News Releases

 November 11, 2010
Balmoral Receives Final Acceptances, Closes Property Transactions; Common Shares to Begin Trading Friday, November 12, 2010

 • To Trade on the TSXV under the Symbol BAR
• Consolidates 40 Kilometres of Detour Lake Gold Trend
• Acquires right to a 100% interest in High-Grade Fenelon Gold Deposit
• Acquisitions include Two Projects with Historic Gold Resources

Vancouver, British Columbia -- Balmoral Resources Ltd. ("Balmoral" or the "Company") (TSXV:BAR) announced today that it has received final regulatory acceptances and that the Company's common shares will begin trading on the TSX Venture Exchange ("TSXV") as a Tier 1 issuer on Friday November 12, 2010 under the trading symbol "BAR".

The Company also announced that it has now completed the two transactions initially announced on September 7, 2010 (NR 10-05) and has acquired interests in five prospective gold projects located in the Abitibi Greenstone Belt of Quebec and the Hemlo Greenstone Belt in Ontario. These two greenstone belts have accounted for over 145 million ounces of historic gold production -- over seventy percent of total Canadian gold production.

"With receipt of final regulatory acceptances and the completion of the project acquisitions, Balmoral is now poised to launch aggressive drill focused exploration programs on the Fenelon, Martiniere and Detour East projects," said Darin Wagner, President and CEO of Balmoral. "Our initial goal will be to initiate a drill program at Fenelon and expand on the promising discoveries at Martiniere. We hope to be drilling at Fenelon within the next few weeks and to commence testing at Martiniere and Detour East in early 2011."

"The acquisition of shallowly or sparsely drilled gold deposits and district scale land positions in the Abitibi, followed by aggressive drill focused exploration, has led to a multitude of new discoveries and tremendous value creation for shareholders on multiple fronts including those of Lake Shore Gold, Osisko Mining, Detour Lake Gold, Kirkland Lake Mines, Queenston Mining and, of course, West Timmins Mining which was managed by substantially the same team as Balmoral, over the last five years. Application of the new exploration models which have emerged from these successes to the least explored of the major gold-bearing shear zone systems in the Abitibi is a tremendous opportunity for the Company and its shareholders."

The Projects

Under the terms outlined below, Balmoral has acquired from Vancouver, British Columbia based American Bonanza Gold Corp. ("Bonanza")(TSXV:BZA) the right to earn a 100% interest, subject only to a one-time payment of US $450,000 on commencement of commercial production, in four projects -- three in Quebec and one in Ontario - which are all gold focused and situated along productive goldbearing structures. In addition, the Company has entered into an option agreement with Rouyn- Noranda, Quebec based Radisson Mining Resources Inc. ("Radisson")(TSXV:RDS) to acquire up to a 60% interest in Radisson's interest in the Detour East (Massicotte) Project in Quebec, which extends east from the Quebec border for 20 kilometres along the Detour Lake Deformation Zone.

Fenelon, Quebec

The projects acquired from Bonanza include the high-grade Fenelon gold deposit located in central Quebec. The high grade gold-sulphide mineralization at Fenelon is hosted by a series of silicified shears zones cutting an ultramafic intrusion, a common host to gold mineralization throughout the Abitibi. The Fenelon deposit shares several similarities with portions of the Detour Lake deposit, which is also situated along the same Sunday/Detour Lake Deformation Zone. 95% of the historic drilling on the Fenelon deposit has been concentrated within 100 metres of surface, whereas a portion of the Detour Lake mine was exploited to a vertical depth of 2,000 metres. The Fenelon property extends along the Sunday/Detour Lake Deformation Zone for approximately 12 kilometres.

During 2004, previous project operators excavated a small open pit and accessed the Fenelon deposit via a ramp and two underground development levels at 15 and 35 metres vertical depth. An 8,300 tonne bulk sample collected from a small open pit atop the deposit was test milled at the Camflo mill in Malarctic and demonstrated gold recoveries ranging from 95 to 97% with a calculated head grade of 9.80 g/t gold.

The most recent drill program at Fenelon, completed in 2007, intersected a new zone of gold mineralization approximately 300 metres to the northwest of the deposit in a similar geological environment. This new discovery returned 6.20 g/t gold over 3.0 metres and is open in all directions. Initial drilling at Fenelon is anticipated to focus on verifying the reported drill information, tracking the gold mineralized system to depth and following up the anomalous gold intercepts elsewhere on the property.

N2 (Northway-Noyon) Property, Quebec

The N2 property is located along the Casa Berardi -- Douay Deformation Zone, and is situated immediately east and south of the Vezza gold deposit recently purchased by North American Palladium. The Vezza deposit hosts a NI 43-101 compliant measured and indicated resource of 1.52 mT grading 5.9 g/t gold (see April 20, 2010 press release of North American Palladium) and is accessible via a 741 metre, four level vertical exploration shaft which is located less than 500 metres from N2 Property.

