Golden Eagle Reaches Full Capacity Production at its Bolivian Gold Mine; Company Projects Positive Cash Flow Once These Levels are Sustained.

Business Editors

SALT LAKE CITY--(BUSINESS WIRE)--July 24, 2003

Golden Eagle International, Inc. (OTCBB:MYNG) announced today that its recently-expanded Cangalli gold mining operation, which has been in its start-up mode since July 1, 2003, operated for the past 3-day period at its full capacity of 3,500 tpd. Ore was processed from both the Company's interior mine block caving operation, as well as from its open pit site. Initial testing in the plant has shown that the expanded recovery circuit is functioning at or above normal ranges, and that recoveries in all of the gold size fractions are very satisfactory.

"We are pleased to see our Cangalli operation reach full capacity so quickly," stated Ronald Atwood, Ph.D, Golden Eagle's VP for Development. "Now we will put our total efforts into reaching sustained full-capacity operations over the next weeks and months. All necessary equipment and personnel are in place, we just have to go through the learning curve of delivering this much ore, on a steady basis, to our recovery plant."

Once Golden Eagle's expanded operation reaches sustained capacity production, the Company projects that the operation will achieve a positive cash flow.

The Company also announced that it has completed several infrastructure improvements to weirs, reservoirs and tanks in its clean water delivery system, as well as an additional 4-mile water line, to provide its Cangalli operation with sufficient clean water from the El Capitan River. This improved system now exceeds current clean water requirements of the expanded Knelson Concentrator in Golden Eagle's plant by 200%, and meets additional water needs throughout the plant. These projects employed over 200 workers over the past several months. Many of these workers are now being incorporated into Golden Eagle's permanent workforce.

"At this moment, when Bolivia in general is going through a period of economic recession and severe unemployment, and the Cangalli area is being especially hard-hit, we are very happy to be in production and providing these needed jobs," said Terry C. Turner, Golden Eagle's CEO.

The Company intends to release its July production numbers regarding its first full month of operating at its expanded capacity of 3,500 tpd on Aug. 5, 2003, once all of the increased tons of concentrates have been processed into final gold product for delivery to market.

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Golden Eagle International, Inc. is a gold exploration and mining company located in Salt Lake City, Utah; and La Paz and Santa Cruz, Bolivia. The Company is currently focusing its efforts on developing its mining rights on 74,000 acres in the Tipuani Gold Mining District located in western Bolivia; and continuing exploration on 127,500 acres in eastern Bolivia's Precambrian Shield. Golden Eagle is a mining company with a social conscience, having provided many humanitarian programs at its mine site, including the only hospital, doctor and nurse in Cangalli, Bolivia, for the past seven years, as well as having provided for the educational needs of the students in the area during its exploration stage. The Company highly recommends that you review its disclosures, risk statements, previous press releases, annual reports, quarterly reports and current reports found at its website: www.geii.com

Forward-Looking Statements and Disclosure of Risk

The future conduct of Golden Eagle's business and its response to issues raised by third parties are dependent upon a number of factors, and there can be no assurance that Golden Eagle will be able to conduct its operations as contemplated. Certain statements contained in this release using the terms "may," "expects to," "projects," "estimates," "plans," and other terms denoting future possibilities, are forward-looking statements in accordance with the Private Securities Litigation Reform Act of 1995. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks that are beyond Golden Eagle's ability to predict or control and which may cause actual results to differ materially from the projections or estimates contained herein. These risks include, but are not limited to, the risks described in the above press release; those risks set out in Golden Eagle's disclosure documents and its annual, quarterly and current reports; and the other risks associated with start-up mineral exploration operations with insufficient liquidity, negative working capital, and no historical profitability. Golden Eagle disclaims any obligation to update any forward-looking statement made herein.