Exall Resources Limited
TSX : EXL
OTC Bulletin Board : EXALF

Exall Resources Limited

December 05, 2006 12:05 ET

Shareholders Approve Exall-Southern Star Merger

TORONTO, ONTARIO--(CCNMatthews - Dec. 5, 2006) - Exall Resources Limited (TSX:EXL) (OTCBB:EXALF) ("Exall") and Southern Star Resources Inc. (TSX:SSR) ("Southern Star"), are pleased to announce that further to the merger announced on September 28, 2006 (the "Merger"), the companies each held a special meeting of their respective shareholders in Toronto on December 4, 2006, where all of the resolutions brought forward were approved. Included in these resolutions were resolutions by the shareholders of each of the two companies authorizing and approving the Merger to form Gold Eagle Mines Ltd.

The Toronto Stock Exchange ("TSX") has conditionally approved the Merger subject to the filing by each of Exall and Southern Star of certain documents with the TSX in connection with the Merger. Exall and Southern Star expect to announce the record date for implementing the Merger in the next few weeks and for the shares of the combined companies to trade on the TSX as Gold Eagle Mines Ltd., stock symbol "GEA", prior to year end.

Further details on the Merger are contained in the joint information circular of Exall and Southern Star dated October 31, 2006, which is available on SEDAR.

Exall Resources Limited is a Toronto Stock Exchange listed company that trades under the symbol EXL.

Southern Star Resources Inc. is a Toronto Stock Exchange listed company that trades under the symbol SSR.

Cautionary Statements

This news release contains forward-looking statements regarding the proposed Merger of Exall and Southern Star. Actual results and developments may
differ materially from those contemplated by these statements depending on, among others, the risks that Southern Star and Exall will not be able to obtain the required approvals or clearances from regulatory or other agencies and bodies on a timely basis. The forward-looking statements included in this release represent Southern Star's and Exall's views as of the date of this release. While Southern Star and Exall anticipate that subsequent events and developments may cause their views to change, Southern Star and Exall specifically disclaim any obligation to update these forward-looking statements. These forward-looking statements should not be relied up as representing the views of Southern Star and Exall as of any date subsequent to the date of this release.

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