Clifton Star Resources Inc.

Clifton Star Resources Inc.

June 29, 2009 07:30 ET

Clifton Star Resources, Inc. and Optionors Agree to Amend Property Agreements for the Beattie-Donchester-Dumico Gold Property in Duparquet, Quebec

- C$8.5 million payment extended from July 1 to Dec 1, 2009 - Optionors signal willingness to consider amending remaining payments

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 29, 2009) - Clifton Star Resources, Inc. (TSX VENTURE:CFO)(FRANKFURT:C3T) is pleased to announce that the property owners (the Optionors) have agreed to the following material changes to the property agreements governing Clifton Star's right to earn an undivided 100% interest in the Beattie-Donchester-Dumico gold property (the Property) in Duparquet Township, Quebec.

Firstly, Clifton Star and the Optionors have agreed to extend the date of the C$8.5 million property payment from July 1st to December 1st , 2009. Secondly, in recognition of the project's potential value and the fact that the terms of the existing agreements with Clifton Star have served as an impediment to the development of the Property, the Optionors are willing to consider amendments to the property agreements which would (a) delay the payment dates further, and (b) potentially link future payments to the occurrence of certain milestones in the development of the property. It is the Optionor's intent to recast the property payments in more "investor-friendly" terms so as to expedite financings and ultimately develop the properties into production.

The original agreements between Clifton Star and the Opionors are dated May 6, 2008 and later amended on July 22, 2008. These agreements, among other things defined a series of projected payments with $8.5 million due of July 1, 2009, a final payment of $40 million due July 1, 2010 plus an additional bonus payment based on a finding of 4M oz Au as a result of a feasibility study. See SEDAR filings dated May 6, 2008 and October 22, 2008. The final payments are now subject to revision.

Mr. Harry Miller, President/CEO of Clifton Star comments as follows:

"We are pleased to work with the Optionors to forge a "win-win" situation for the exploration and development of our large flagship project. The deferment of the July 1st payment to December 1st allows Clifton Star greater flexibility to finance this commitment. More importantly, the willingness of the Optionors to consider further amendments which would recast or link the payments to project milestones and/or production would significantly improve Clifton Star's ability to finance its development. Their consideration to forego short-term gains in return for potentially long-term benefits is a testimony to their unwavering belief in the ultimate gold potential of the Beattie et al. We look forward to crafting new amendments to our agreements in the upcoming weeks that will benefit all the stakeholders in the project."

About Clifton Star Resources, Inc.:

Clifton Star is a junior explorer and developer of the Duquesne gold property which it owns and is the optionee of the Beattie-Donchester-Dumico properties in which it has the ability to gain a 100% undivided interest. These properties have produced over one million one hundred ounces of gold from the 1930's until the 1950's. The Duquesne last saw production in 1995. It also has an option on the Central Duparquet which abuts the Donchester as well as base metal properties in Quebec and Manitoba. Through these Properties Clifton Star controls a total of 8.4 km of strike length along the prolific Porcupine/Destor deformation zone which extends from Timmins, Ontario to Val D'or, Quebec. The Company also is evaluating historical tailings containing recoverable gold at the Beattie-Donchester complex, as a source of near-term revenues.

On behalf of the board,

Harry Miller, President

Also certain statements in this News Release are forward-looking statements that contain certain risks and uncertainties including statements regarding the future plans and objectives of Clifton Star.

The TSX Venture Exchange does not assume any responsibility for the adequacy or accuracy of this press release.

Contact Information