ICN Resources Ltd.
TSX VENTURE : ICN

ICN Resources Ltd.

August 24, 2011 14:12 ET

ICN Executes Agreement with Paramount for Dunes Claims

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 24, 2011) - ICN Resources Ltd. ("ICN" or the "Company") (TSX VENTURE:ICN), is pleased to announce that it has entered into a Sale and Purchase Agreement (the "Agreement") with Paramount Gold and Silver Corp. (TSX:PZG)(NYSE:PZG)(FRANKFURT:WKN:A0HGKQ) ("Paramount") - (see Paramount News Release of August 23, 2011). The Agreement covers ICN's Dunes and North Dunes Projects which are strategically located between Paramount's Sleeper Gold Project to the north and lie adjacent to Newmont's Sandman Deposit, 11 miles south of the Sleeper Mine. The 606 Claims subject to the Agreement (the "Claims") cover a total of approximately 12,000 acres (4,900 hectares) and are located in northwestern Nevada, approximately 30 km northwest of Winnemucca. A link to a claim map is given in Paramount's News Release.

A 100% interest in the Claims is being purchased from ICN in exchange for 400,000 common shares in the capital of Paramount (the shares are subject to a four month plus one day hold period). ICN retains a net smelter royalty ("NSR") of 1.5% on the Claims not subject to other royalties (248 in total) and a net smelter royalty of 0.5% on the remaining claims which were already subject to an underlying 2.0% royalty to a third party. Paramount has the option to purchase 0.5% of either or both NSRs for a cash payment of $500,000 each. Closing of this transaction is subject to regulatory approval and a 15 day due diligence period.

Carl Hering, President and CEO of ICN commented that "This is a mutually beneficial transaction for both parties as Paramount can aggressively explore the covered Claims (thus the name "Dunes"), and ICN will benefit from any success here and at the Sleeper Project by virtue of its significant Paramount share position. ICN will continue to explore its other recently acquired properties in the overall Sleeper-Sandman district (see ICN News Releases of May 12 and June 28, 2011). This transaction could allow further funds to be directed towards ICN's principle project, Goldfield Bonanza (see ICN's last News Release of Aug 15, 2011), and is essentially a "non-dilutive financing".

In addition to continually evaluating new opportunities, ICN is primarily focused on their Goldfield Bonanza and Rockland Projects, while Pacific Rim has initiated exploration under the newly formed Joint Venture at Hog Ranch. ICN plans to start a Phase II drill program at Goldfield Bonanza by mid-September. The current plan is to drill an additional 20,000 feet (6,000 metres) before the end of November, and then mobilize a core rig to follow-up in specific areas. This Phase II RC program will focus on: 1) offset drilling of the newly discovered and high grade Church Zone; 2) further testing of the other identified high grade mineralized areas including the Decline, Red Hills and Newmont targets; and 3) continue exploration drilling in the northern portion of the patented claims along with completing the initial testing of the geophysical targets identified on the Property.

About ICN Resources

ICN is primarily focused on exploration for volcanic-hosted precious metal deposits in western Nevada, emphasizing targets with geological similarities to Sleeper, Sandman, Hollister, Midas and Aurora. ICN plans to explore the feeder zones associated with large low-grade gold and silver systems, as well as explore for high grade deposits at the new Goldfield Bonanza Project located in western Nevada. ICN continues to evaluate opportunities in established metallogenic belts elsewhere in the United States. The ICN management and geological team have extensive experience in Nevada and worldwide, utilizing this experience to generate prime opportunities for ICN shareholders.

On Behalf of the Board of Directors of ICN Resources Ltd.,

Carl Hering, President & CEO

ICN Resources Ltd.

www.icnresources.com

The forward-looking information contained in this press release is made as of the date of this press release and, except as required by applicable law, ICN does not undertake any obligation to update publicly or to revise any of the included forward-looking information, whether as a result of new information, future events or otherwise. By its very nature, such forward-looking information requires ICN to make assumptions that may not materialize or that may not be accurate. This forward-looking information is subject to known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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