TORONTO, ONTARIO--(Marketwire - Dec. 8, 2010) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Crocodile Gold Corp. (TSX:CRK)(OTCQX:CROCF)(FRANKFURT:XGC) ("Crocodile Gold" or the "Company") is pleased to announce that it has issued an additional 3,000,000 common shares of the Company (the "Common Shares") for gross proceeds of CDN $4,200,000 pursuant to the full exercise of the over-allotment option granted to the Underwriters in connection with the previously closed bought deal offering (see news release dated November 22, 2010) (the "Offering"). In total, the Company has now raised aggregate gross proceeds of CDN$32,200,000 pursuant to the Offering.

The Common Shares were sold pursuant to an underwriting agreement with a syndicate of underwriters led by GMP Securities L.P. and including Cormark Securities Inc., Macquarie Capital Markets Canada Ltd., Raymond James Ltd., TD Securities Inc., Fraser Mackenzie Limited, NCP Northland Capital Partners Inc., and Union Securities Ltd. (collectively, the "Underwriters").

The net proceeds are intended to be used to accelerate the underground development at the Cosmo underground mine located in the Northern Territory of Australia and for general corporate purposes.

The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

About Crocodile Gold

Crocodile Gold is a Canadian company with operating gold mines in the Northern Territory of Australia and a land package of over 2,500 km2. Crocodile Gold is currently mining from the Howley, North Point and Princess Louise open pit mines and the Brocks Creek underground mine. Crocodile Gold commenced mining in November 2009 and announced its first gold pour in December 2009 at its Union Reefs Mill. The Company is currently developing the Cosmo underground mine. Ore is currently processed at the 2.4 million tonne per year Union Reefs Mill. Crocodile Gold has 3.5 million ounces of NI 43-101 compliant measured and indicated resources (57 million tonnes at an average grade of 1.9 g/t gold) and 2.2 million ounces of inferred resources (38 million tonnes at an average grade of 1.8 g/t gold) (see the Amended Annual Information Form dated November 5, 2010 and Crocodile Gold press releases dated September 8, 2009, January 25, 2010 and October 14, 2010 and December 2, 2010). The Company has an exploration program in place with a main focus on the Cosmo/Howley corridor which covers a five kilometre strike length of a 25 kilometre trend.

Qualified Person

David Keough M.AusIMM of Crocodile Gold is a "qualified person" as such term is defined in National Instrument 43-101 and has reviewed and confirmed the technical information and data included in this press release.