SOURCE: Golden Phoenix Minerals, Inc.

Golden Phoenix Minerals, Inc.

April 12, 2011 15:21 ET

Golden Phoenix Joint Venture Partner Scorpio Gold Announces Exploration Drilling Has Expanded Mineralization From Open Pit Areas at the Mineral Ridge Gold Deposit in Nevada

SPARKS, NV--(Marketwire - Apr 12, 2011) - Golden Phoenix Minerals, Inc. (the "Company") (OTCBB: GPXM) joint venture partner Scorpio Gold announces initial drill results from 2011 reverse circulation (RC) exploration and definition drilling in the Drinkwater, Mary North and Mary LC areas of the Mineral Ridge gold deposit, Nevada, in which the Company maintains a thirty percent (30%) interest via its membership interest in Mineral Ridge Gold, LLC, the joint venture entity that owns and operates the Mineral Ridge property with Scorpio Gold.

Peter J. Hawley, President & CEO of Scorpio Gold, reports, "The initial 2011 exploration drilling has been successful in expanding the known mineralization beyond the existing open pit areas. For example, results to date for the Mary North area report mineralization extending to over 300 metres beyond the existing pit wall. These results demonstrate the widespread nature of mineralization that hosts the Mineral Ridge deposit, and the opportunity for Scorpio Gold to significantly expand the mineral resource base. Scorpio Gold will continue to release results as they are received and compiled."

"We are pleased with the continued progress of Scorpio Gold's drilling program," stated Tom Klein, CEO of Golden Phoenix. "Golden Phoenix remains on track to add additional drill results to the overall district from its Vanderbilt Silver Project and Coyote Fault Gold Project in the second half of 2011."

Results presented in Tables 1-4 are part of the Phase I drilling that is designed to expand and upgrade the existing mineral resource estimate in the vicinity of the existing pits scheduled for mining this year (see Golden Phoenix's February 3, 2011 news release). Condemnation drilling is also underway to verify sterile areas for future site facilities.

Table 1. Mary LC Area - Exploration RC Drill Results

Drill HoleLocationFrom
(m)
To
(m)
Width
(m)
Gold
(g/t)
MR-11-09126 metres northwest of Mary LC Pit24.3933.549.151.52
MR-11-09723 metres northwest of Mary LC Pit16.7718.291.520.34
MR-11-09861 metres northwest of Mary LC Pit30.4933.543.050.57
53.3554.881.520.51
56.4057.931.520.31
60.9865.554.570.59
MR-11-09975 metres northwest of Mary LC Pit28.9630.491.521.64
33.5457.9324.390.57
Including33.5444.2110.670.67
Including33.5441.167.620.85
Including44.2157.9313.720.66
Including50.3053.353.050.57
MR-11-100Condemnation DrillingNil

Table 2. Mary North Area - Exploration RC Drill Results

Drill HoleLocationFrom
(m)
To
(m)
Width
(m)
Gold
(g/t)
MR-11-10110.5 metres northwest corner of Mary North Pit4.5718.2913.721.69
Including4.5713.729.152.28
MR-11-104Condemnation DrillingNil
MR-11-10591.5 metres northeast of Mary North Pit57.9359.451.520.37
73.1780.797.620.51
MR-11-10684 metres northeast of Mary North Pit118.90125.006.100.94
MR-11-10784 metres northeast of Mary North Pit187.50189.021.520.85
MR-11-10876 metres northeast of Mary North Pit106.71109.763.050.48
MR-11-109122 metres northeast of Mary North Pit62.5064.021.520.34
105.18117.3812.200.92
Including108.23117.389.151.17
MR-11-110274 metres east of Mary North Pit0.003.053.050.43
121.95126.524.571.11
MR-11-111290 metres east of Mary North Pit0.003.053.050.79
19.8222.873.050.60
MR-11-112274 metres east of Mary North Pit80.7982.321.520.45
85.3789.944.570.28
MR-11-113305 metres east of Mary North Pit64.0270.126.101.07
MR-11-114Results Pending

