Trelawney Mining and Exploration Inc.
TSX VENTURE : TRR
FRANKFURT : RTW

Trelawney Mining and Exploration Inc.

November 23, 2011 10:49 ET

Trelawney Completes Exercise of Its Options on the Chester Properties and Appoints New Director to the Board

TORONTO, ONTARIO--(Marketwire - Nov. 23, 2011) - Trelawney Mining and Exploration Inc. (the "Company" or "Trelawney") (TSX VENTURE:TRR)(FANKFURT:RTW) is pleased to announce that it has completed the exercise of its options on the Chester Property. Under the terms of an amending agreement dated November 22, 2011, between the Company and Treelawn Investment Corp. ("Treelawn"), the Company has accelerated the terms of the mining option agreement (the "Chester 1 Option Agreement") dated August 11, 2009, and has earned 70% of Treelawn's interest in the Chester 1 Property, which is comprised of 2 mining leases covering approximately 152 hectares. Treelawn received a final payment of $2,500,000 and 3,000,000 common shares of the Company, representing the outstanding consideration payable under the Chester 1 Option Agreement. In consideration of waiving certain commercial production requirements under the Chester 1 Option Agreement, Treelawn's residual 30% working interest in the Chester 1 Property has been converted into a 30% free carried net profits interest.

The Company has also earned a 92.5% interest in the Chester 3 Property, which is comprised of 1 mining lease, 20 patented claims and 29 unpatented mining claims covering approximately 890 hectares and contains the Côté Lake Deposit. Under the terms of an amending agreement dated November 22, 2011, between the Company and Treelawn Group Inc. ("Treelawn Group"), the Company accelerated the terms of the mining option agreement (the "Chester 3 Option Agreement") dated December 21, 2009, and has earned 92.5% of Treelawn Group's interest in the Chester 3 Property. Treelawn Group received a final payment of $90,000 and 8,000,000 common shares of the Company, representing the outstanding consideration payable under the Chester 3 Option Agreement. In consideration of accelerating the exercise of the Chester 3 Option Agreement Treelawn's residual 7.5% working interest in the Chester 3 Property has been converted into a 7.5% free carried interest.

The Company anticipates that documentation effecting the transfer of the interests in the Chester 1 and Chester 3 Properties to Trelawney will be filed shortly.

Trelawney is also pleased to announce the appointment of Mr. Tim Peterson to the Board of Directors of the Company. Mr. Peterson has been a director of Augen Gold Corp., a recently acquired wholly-owned subsidiary of Trelawney, since March 2009 and Chairman of Augen Gold Corp. since September 2010. From 2003 to 2007, Mr. Peterson served as a Member of the Provincial Parliament of Ontario of Mississauga South. Mr. Peterson has had extensive experience in the mining industry in Northern Ontario acting as President and then Chairman of Nordex Explosives Ltd, a TSX listed company that manufactures explosives for the mining and road building industries. Mr. Peterson has served as an officer and director of several public and not-for-profit companies.

Trelawney is a Canadian junior mining and exploration company with a focus on Archean gold deposits. The Company's current focus is directed towards the continued exploration and development of the Côté Lake Deposit, located in Chester Township, 20 kilometres southwest of Gogama, Ontario.

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and, therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

Neither the 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.

Contact Information