Highland Resources Inc.

Highland Resources Inc.

October 12, 2012 09:39 ET

Highland Announces Results of Shareholders Meeting and Changes to Senior Management

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 12, 2012) - Highland Resources Inc. (TSX VENTURE:HI) ("Highland" or the "Company") is pleased to announce that James Crombie, Robert Eadie, David Fennell, Adrian Fleming, John L. Johnston, Allen Winters and Jo Mark Zurel were elected to the Company's board of directors at the annual general and special meeting of shareholders held on October 11, 2012. Robert Eadie noted that the newly elected directors add strength to the Board in mining and finance. They are bringing extensive experience and we look forward to their collaboration and contribution.

After having practiced corporate and resource law, David Fennell became a mining entrepreneur in 1984 when he founded Golden Star Resources Ltd. Since 1999, he has been involved with a number of other successful mining exploration companies. James Crombie, a mining engineer, has over 30 years' experience in the mining industry, first in operations in South Africa and Angola, and then as a mining analyst and investment banker in Europe and Canada. Adrian Fleming has 35 years of diversified experience in the mining industry as an executive and geologist. John L. Johnson has over four decades of diverse experience in the investment industry, with a special focus on investment research in the natural resource sectors. He founded and is a managing director of his own investment management firm, NFJ Investment Group, now owned by Allianz Global Investors. Allen Winters, a mining engineer, has spent more than 40 years in the mining industry, including over 20 years in a variety of senior executive management positions with Homestake Mining Co. Jo Mark Zurel, a chartered accountant, is president of a private investment company. Formerly, he was senior vice-president and CFO of CHC Helicopter, one of the world's largest helicopter operating companies. Mr. Zurel will be the Chair of the Audit Committee of the Company's Board. More information about the directors will be available on the Company's website.

Gary Arca, Ken Sumanik and Frederick Graybeal did not stand for re-election. The Board would like to thank them for their valuable contributions. Dr. Graybeal will continue to play an important role by providing technical advice in advancing the Keweenaw copper project.

Following the shareholders' meeting, the Board has appointed David Fennell as executive chairman and James Crombie as vice chairman, and interim president and CEO. Robert Eadie, the former president and CEO, will continue to provide services to the Company as director and consultant. Ross Grunwald, the Company's current vice president exploration, Alain Krushnisky, the chief financial officer, and Carole Plante, the corporate secretary, will continue to act in their respective office.

Shareholders approved all of the resolutions that they were asked to consider at the annual general and special meeting, including the appointment of KPMG as auditors, the approval of the stock option plan and the proposed five (5) for one (1) consolidation of the Company's share capital. The shareholders of the Company who voted at the meeting voted over 99% in favour of all of the above resolutions. Subject to approval of the TSX Venture Exchange, the Company intends to effect the share consolidation and change its name to Highland Copper Company Inc.

About Highland and the Keweenaw Copper Project

Highland is a Canadian exploration company focused on exploring and developing copper projects on the Keweenaw Peninsula within the Upper Peninsula of Michigan, U.S.A. through its 100%-held subsidiary, Keweenaw Copper Co. The Keweenaw Copper Project covers about 13,000 acres of mineral rights and is being explored under a Mining Venture Agreement between Highland and BRP LLC. The agreement allows Highland to earn a 65 percent interest by spending US$11.5 million on the project, providing a feasibility study by October 26, 2015 and additional consideration in cash and shares of the Company. A 20,000-meter drilling program was started in July 2012 and is expected to be completed by the end of October. The 2012 drill holes are within an area of 101 historic diamond drill holes called the 543S sulphide deposit, a zone of chalcocite mineralization that was explored from 1973-1977 and briefly in the mid-nineties. The 543S deposit contains a historic resource estimate. For additional information, please refer to the Technical Report by Behre Dolbear & Company, Ltd. titled "Centennial and Kingston Native Copper, 543S, and Other Copper Sulfide Properties, Houghton and Keweenaw Counties, Michigan, USA'' dated September 29, 2011. The report is available on the Company's website and on SEDAR.

Highland is well funded having completed a $16.5 million private placement in May 2012. The common shares of Highland trade on the TSX Venture Exchange under the symbol 'HI'.

Additional information about the Company is available on the Company's website and on SEDAR.

Neither the 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 release.

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