Columbia Yukon Provides Update On Northwest Transmission Line Project

WEST VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 1, 2011) - Columbia Yukon Explorations Inc. (the "Company" or "Columbia Yukon") (TSX VENTURE:CYU)(FRANKFURT:VOR) is very pleased to report that British Columbia Hydro and Power Authority ("BC Hydro") has received an environmental assessment certificate for the proposed Northwest Transmission Line project.

By Information Bulletin, issued by the British Columbia Ministry of Environment on February 23, 2011, it was announced that Environment Minister Murray Coell and Forests, Mines and Lands Minister Pat Bell made the decision to grant the environmental assessment certificate after considering the review led by B.C.'s Environmental Assessment Office ("EAO"). The proposed $404-million project includes a 287-kilovolt transmission line, 344-kilometres from the existing Skeena substation south of Terrace to a new substation near Bob Quinn Lake. The project would include new access roads, an upgrade to the existing Skeena substation and construction of the new Bob Quinn substation, which would incorporate 287-kilovolt line terminations and related equipment. The EAO assessment report concluded the project is not likely to have significant adverse effects, based on the mitigation measures and commitments included as conditions of the environmental assessment certificate.

"We believe that progress on the Northwest Transmission Line project will be very beneficial to the future development of the Company's Storie Property molybdenum deposit located near Cassiar, BC (via Hwy 37). The Northwest Transmission Line project approval is a significant milestone for Columbia Yukon and others within the region. The power transmission line project is expected to stimulate much needed development in British Columbia's Northwest region and will assist in the advancement of several significant mineral resource deposits," said Ronald Coombes, President and CEO of Columbia Yukon Explorations Inc.

The project also triggered an environmental assessment under the Canadian Environmental Assessment Act. Under the Canada-British Columbia Environmental Delegation Agreement, dated Nov. 6, 2010, the federal environmental assessment was delegated to the EAO pursuant to subsection 17(1) of the Canadian Environmental Assessment Act. The EAO prepared a joint assessment report/screening report for decision-makers. Based on this report, the EAO has concluded that effects from the project are not significant, subject to implementation of mitigation measures and commitments agreed to by the proponent. Before the project can proceed, the proponent will still need to obtain the necessary provincial licences, leases and other approvals. The Province was satisfied that the Crown's duties to consult and accommodate First Nations interest and the Nisga'a Nation's treaty interests have been discharged as they relate to the decision to grant the environmental assessment certificate.

About Columbia Yukon Explorations Inc.

Columbia Yukon is a Canadian mineral exploration company focused on the development of its Storie Property molybdenum deposit situated about 6 km southwest of Cassiar, British Columbia. The Storie Property molybdenum deposit has an April 2009 updated NI 43-101 compliant Measured and Indicated Resource of 139.82 million tonnes grading 0.064% Mo (at a cut-off of 0.030% Mo) and 58.39 million tonnes of Inferred Resource grading 0.059% Mo (at a cut-off of 0.030% Mo). Cassiar, British Columbia is located 15 km by road west of Highway 37 which connects to Watson Lake, Yukon, to the north and Dease Lake and Stewart, British Columbia, to the south.

A copy of the full release as issued by the British Columbia Ministry of Environment is available on the Company's website at www.columbiayukon.com. Also, for additional information on matters related to the Northwest Transmission Line project, please visit the Northwest Power Line Coalition's website at www.highway37.com.

Columbia Yukon Explorations Inc.

Ronald A. Coombes, President & CEO