Salmon River Resources Ltd.
TSX VENTURE : SAL

Salmon River Resources Ltd.

December 14, 2011 13:56 ET

Salmon River Closes Initial Tranche of Private Placement Raising C$1,440,000

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 14, 2011) - Salmon River Resources Ltd. (TSX VENTURE:SAL) ("Salmon River" or the "Company") is pleased to announce the closing of an initial tranche of the previously announced non-brokered private placement (see news release of 04 and 10 November 2011) issuing a total of 4,800,006 common shares ("Shares") at a price of C$0.30 per Share to raise a total of C$1,440,000. The Company anticipates closing on additional funds up to the previously announced C$2.1 million maximum issue size. In connection with the Private Placement, Salmon River will pay finders' fees of cash commissions in an amount equal to 8% of the proceeds from the sale of the common shares to subscribers and options to acquire that number of common shares equal to 8% of the number of common shares sold to subscribers. Such options will be exercisable for 18 months following their date of issue.

All shares issued pursuant to this placement are subject to a four-month hold period expiring on April 14, 2012 in accordance with the policies of the TSX Venture Exchange and applicable securities legislation. The net proceeds of the non-brokered private placement will be used primarily for legal and other expenses expected to be incurred in connection with the Investment Framework Agreement and the Treppo Grande Option.

About Salmon River Resources Limited (TSX VENTURE:SAL)

Salmon River Resources Limited is a mineral exploration company engaged in the exploration for and development of commercial deposits of iron ore in Western Australia. It holds an exclusive option to acquire the Mt. Manning project located in the Yilgarn region of Western Australia, approximately 210 kilometres northwest of Kalgoorlie. Salmon River believes the project has the potential to be a world-class iron ore deposit with early development potential. The shares of Salmon River are listed on the TSX Venture Exchange under the symbol "SAL". For further information see our website at www.salmonriverresources.com.

On behalf of the Board of Directors of SALMON RIVER RESOURCES LTD.

J.G. Stewart, President

Forward-Looking Statements: This press release contains forward-looking statements that are based on the beliefs of management and reflect Salmon River's current expectations. By their nature, forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, investors should not place undue reliance on forward-looking information. Forward-looking information is provided as of the date of this press release, and the Company assumes no obligation to update or revise them to reflect new events or circumstances, except as required in accordance with applicable laws.

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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