Mr. John-Mark Staude reports

RIVERSIDE TO RECEIVE 15,000,000 SHARES FROM PARTNER MORRO BAY RESOURCES AS CONDITION OF EXERCISING INITIAL OPTION ON PENOLES PROJECT, DURANGO, MEXICO

Riverside Resources Inc.'s partner Morro Bay Resources Ltd. has exercised the option on the Penoles project by making the final payment of 15 million common shares of Morro Bay. As a result, Riverside now has ownership and control over 28,841,109 common shares of Morro Bay, representing approximately 35 per cent of Morro Bay's issued and outstanding shares.

The 15 million common shares were issued by Morro Bay and acquired by Riverside pursuant to Morro Bay's exercise of its option to acquire a 51-per-cent interest in Riverside's Penoles property, Mexico, under an option agreement dated Jan. 22, 2014, and amended June 30, 2014, Jan. 8, 2015, and March 31, 2015. Accordingly, the 15 million common shares were issued for a consideration equivalent to the percentage value that they represent of the total value of the payments, expenditures and other consideration required to exercise the option, as a function of the value of the mineral property interest acquired. No formal valuation has been conducted of the mineral property interest acquired, however the value ascribed to the 15 million common shares in the option agreement was $750,000 in the aggregate, and equivalent to five cents per share.

Moving forward, Riverside will receive a $1.25-million (U.S.) and $100,000 (Canadian) credit toward initial joint venture expenditures. Morro Bay will be required to incur a minimum of $750,000 (Canadian) in joint venture expenditures for each of the first three years. In the event that Morro Bay fails to meet the minimum required joint venture expenditures, Riverside will have the right to take back 100-per-cent ownership of the project, subject to certain conditions (see agreement details section in Riverside press release dated Jan. 20, 2015).

Riverside's president and chief executive officer, John-Mark Staude, stated: "Riverside looks forward to further partner funded exploration work and drilling to expand on the recently filed NI 43-101 resource estimate. We are pleased to be a major shareholder in Morro Bay and believe the collaborative advancement and derisking of the Penoles project has positioned Riverside shareholders to participate in future upside at the project and Morro Bay corporate level, while also allowing Riverside to focus on many other growth opportunities simultaneously. Riverside won't have to commit towards JV expenditures at Penoles until approximately $2.7-million in further work is funded by Morro Bay."

About the project

The Penoles project includes two historic silver mines (Jesus Maria and San Rafael), an oxide gold prospect (referred to as El Capitan) and numerous exploration targets located in the historic Penoles mining district of Durango, Mexico. The Penoles project is host to multiple mineralized vein systems, fault zone structures, polymetallic skarns and silicified low-temperature gold-rich volcaniclastics. To date, the company has generated approximately 80 drill holes and 11,500 metres of partner-financed drilling.

We seek Safe Harbor.