Odyssey Resources Limited

Odyssey Resources Limited

October 25, 2010 08:30 ET

Odyssey Resources Enters Into Option Agreement

LONGUEUIL, QUEBEC--(Marketwire - Oct. 25, 2010) - Odyssey Resources Limited (TSX VENTURE:ODX) (the "Company" or "Odyssey") is pleased to report that the Company has entered into an option agreement dated October 22, 2010 (the "Option") with Bear Lake Gold Ltd. (TSXV: BLG) ("Bear Lake") and Newstrike Resources Ltd. (TSXV: NR) ("Newstrike") to acquire a 25% interest in an early stage gold project known as the Swansea property in Northeastern Ontario (the "Property") by spending $1.1 million on the Property.

Bear Lake and Newstrike respectively own an interest of 75% and 25% in the Property. Pursuant to the Option, Odyssey is entitled, subject to the terms and conditions of the Option, to acquire 18.75% from Bear Lake and 6.25% from Newstrike for a total of 25%.

The Property consists of 28 leased claims located in McVittie Township in Northeastern Ontario and covers a total of 417 hectares. The Property is located 1.5 km north of the town of Larder Lake and is easily accessible through a combination of paved and dirt roads.

The Swansea claims straddle the Larder-Cadillac break for some 3.6 km along strike. The break was the host of numerous gold deposits including the historic Kerr Addison mine (11 M gold ounces produced) located 11 km to the east. The Larder-Cadillac break is a wide corridor (up to 5 km) of steeply dipping and highly deformed Temiskaming sediments intercalated with ultramafic volcanic horizons. The deformation is strongest in the volcanic where strong silicification and carbonate alteration is present locally. Gold mineralization is generally associated with the strongly altered volcanic horizons.

The exercise of the Option and acquisition of the 25% interest in the Property by Odyssey is subject to Odyssey having expended aggregate expenditures of $1.1 million on the Property by March 31, 2010. Approval of the TSX Venture Exchange will be required before Odyssey can exercise the Option as a result of David Fennell and Alain Krushnisky being respectively Executive Chairman and Chief Financial Officer of Odyssey and Bear Lake. Carmelo Marrelli, a director of Odyssey, is also the Chief Financial Officer of Newstrike.

Pursuant to the Option, Bear Lake will be the operator of the exploration program on the Property and a drilling program should start in early November.

François Viens is the Qualified Person under NI 43-101 who has reviewed the technical disclosure with respect to the Swansea Property contained in this press release. François Viens is President and CEO of Bear Lake.

Odyssey also announces that it has notified Virginia Mining of its decision to terminate its option on the FCI property due to disappointing exploration results obtained. The Company continues to evaluate other mineral resource projects.

Forward Looking Information

This press release contains forward-looking information. In particular, this press release contains statements concerning the prospective acquisition of an interest in the Swansea Property, the commencement of an exploration program and the potential acquisition of other mineral projects. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Forward-looking information is subject to known and unknown risks and uncertainties, and depends on assumptions and other factors, all of which may cause actual results or events to differ materially from those anticipated in such forward-looking information. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligations to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

The exercise of the option and completion of the acquisition of the interest in the Property is subject to conditions, including TSXV acceptance. There can be no assurance that the transaction will be completed as proposed or at all.

For more information, please refer to Odyssey's website www.odysseyresources.com

"Neither 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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