Ashton to Explore for Diamonds on New Large Property in Slave Region.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Aug. 28, 1996--ASHTON MINING(TSE, ME: ACA ) Ashton Mining of Canada Inc. ("Ashton or ACA") is pleased to announce that the company has recently formalized a major exploration option agreement with Lytton Minerals Ltd. ("Lytton") and Pure Gold Resources Inc. ("Pure Gold"). Under the terms of the agreement, Ashton may acquire a 51 percent interest in the large 330,000 acre JC property by incurring $650,000 in exploration expenditures before December 31st of 1997.

The property is considered by Ashton to have significant exploration potential and is well positioned between the BHP and Lytton advanced diamond projects (see attached diagram).

Ashton is pleased to have this opportunity to explore such a large acreage in this highly prospective region of the Slave in the Northwest Territories. Field teams have been mobilized to the property and detailed exploration is scheduled to commence immediately.

Elsewhere in the Slave region Ashton is continuing its extensive programs on the Cross, Roundrock, Hidden Lake and other properties.

Ashton Mining of Canada Inc. is a diamond exploration company with interest in a wide range of exploration properties in Canada and the United States. The Company is 62 percent owned by Ashton Mining Limited of Australia, a leading international diamond exploration, mining and marketing company. -0- NOTE: Location map available from the Company at the phone number listed above.

CONTACT: Ashton Mining of Canada Inc.

John Auston, 604/983-7750

Alessandro Bitelli, 604/983-7750