New Crown Jewel Reserve Estimate; No Write-down of Asset Value.

Business Editors

DENVER--(BUSINESS WIRE)--March 28, 2000

Crown Resources Corporation announced that it has completed its review of the carrying value and reserve status for the Crown Jewel project. Based on the results of this review, Crown will not write-down any portion of its $14 million carrying value for the Crown Jewel gold deposit. Crown has elected to change its carried proven and probable reserve estimate from the previous open pit reserve estimate provided by its joint venture partner, Battle Mountain Gold Company, to a primarily underground reserve estimate developed by independent mining engineers engaged by Crown.

The review was undertaken by Crown following the decision of Battle Mountain to write off its entire investment in the Crown Jewel project and reclassify Crown Jewel proven and probable reserves to additional gold mineralization. Battle Mountain's decision was prompted by an unfavorable permit ruling by Washington state's Pollution Control Hearings Board concerning water issues. Battle Mountain is appealing this ruling to Superior Court in Washington state.

Crown presently holds 100% ownership in the Crown Jewel deposit. Battle Mountain can earn a 54% interest in the project by providing 100% of the funding, without any repayment from Crown, to place the property into production at a minimum rate of 3,000 tons per day. Crown's basis in the property, approximately $14 million, and its future funding obligation, nil under the joint venture agreement, differ materially from Battle Mountain's basis and future funding obligations under the joint venture.

In light of the recent PCHB ruling, Crown elected to determine if the Crown Jewel project would be economic under a predominantly underground mining operation and whether permitting would be more easily achievable under this scenario. Crown utilized qualified third-party mining engineers, metallurgists and an environmental permit specialist in making its determination.

Reserve results and economic analysis were very encouraging.

                                Tons        Grade         Contained
Proven and Probable Reserves    Ore       Oz/ton Gold     Oz. Gold
                              ---------  ------------    ----------
   Underground                2,202,795      0.368         811,405
   Open-Cut                     354,000      0.263          93,102
                             ----------      -----        --------
Total Proven & Probable       2,556,795      0.354         904,813
Mineralized Material
 (Possible)
   Underground                1,294,650      0.383         495,666
Total Proven &
 Probable + Poss.             3,851,445      0.364       1,400,173

Important Details:

Assumed gold price:       $325 per ounce
Cutoff grade:              0.155 opt gold (underground);
                           0.057 opt gold (open-cut)
Capital cost
 (before contingencies):  $69 million
Capital cost
 contingencies:           $21 million
Milling rate:              1,850 tons/day
Mill recovery:             85%
Underground mining cost:  $26/ton
Open-cut mining cost:     $22/ton (includes overburden stripping)
Milling cost:             $14/ton
Cash operating costs:     $134/ounce

The mining plan developed utilizes three mining methods: blasthole stoping (50% of ore), room and pillar (30% of ore) and drift mining (20% of ore). Most of the mined areas would be backfilled to allow for maximum ore extraction, reduce surface subsidence and diminish the need for permanent surface waste dumps. The milling process is the same as that developed under Battle Mountain's plan, but scaled back to 1,850 tons per day. Reserve calculation, mine design and cost estimation was conducted by Mine Reserve Associates, Inc., while permitting analysis was conducted by Gochnour & Associates, Inc.

Christopher E. Herald, President and Chief Executive Officer of Crown, stated: "We support Battle Mountain's efforts to overcome the recent permitting problems. In the event they are unable to do so, we are pleased to report that the Crown Jewel project has an alternative mining scenario that significantly mitigates the concerns raised by the PCHB and is still economically attractive. This reserve analysis demonstrates the high grade nature of the Crown Jewel deposit. Compared to the open pit proposal, our underground plan recovers 85% of the gold by processing only 44% of the tons contemplated by the open pit scenario."

Crown is a U.S. domiciled gold exploration company with properties in the U.S. and a 57%-equity interest in Solitario Resources Corporation (Toronto Stock Exchange: SLR). Crown is traded on the NASDAQ National Market System under the trading symbol CRRS and the Toronto Stock Exchange under the symbol CRO.

The information set forth above includes "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and is subject to the safe harbor created by those sections. Factors that could cause results to differ materially from those projected in the forward-looking statements include, but are not limited to, the timing of receipt of necessary governmental permits, the results of judicial proceedings, the market price of gold, results of current exploration activities and other risk factors.