The N2 property hosts six known zones of gold mineralization. Cyprus Canada Inc. ("Cyprus"), prior to the institution of NI 43-101 (1984), calculated a "geological resource" of 18.2 mT grading 1.48 g/t gold at a cut-off grade of 0.5 g/t (containing 778,000 ounces of gold) from broadly spaced drilling of five of the shallow gold zones on the N2 property. Drilling since the preparation of this resource estimate has supported the grade x thickness of the drill intercepts used in the calculations completed by Cyprus. However no recent, NI43-101 compliant resource estimate has been completed on the N2 Property. (Note that these resources are historic in nature and are not NI 43-101 compliant, having been prepared before the institution of NI 43-101. The Company is not treating these resources as a current resource under NI 43-101, and they are included here for completeness of disclosure only. Investors are further cautioned that a qualified person has not yet completed sufficient work to be able to verify the historical resources, and therefore they should not be relied upon. "Geological resources" are considered conceptual in nature and there is no guarantee that historic "geological resources" will be able to be converted into NI 43-101 compliant resource categories or demonstrate economic viability).

The gold bearing system on the N2 property is extensive, with known zones of gold mineralization localized along at least four separate, laterally extensive, geological horizons. Drilling has intersected gold mineralization to vertical depths of 310 metres and all zones remain open to depth. Lower grade gold "envelopes", ranging between 3 and 110 metres in width, locally surround cores of higher grade gold mineralization similar to that observed at the adjacent Vezza deposit and elsewhere along the Casa Berardi - Douay Deformation Zone.

Data compilation efforts for the Northway Project have commenced with a goal of identifying initial drill targets for testing in early 2011.

Martiniere Property, Quebec

The Martiniere Property is centered 22 kilometres west of the Fenelon property along the Sunday/Detour Lake Deformation Zone. The Ultramafic Zone on the Martiniere Property is hosted within a sheared ultramafic intrusion, a setting similar to both the Fenelon and Detour Lake gold deposits. Shallow drilling has traced this gold bearing structure for 800 metres along strike returning a number of high-grade gold intercepts, including 14.40 g/t gold over 4.20 metres, 5.9 g/t gold over 6.5 metres, 6.2 g/t gold over 4.1 metres and 12.4 g/t gold over 2.5 metres.

The Ultramafic Zone remains open in all directions and is a priority exploration target. The Company anticipates undertaking a drill program on the property commencing in early 2011. The bulk of the 24 square kilometre Martiniere Property remains to be explored.

Northshore Property, Ontario

The Northshore Property is located four kilometres south of the town of Schreiber in Ontario and approximately 70 kilometres west along the Trans-Canada Highway from the multi-million ounce Hemlo gold deposit in the Schreiber-Hemlo greenstone belt. Gold mineralization at Northshore is located in a series of sub-parallel shear zones which crosscut syenitic and quartz porphyry intrusions. Gold mineralization has been identified along several of these structures including the Afric Zone and former high-grade Northshore Gold Mine. In 1990 Noranda Inc., prior to the institution of NI 43-101, calculated a non-NI43-101 compliant, near surface "geological resource" for the Afric Zone of 2.0 mT grading 2.20 g/t gold (140,000 ounces) based on the completion of 20 drill holes. Subsequent drilling in the vicinity of the Afric Zone has confirmed the grade and thickness of the intercepts utilized in the Noranda calculation. However no recent NI 43-101 compliant resource estimate has been prepared for the property. Gold mineralization in the Afric Zone occurs over drill indicated widths of 17 to 111 metres and higher grade intercepts are common within a broader envelope of gold mineralization. (Note that these resources are historic in nature and not NI 43-101 compliant, having been prepared before the institution of NI 43-101. The Company is not treating these resources as a current resource under NI 43-101, and they are included here for completeness of disclosure only. Investors are further cautioned that that a qualified person has not yet completed sufficient work to be able to verify the historical resources, and therefore they should not be relied upon. "Geological resources" are considered conceptual in nature and there is no guarantee that historic "geological resources" will be able to be converted into NI 43-101 compliant resource categories or demonstrate economic viability).

The historic Northshore mine, located on the Northshore Property produced a small tonnage of very high-grade gold mineralization, averaging approximately 21.94 g/t gold, between 1935 and 1937 from a second shear system located approximately 500 metres north of the Afric Zone. This shear system has seen very little modern exploration and drill testing. Its location at or near a prominent syenite-volcanic contact is considered highly prospective for the development of additional gold mineralization.

Certain of the mineral claims on the Northshore Property have attached patented surface rights which have also been acquired as part of the transaction with Bonanza. An initial program of surface geological and alteration mapping will be conducted on the Northshore Property in the spring of 2011 with a goal of increasing the understanding of the geologic and structural relationships on the property in preparation for drill testing.

Detour East (Massicotte) Property

The Company has also acquired, by way of a separate transaction with Radisson, the right to acquire up to a 60% interest in Radisson's interest in the Detour East Property. The Detour East Property covers over 20 kilometres of the Sunday/Detour Lake and Lower Detour Lake Deformation Zones stretching east from the Quebec-Ontario border. The Detour East property is located immediately east of the Detour Lake Gold Project which hosts probable, measured and indicated in-pit mineral resources of 362.10 million tonnes grading 1.05 g/t gold, equating to over 12.24 million ounces of gold (Detour Gold Corporation's final short form prospectus dated July 12, 2010, available on SEDAR).

