploration, who is a qualified person as defined by National Instrument 43-101. Mr. Baughman prepared and approves of the content of this release.

We seek Safe Harbor.