PREMIER GOLD MINES LIMITED (TSX:PG) is pleased to provide an update on planned activities for the Company's 2011 exploration campaign, including seven currently active or mobilizing drill programs. Drilling is now underway at Premier's wholly-owned Saddle Project in Nevada, and at the Hardrock Project in Ontario. In the near future, Ontario drilling will also commence at the PQ North (Musselwhite District), Rahill-Bonanza (Red Lake), East Bay (Red Lake), Newman-Madsen (Red Lake) and the Redgold (Red Lake) Project. Highlights for 2011 include:

• More than 120,000 metres of planned drilling.
• Premier has begun a new chapter in its growth with three drill rigs activated at Saddle. Additional projects have also been acquired in Nevada.
• An updated NI43-101 resource estimate for the Hardrock Project is expected late Q1 2011.
• Drilling in Red Lake will focus on delineating new high-grade gold discoveries made at the Rahill-Bonanza and East Bay joint venture projects in 2010.
• Goldcorp's high-speed tram could reach the Rahill-Bonanza Joint Venture ground by late 2011, with drilling expected mid-year.
• PQ North drilling will test for mineralization along strike from the new Lynx Zone discovery at Goldcorp's Musselwhite Gold Mine.
• Premier enters 2011 with more than $50 million in cash.

Ewan Downie, President and CEO of Premier said, "Premier experienced unprecedented growth in 2010, highlighted by ongoing exploration successes and new high-grade gold discoveries. This resulted in strong share price performance throughout the year. We expect 2011 to be no different and have approved the largest exploration budget in Company history. Our strategy to maximize shareholder value by growing gold resources on numerous projects is supported by no less than five active drill programs in the first quarter".

Hardrock Project The Hardrock Project, operated under a joint venture with Goldstone Resources Inc. (TSX: GRC) (Premier holds a 70% interest in the project), saw more than 110,000 metres of drilling in 2010. This drilling was successful in identifying and delineating multiple open pit and underground style gold zones with the following highlights:

• Early in 2010, a large NI43-101 compliant open pit resource was announced. It is anticipated that this resource will be updated in latter portion of Q1 2011 and include all drilling to the end of 2010.
• Drilling has expanded the footprint of the North Zone, which hosted an historic production grade of 7.54 grams per tonne of gold (g/t Au) or 0.22 ounces per short ton (oz/ton) more than 600 metres down-plunge below the bottom level of the Hardrock Mine where it remains wide open for expansion.
• Drilling successfully delineated and expanded the F-Zone deposit with intersections such as 7.92 g/t Au across 114.5 metres (m) (0.23 oz/t across 375.6 feet) including 23.56 g/t Au across 31.0 m (0.69 oz/ton across 101.7 feet) within the historic F-Zone resource area and 18.49 g/t Au across 20.5 m (0.54 oz/t across 67.2 feet) in step-out drilling approximately 400 metres west of the limits of previous exploration.
• New discoveries were made including the K-Zone, located just below the F-Zone. A full summary of results will be released in the near future.
• Permit submittals will be made for Advanced Exploration (de-watering and ramp construction).

In 2011, eight drills will be active, further delineating resources at Hardrock. The Hardrock Project is host to several past-producing mines which collectively produced more than 3.0 million ounces of gold, primarily from shallow depths of 2000 feet or less (600 metres). The mined zones remained wide open at depth at the time mining ceased. Additionally, developed but unmined historic resources were left in place within the existing mine workings. ------.