Golden State Mining Limited provided an update on its exploration activities and new drill program now underway at the Four Mile Well project near Laverton, Western Australia. GSM has recently completed an orientation geochemical program on two traverses over an historic arsenic-bismuth +/- gold soil anomaly. The aim of the orientation program was to validate the historic anomalous values, collected as conventional lag samples with a more appropriate ultra-fine soil fraction (UFF) analytical method determined from GSM's regolith analysis.

The UFF technique was specifically developed for transported sand covered terrain as observed in the northern part of the Four Mile Well project. Although UFF is a different collection and analytical method to the historic lag sampling, some broad correlations can be interpreted between the UFF geochemistry and the historic lag sampling results. The analysis has provided sufficient encouragement to undertake further work and sampling over this area.

Reconnaissance work also revealed several historic, wide-spaced water bore collars located on the northern tenement application ELA 38/3632 where remnant drill chips were collected for petrographic analysis. These drill chips were recorded as fine-grained schistose chlorite-sericite altered intermediate/volcanoclastic types, including some specimens with weak sulphide mineralisation. These findings demonstrate the presence of an untested corridor of altered greenstone rocks striking north-northwest beneath the sand covered northern portion of the Four Mile Well project in an area previously interpreted as buried granite by the GSWA.

DMIRS WAMEX searches and field-checking has shown the northern portion of the Four Mile Well project has not been the subject of any effective reconnaissance drill testing. The Company has now merged this latest surface geochemical and field observation dataset with the historic geochemistry data and aeromagnetic structural interpretation work. This generative work has resulted in the design of an approved 1,200m air-core ("AC") drill program over prospective, untested structural and geochemistry corridors.

This AC drill program commenced on Friday 17th of June.