Mr. Errol Farr reports

LOYALIST EXPLORATION ANNOUNCES AND GRANT OF RSU'S AND STOCK OPTIONS

Loyalist Exploration Ltd. has issued a total of 4.5 million restricted share units (the RSUs) and 3.5 million stock options to certain officers and directors and advisers of the company in accordance with the company's long term incentive plan (LTIP). Each RSU entitles the holder to acquire one common share on vesting. The RSUs will vest fully on the one-year anniversary of the grant date. Each option entitles the holder to acquire one common share at an exercise price of five cents for a period of five years. The options vest one-fourth on the grant date, one-fourth six, 12 and 24 months following grant date.

Errol Farr, president and chief executive officer of Loyalist, commented, "These LTIP awards are issued to incentivize new 'hires' and certain long-standing service providers to the future performance of Loyalist."

About Loyalist Exploration Ltd.

Loyalist is a Canadian mineral exploration and development company focused on creating long-term shareholder value through the advancement of high-quality mineral projects in Timmins, Ont.

The company's flagship 100-per-cent-owned Tully gold project, located in the prolific Timmins gold camp of Northeastern Ontario, is a growing underground gold project with significant exploration upside and excellent development potential. Supported by a high-confidence indicated and inferred mineral resource estimate, favourable infrastructure, and a modern geological model, Tully provides a strong platform for continued development and expansion.

Loyalist's strategy is to systematically advance the Tully gold project to production while growing the deposit and continuing to evaluate opportunities to expand its portfolio of high-quality mineral assets.

The company also looks forward to advancing exploration activities on its three other Timmins-based projects -- DeSantis, Gold Rush and Loveland.

The company is committed to maintaining the highest standards of technical excellence and responsible development throughout all stages of project advancement.

We seek Safe Harbor.