Medallion Resources Provides Corporate Update

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 19, 2013) - Medallion Resources Ltd. (TSX VENTURE:MDL)(OTCQX:MLLOF) ("Medallion" or the "Company") is pleased to provide an update of recent Company developments.

In support of Medallion's strategy of locating its proposed large-scale, rare-earth-processing facility within the Middle Eastern Gulf States, the Company continues to negotiate financing and investment terms with a number of interested sovereign-related parties, who want to locate the facility at a suitable industrial site within their jurisdictions.

"While we're very pleased with the strong interest from various parties, we're disappointed that this step has taken longer than expected; however, we remain confident that an agreement can soon be achieved," said Dr Bill Bird, Medallion Chairman and CEO. "In the rare-earth business, developing a sound economic approach to production is difficult and time consuming. Those that are attempting to advance complex projects using untried technology, and the investing interests that follow them, are coming to realize just how difficult and time-consuming this can be. We, at Medallion, are convinced that our monazite-processing strategy, which relies upon commercially-proven technology to process readily available high-grade monazite, is the ultimate solution to the non-Chinese world's need for low-cost, low-risk supplies of rare-earth products."

Constructive discussions also continue with heavy-mineral-sands producers that have sufficient monazite resources to supply Medallion's targeted initial rare-earth-oxide production of 10,000 tonnes per annum. These discussions have advanced beyond the supply of monazite to include potential partnerships, or some other form of participation, in the processing of the monazite.

Medallion's planned production strategy is to exploit available supplies of monazite, a rare-earth phosphate mineral with a proven, metallurgical extraction process that has successfully produced commercial rare-earth products for over 100 years. Monazite is currently produced as a by-product of heavy-mineral-sands mines, which are large-scale titanium and zircon operations generally located in Australia, South Asia and Africa.

A rare-earth processing facility, located within the Gulf States, offers proximity to the majority of the world's monazite resources, access to world-class ports and industrial infrastructure, availability of low-cost chemicals, gas and power, and the support of industry-friendly jurisdictions. These critical success factors, combined with the region's proven capability to fund strategic industrial ventures, support the Company's initiative to locate its proposed rare-earth processing facility in this region.

About Medallion Resources Ltd.

Medallion is rethinking rare earths. Headed by Dr. Bill Bird and supported by an experienced technical team, the Company believes it is well positioned to identify and exploit the world's most promising rare-earth opportunities. Medallion's strategy is to target large deposits amenable to straightforward low-cost mining and metallurgical processes that lead to near-term, rare-earth production and long-term, low-cost supply. Rare earths are used in critical components for virtually all computing and mobile electronic products, as well as wind turbines, electric and hybrid vehicles and strategic defense systems. Medallion is committed to following best practices and accepted international standards in all aspects of mining, mineral processing and the safe management of waste materials. More about Medallion (TSX VENTURE:MDL)(OTCQX:MLLOF)(FRANKFURT:MRD) can be found at www.medallionresources.com.

Medallion management has prepared this news release and takes full responsibility for content. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe Medallion's future exploration, production and financing plans, objectives or goals, including words to the effect that Medallion or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in these statements. Such risks include expectations that may be raised by discussing potential business, acquisitions or development plans. Also, in order to proceed with Medallion's plans, additional funding will be necessary and, depending on market conditions, this funding may not be forthcoming on a schedule or on terms that facilitate Medallion's plans.