Previous exploration on the Detour East Property has been largely focused on a number of zones of gold mineralization which can be traced for 13 kilometres along the southern, Lower Detour Lake Deformation Zone. A detailed airborne survey of the property, completed in 2007 subsequent to completion of the vast majority of drilling on the property, provides a high degree of resolution of the structural and geologic features throughout the property. The Company will target gold mineralization in a variety of geological settings on the Detour East Property going forward. It is anticipated that initial work on the property will commence in early 2011.

The Company presently has sufficient funds to be able to carry out the initial phase of each of its proposed work programs.

The Transactions

Bonanza Agreement

Under the terms of the Purchase Agreement between the Company and Bonanza, the Company has acquired from Bonanza the rights to earn a 100% interest in the Fenelon, N2, Martiniere Properties and a 100% interest in the Northshore Property along with certain surface rights attached to the Northshore Property, the Fenelon exploration camp and materials and related exploration data. The acquisition of a 100% interest in the Fenelon, N2 and Martiniere Properties is subject only to a one-time payment of US $450,000 on commencement of commercial production. In consideration for the acquisition of Bonanza's Canadian exploration assets the Company made a cash payment of $3.7 million to Bonanza and issued to Bonanza 4.5 million common shares of the Company, which are subject to a standard four month hold period and to certain additional contractual resale restrictions.

Radisson Agreement

Under the terms of a an Option and Joint Venture Agreement (the "Radisson Agreement") between the Company and Radisson, the Company has acquired the option to acquire up to a 60% interest in Radisson's interest in the Detour East (Massicotte) Project.

Under the terms of the Radisson Agreement, the Company will have a first option to acquire a 51% interest in the Detour East Property by making staged cash payments totaling $150,000 by November 10, 2012, issuing to Radisson a total of 100,000 common shares by November 10, 2011 and undertaking a total of $1,800,000 in exploration expenditures on the property prior to November 10, 2013.

The Company also holds a second option, whereby the Company can, upon vesting of its first option rights, elect to acquire an additional 9% (for a total of 60%) interest in the property through the delivery to Radisson of a NI 43-101 compliant resource report demonstrating a total of 500,000 gold equivalent ounces in the measured and indicated resource categories on the property or by undertaking an additional $1,500,000 in exploration expenditures by the third anniversary of election to proceed with the second option.

Radisson currently holds a 100% interest in 537 claims comprising 96.8% of the total extent of the Detour East Property. In addition, Radisson holds a 60.6% joint venture interest in an additional 18 claims which comprise the remaining 3.2% of the total property package. The remaining 39.4% participating interest in these 18 claims is currently held by Encana Corporation.

The initial cash payment ($50,000) and share issuance (50,000 common shares) under the Radisson Agreement is due on or before November 19, 2010, and the Company intends to make this payment and issue the shares. The Company has also undertaken to complete a minimum $325,000 work program on the property within the first 12 months.

Both Bonanza and Radisson are arms length to the Company.

Qualified Person

Mr. Darin Wagner (P.Geo.), a qualified person as defined by NI 43-101, has reviewed the technical disclosure contained in this news release. Mr. Wagner has visited the majority of the properties and reviewed the technical documents from all of the projects. Mr. Wagner has approved the disclosure in this news release. Mr. Wagner is not independent of the Company as he is the President and CEO and holds common shares.

About Balmoral Resources Ltd. (

Balmoral Resources Ltd. is a newly formed Vancouver-based precious metal exploration and development company focused on district scale gold and silver opportunities in politically favourable jurisdictions in North America. With a philosophy of creating value through the drill bit and with a focus on proven productive precious metal belts, Balmoral is following an established formula with a goal of maximizing shareholder value through discovery.

On behalf of the board of directors of

"Darin Wagner"
President and CEO
[email protected]

For further information contact:
John Toporowski, Manager, Investor Relations
Balmoral Resources Ltd., Vancouver, B.C.
Tel: (604) 638-5815 / Toll Free: (877) 838-3664
E-mail: [email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable Canadian and US securities legislation. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the anticipated content, commencement and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, the potential for the confirmation of the historic resources at any of the Company's projects, the possibility that any resources which are identified will be "high grade", the possibility that any resource which is identified will extend to depth, the possibility that drill targets will be identified on any of the Company's properties, business and financing plans and business trends, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, the Company's inability to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company's most recent Management Discussion and Analysis filed with certain securities commissions in Canada, and other information released by the Company and filed with the appropriate regulatory agencies. All of the Company's Canadian public disclosure filings may be accessed via, and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties.

Cautionary Note Concerning Similar Mineral Property References

This news release contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine and which has not been verified by the Company or any Qualified Person on behalf of the Company. The Company advises US investors that the US Securities and Exchange Commission's mining guidelines strictly prohibit information of this type in documents filed with the SEC. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company's properties.

This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States.

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