Confederation Minerals Ltd.

Confederation Minerals Ltd.

November 23, 2010 10:34 ET

Confederation Minerals Options Holbrook Potash Project to Passport Potash Inc.; Future Focus on Utah Potash and Red Lake Gold Exploration

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 23, 2010) - Confederation Minerals Ltd. (TSX VENTURE:CFM) ( announces it has signed a Mineral Property Option Agreement with Passport Potash Inc. Passport's agreement is with Confederation and Magna Resources Ltd. both of which own 50% of American Potash LLC, and with Sweetwater River Resources LLC. The agreement gives Passport the right to acquire a 100% interest in five Arizona State Land Department exploration permits covering 3,200 acres in the Holbrook Basin, Arizona. To earn their 100% interest, Passport must issue 500,000 shares by December 15, 2010, pay CDN $90,000 in three instalments of $30,000 each at 12, 18, and 24 months from the date of signing the agreement, and by meeting the exploration expenditures as required by the Arizona State Land Department. Passport will be subject to a 2% NSR royalty payable to American Potash with the right to purchase the royalty for US $150,000 per percentage point in favour of American Potash.

Confederation's Board of Directors has made the strategic decision to focus exploration efforts and expenditures on American Potash LLC's large potash landholdings in the Paradox Basin in Utah, and their recently-acquired Red Lake area gold prospect, the Newman Todd prospect, optioned from Redstar Gold Corp. (see CFM press release dated November 22, 2010).

The Utah prospects of American Potash consist of 31 US-BLM potash exploration permit applications as well as State Land holdings together covering approximately 63,000 acres approximately 48 km west of Moab, Utah and 32 km from Intrepid Resource's Cane Creek solution potash mine. When granted, the exploration permits will provide American Potash with exclusive rights to explore potash deposits within the permit areas. The most important documented potash salt cycle beneath the Utah prospects is Cycle 13. Based on historic oil and gas exploration data, United States Geological Survey reports written by R.J.Hite in 1976 and 1978 (the Hite reports) plotted a large area of cycle 13 with up to and exceeding approximately 18 meter estimated thickness, representing amongst the thickest, laterally continuous, potentially potash-bearing layer in the Paradox Basin. This area is largely covered by American Potash permit applications. The target identified in the Hite report is based on historic oil and gas drilling.

Confederation's immediate exploration target is the recently-optioned Newman Todd gold prospect, located in the Red Lake Mining Area. There, an aggressive drill program is planned for early 2011.The Company is planning a capital raise to fund the drilling during the coming weeks.

This announcement has been prepared by Lawrence A. Dick, Ph.D., P.Geo., the President of Confederation Minerals Ltd. and a Qualified person the purposes of Ni 43-101.

On behalf of the Board of Confederation Minerals Ltd.

Lawrence A. Dick, Ph.D., P.Geo, President and CEO

Forward-Looking Information

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Redstar Gold Corporation (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

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