Barramundi Gold - Initial Public Offering - Exploration Update.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Oct. 1, 1996-- (Alberta Stock Exchange:BAM.) NEW ALBERTA STOCK EXCHANGE LISTING (BAM:ASE)

The Directors of Barramundi Gold Ltd. (Barramundi) are very pleased to announce the completion of the Company's Initial Public Offering (IPO) of 1,500,000 Common shares pursuant to a Prospectus dated September 10, 1996, for gross proceeds of $1,125,000, and the imminent listing of the Company on The Alberta Stock Exchange. The Company will be trading under the symbol BAM:ASE beginning in early October, 1996. Exploration drilling on Barramundi's Wandoo Project in North Queensland, Australia started last week.

Directors Scott Broughton (President, CEO), Bob Burban (Director - Exploration), Julian Malnic and Ray Soper established Barramundi with the specific intent of exploring for, and defining bulk tonnage gold deposits. The Company is a Canadian-Australian collaboration comprising mining professionals, projects and capital from both countries. An early focus on discovery opportunities in Canada and Australia is by design and Barramundi has three such projects.

A Final Prospectus for the IPO was issued on September 10, 1996, and describes the Company, the projects and the work programs in detail. Using seed capital, Barramundi has been advancing its exploration programs during the course of the preparation, application and review period of the Prospectus. Compilation of results from all three projects is in progress. The following updates outline the current programs.

WANDOO PROJECT - QUEENSLAND, AUSTRALIA

The Wandoo Project is located near Chillagoe, Queensland, 160 km west of the port of Cairns. The 789 square km project area comprises four Exploration Permits for Minerals, four Mining Leases, and one Mining Lease Application.

Stream sediment sampling has been applied to roughly one third of the project area successfully identifying eight breccia pipe systems, the most advanced of these being the Empire, the Pinnacles, Pinnacles West and Mt. Wandoo target areas. A 50m by 50m grid has been established over the Empire and Pinnacles Prospects. Detailed soil and rock sampling over the western quadrants of these prospects has outlined broad arcuate anomalies in both the Empire and Pinnacles prospects that are the target of current drilling. The Empire anomaly measures roughly 500m by 150m and the Pinnacles anomaly 500m by 100m.

A 2500m shallow reverse circulation drilling program of approximately 60 holes is advancing on schedule and will provide preliminary testing of these anomalies. Samples will be sent to an independent laboratory in Townsville and results will be released when available. To date 400 m over 12 holes has been drilled and this phase of the Wandoo program is to be completed in mid October, 1996.

LONGLINE PROJECT - YUKON, CANADA

The Longline Project lies 60 km north of Beaver Creek near the Yukon-Alaska border and comprises 270 claims covering 59 square km. Barramundi's exploration followed the recent identification of a shallow dipping, gold bearing quartz vein system in the headwaters of rich placer (alluvial) gold creeks.

Field reconnaissance and mapping has identified alteration zones, particularly around the quartz veins and an alteration zone has been identified at the Airstrip prospect.

Approximately 1500 dozer-mounted-auger soil and rock samples were collected and incoming analyses are currently being correlated with results from an 810 Line km high density heliborne magnetic survey completed in early September.

The results of comprehensive mapping of exposures excavated during placer mining, and 2500m of trenching are being compiled. A total of 1000 rock samples were collected from exposures. The summer field program has concluded.

HUNKER DOME PROJECT - YUKON, CANADA

The Hunker Dome Project centres on the historic Klondike Placer Gold Field covering 505 square km held under 2400 claims. Barramundi's holding is the largest ever assembled by a single company in this area, and Barramundi believes it has developed an integrated program designed to discover the sources of the Klondike's placer gold. Regional reconnaissance mapping has led to the recognition of up to four gold-bearing styles of mineralization.

More than 200 samples from an orientation stream sediment program have been collected upstream of historic placer workings. Analyses for 1500 soil samples taken from a grid at the JAE Claim area are being received, and will be correlated with mapping and incoming assay information from 1000m of trenching. The summer work program is nearing completion. -0-

Note to Editors: The Alberta Stock Exchange has neither approved nor disapproved the information contained herein.

CONTACT: Barramundi Gold Ltd.

Mr. Scott Broughton, 604/681-7136

604/681-7120 (fax)