Pele Mountain Resources Inc.

Pele Mountain Resources Inc.

March 15, 2005 13:23 ET

Pele Mountain Acquires New Properties at Highland Gold


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: PELE MOUNTAIN RESOURCES INC.

TSX VENTURE SYMBOL: GEM

MARCH 15, 2005 - 13:23 ET

Pele Mountain Acquires New Properties at Highland Gold

TORONTO, ONTARIO--(CCNMatthews - March 15, 2005) - Pele Mountain
Resources (TSX VENTURE:GEM) ("Pele" or the "Company") announced today
that its wholly-owned subsidiary, Pele Gold Corporation ("Pele Gold"),
has expanded its 100-percent owned Highland Gold Project in northern
Ontario, adding 10 new claim groups that include several historic gold
occurrences along the Goudreau-Localsh Deformation Zone ("GLDZ"). For an
updated map of the Highland project area, please visit the Pele website
at http://www.pelemountain.com/projects/highland/highland_map.htm.

The Highland Gold Project now covers more than 35 square-kilometres
along the GLDZ, host to several past producing gold mines on nearby
properties. Local infrastructure available to support exploration and
mining operations is excellent with road access and power lines on the
property along with milling facilities available at Hemlo and at
Patricia Mining's neighboring Island Gold Project. Richmont Mines has
exercised its option to acquire a controlling interest in Island Gold
from Patricia as the two companies advance the project toward renewed
production.

Pele President and CEO Al Shefsky commented, "The progress of Richmont
and Patricia at Island Gold, along with significant local exploration
activity by Pele Gold and others, leads us to believe that the
Goudreau-Localsh area is emerging as an important northern Ontario gold
camp. In recognition of these developments, as well as the current
strength in the gold market, we will aggressively pursue exploration and
expansion at Highland in the coming year."

Most of the newly-acquired Highland claims are southwest of the Island
Gold Project and cover several known gold occurrences. According to the
Ministry of Northern Development and Mines, prospecting and surface
sampling on several of these claims has confirmed the presence of
visible native gold. Three of the new claim units are located within the
Island Gold boundaries, with one of the units just 30 metres from the
historic Michael Shaft, where visible gold has also been reported. There
are now at least 16 known gold occurrences on Pele Gold's Highland
properties.

Previous drilling and bulk sampling at the original Highland claim
group, just east of the Edwards and Cline mines, has identified several
zones hosting significant gold mineralization including the Markes and
"A" zones, where bulk samples were successfully extracted in the
late-1990s. The recently discovered Macallan zone has confirmed the
presence of high-grade gold mineralization on the eastern Highland
claims as well.

Compilation of data from past exploration and bulk-sampling at Highland
is continuing through the winter months in advance of additional
prospecting, sampling, and drilling that will recommence following
spring breakup.

This press release has been reviewed and approved by Dr. Edward Walker,
P.Geo., an independent consultant and a Qualified Person.

Pele Mountain Resources is a Canadian mineral exploration company and a
leader in the search for economic diamond and gold deposits in northern
Ontario. Pele is actively exploring on four project fronts, including a
Goldcorp-funded program at the Festival Diamond Project, Trigon-funded
diamond programs in the James Bay Lowlands, and in-house gold
exploration programs at the Ardeen and Highland projects. Pele trades on
the TSX Venture Exchange under the symbol "GEM".

The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. Some of the
statements contained in this release are forward-looking statements,
such as estimates and statements that describe Pele's future plans,
objectives or goals, including words to the effect that Pele 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 such statements. None of the Company's properties have
any known ore body of economic or commercial value.

Common Shares Outstanding: 46,504,237

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Pele Mountain Resources Inc.
    Al Shefsky
    President
    (416) 368-7224
    www.pelemountain.com