Table 3. Drinkwater Area - Exploration RC Drill Results

Drill HoleLocationFrom
(m)
To
(m)
Width
(m)
Gold
(g/t)
MR-11-11530.5 metres east of Drinkwater Pit0.001.521.520.60
9.1513.724.570.45
MR-11-11630.5 metres northeast of Drinkwater Pit16.7719.833.050.77
22.8724.391.520.54
MR-11-11730.5 metres east of Drinkwater Pit56.4065.559.150.74

Table 4. Drinkwater Pit - Definition RC Drill Results

Drill HoleLocationFrom
(m)
To
(m)
Width
(m)
Gold
(g/t)
MR-11-118East boundary of Drinkwater Pit36.5938.111.525.53
42.6857.9315.241.81
59.4562.503.051.23
64.0265.551.520.28
MR-11-119Results Pending
MR-11-120Southeast corner of Drinkwater Pit30.4936.596.103.57
47.2651.834.571.79
MR-11-121Lower southeast corner of Drinkwater Pit9.1512.203.050.40
30.4942.6812.203.03

All RC holes presented in the above tables were drilled at 90º vertical dip; true width is estimated at ~90% downhole width. Analytical results were performed by American Assay Laboratory Inc. (AAL) in Sparks, Nevada, USA. AAL does not have ISO/IEC 17025 accreditation but implements a quality management system following ISO/IEC 17025 standards and maintains a paperwork trail for ISO/IEC 17025 accreditation. AAL participates in a number of testing and certification programs, details of which are presented in Scorpio Gold's quality assurance and quality control (QA/QC) program for the Mineral Ridge project at: www.scorpiogold.com/Documents/QAQC-MR.pdf. External check assays to verify lab accuracy are routinely completed by ALS Chemex, an ISO 9001:2000 certified and ISO/IEC 17025:2005 accredited laboratory.

Mr. Peter J. Hawley, PGeo, is Scorpio Gold's Qualified Person and CEO for the various Scorpio Gold projects. Mr. Hawley is responsible for the current exploration and development program at Mineral Ridge.

Scorpio Gold reports its results under Canadian mining and TSX Venture Exchange guidelines, which report mineral reserve and resource estimates differently than in the U.S., and may not meet the standards of "proven" and "probable" reserves set forth in SEC Industry Guide 7.

Please visit the Golden Phoenix website at: www.golden-phoenix.com.

Golden Phoenix Minerals, Inc. is a Nevada-based mining company whose focus is Royalty Mining in the Americas. Golden Phoenix is committed to delivering shareholder value by identifying, acquiring, developing and mining superior precious and strategic metal deposits throughout North, Central and South America using competitive business practices balanced by principles of ethical stewardship. Golden Phoenix is a 30% joint venture partner with Scorpio Gold on the Mineral Ridge gold and silver property near Silver Peak, Nevada, and owns the Adams Mine and Duff Claim Block near Denio, Nevada, and the Northern Champion molybdenum mine in Ontario, Canada. Golden Phoenix has an option to earn an 80% interest in the Vanderbilt Silver and Gold Project, and the Coyote Fault Gold and Silver Project, both of which are adjacent to the Mineral Ridge gold and silver property near Silver Peak, Nevada. Golden Phoenix has entered into a Memorandum of Understanding to acquire an 80% interest in five gold and molybdenum properties in Peru; two on the Pataz Gold Trend in the north and three in the Porvenir area in the south. Golden Phoenix has entered into a Definitive Acquisition Agreement to acquire a 100% interest in four gold and base metal properties in the Shining Tree Mining District in Ontario, Canada.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: The statements by officers of the Company, and other statements regarding optimism related to the business, expanding exploration and development activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates and projections about the Company's business. Words such as expects, anticipates, intends, plans, believes, sees, estimates and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many factors including continued market prices for the Company's mineral products. In addition, actual results could vary materially based on changes or slower growth in the gold and base and precious metals markets; the potential inability to realize expected benefits and synergies in the Company's mining operations; domestic and international business and economic conditions; changes in the mining industry for base and precious minerals; unexpected difficulties in restarting or expanding production at the Company's mines; the need for additional capital and other risk factors listed from time to time in the Company's Securities and Exchange Commission (SEC) filings under "risk factors" and elsewhere. The forward-looking statements contained in this press release speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

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