Voisey Bay Resources and Atlanta Gold Corporation -- Joint Venture on Indonesian Properties.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Aug. 23, 1996-- Atlanta Gold Corporation ("Atlanta") and Voisey Bay Resources Inc. ("Voisey Bay") announced that, subject to regulatory acceptance, they have agreed to a joint venture for the acquisition, exploration and development of nine separate mining properties in Kalimantan, Indonesia aggregating approximately 220,000 hectares.

The joint venture is between Atlanta, Voisey Bay and Indotan Inc. ("Indotan") of Hamilton, Bermuda.

The Properties

Voisey Bay and Atlanta Gold have successfully concluded negotiations on a package of nine strategically located mining properties on the Island of Kalimantan in Indonesia. Based on the available reports and data, they are considered to be of superior geological merit. The properties form a major acquisition designed to advance Atlanta's and Voisey Bay's mining interests to the forefront of mining activity in Indonesia, a country of vast mining potential particularly in gold and copper.

The potential of the acquisition is underscored by the fact that 125,000 hectares is being released by the Indonesian Mining Ministry from their "Status Quo" land bank in 3 separate properties. Status Quo lands are mining properties that have been set aside over the years by the Indonesian Mines Department which are deemed to be of superior geological and strategic merit based, in most cases, on significant previous documented work. They are generally made available only to qualified mining companies of significant technical capabilities and strong financial commitment.

The other 6 properties were previously owned by private Indonesian interests, including two properties totaling 53,000 ha. in the vicinity of the Kelian mine, a 420,000 ounce a year long lived gold producer operated by CRA of Australia, a subsidiary of Rio Tinto, the world's largest mining company. CRA's Indonesian partner in the Kelian Mine made the two properties available to Atlanta and Voisey Bay through Indotan Inc. and remains a partner in the project.

Several of the properties have had geological targets identified which warrant priority investigation and follow up work to establish drill targets. For example, on the 10,000 hectare Laporan DU.166S/D1670/ Kalteng polymetalic prospect, 21 rock samples that tie in with strong geology on the property average 4.9 gr. of gold per ton, 400 gr. of silver with strong associated copper, lead and zinc. This is a priority target.

The prime focus is to bring to bear recently developed geological investigative techniques and geologists with Carlin Trend type experience of both the specialized geology slid the economics of large scale open pit mining and metallurgy. These techniques are only now being applied to Indonesia, a vast highly mineralized region whose mining focus has been largely on alluvial and vein type mining.

Regionally the 35,550 Ha. Upper Mahakam Block in North central Kalimantan lies entirely within the northern accretion expansive belt of mainly late stage Tertiary magmatism produced mafic to intermediate intrusions and volcanics terrain and a tectonic high metamorphic/melange of Busang complex which are covered by Tertiary sedimentary rock of Kutai basin.

Four major structure domains are recognized: Busang basement complex, Kapuas fold belt, foreland domain, and late cainozoic magmatic domain. Intense fractures, faults, and extensive alteration hosted within volcanic and sedimentary rock in surrounding areas, suggest the epithermal gold occurances and mineralization within the areas.

The 4,000 Ha. Indah property located in the Northeast region of Kalimantan had extensive work done previously by Dutch geologists who recommended the property to the current indigenous partner. Pan concentrates and stream sediment sampling reveal several significant anomalies that are high priority for follow-up work.

Atlanta and Voisey Bay have embarked on a major thrust into Indonesia. This geologically active country that runs 5,000 kilometres along the "ring of fire" belt is one of the world's last remaining frontier mining areas. Its favourable geology has long been known. The Dutch mined there and reported on it for over 300 years. However, it is only in recent years that a political and economic environment favourable to mining has emerged, Indonesia is situated on the porch of two billion people entering the mainstream of economic activity. Its resources, especially minerals, will find ready markets.

Atlanta and Voisey Bay believe that they have acquired properties of extraordinary merit and in the process have established strong relationships in Indonesia both for carrying forward exploration and development programmes on the properties and in acquiring superior properties in the future.

Terms of the Agreement

Until a Feasibility Study is produced with respect to all or a portion of the properties, all costs for the contract of work and the maintenance of the property are to be contributed to equally by Atlanta and Voisey Bay, such costs to include the refundable deposit or replacement of deposits previously made with the Indonesian Government in the aggregate amount of (U.S.) $971,750 and (U.S.) $2,000,000 for the first two years expenditures on the property of which (U.S.) $1,000,000 is to be spent on the properties in the first year. In addition, Atlanta and Voisey Bay together are to make the following payments to Indotan: -0-

   (U.S.) $450,000 upon satisfactory proof of title to the
          mineral interests;
   (U.S.) $150,000 by September 1, 1996;
   (U.S.) $625,000 by December 16, 1996; and
   (U.S.) $125,000 to each of the two property vendors, PT
          Dharmatama Sadutra Mini and Pt. Sinar Gemilang
          Kazimantan Mini-0-

The property will be subject to a net smelter return royalty payable to Indotan of 2% on 80% of the net smelter returns.

In addition, Atlanta is required to issue in six month intervals up to a total of 2,000,000 shares at the rate of one share for each (U.S.) $O.75 expended by the joint venture on the property and issue to Indotan warrants for purchase of shares of Atlanta as follows: 1,000,000 at (Cdn.) $0.75 per share and an additional 1,000,000 at (Cdn.) $1.25 per share. The warrants expire on the earlier of five years from the date of issue and 30 days after a bankable feasibility study has been provided. Voisey Bay has similar obligations for the issue of shares and warrants to Indotan, being for 1,000,000 shares at the rate of one share for each (U.S.) $1.50 expended by the joint venture and warrants for the purchase of 500,000 shares at (Cdn.) $1.45 and an additional 500,000 shares at (Cdn.) $2.00.

As between Atlanta and Voisey Bay the joint venture contains provisions for dilution on non-contribution.

In the event Atlanta and Voisey Bay determine to cease participation in the joint venture prior to feasibility, all obligations, including any obligation to issue further shares of Atlanta or Voisey Bay, cease including pursuant to unexercised warrants.

A cash finder's fee is payable by Atlanta to Lindsay Semple International Financial Services Inc., Suite 1301, 1000 Beach Avenue, Vancouver, B.C. of $12,000 plus 6% of all payments to Indotan whether by way of cash or shares. A finder's fee is payable by Voisey Bay to Heath Ellingham, 7919 Woodhurst Drive, Burnaby, B.C. as to 2/3 of 6% of all payments and to Ted Burylo, of Suite 112, 4800 Arbutus Street, Vancouver, B.C. as to 1/3 of 6% of all payments to Indotan whether by way of cash, shares or warrants, such finder's fee to be paid or issued in the same kind as that made to Indotan.

PRIVATE PLACEMENT BY ATLANTA

Atlanta also announces a private placement financing with Hartford Securities of 4,495,400 common shares in the capital stock of Atlanta at a price of $0.35 per share. Following completion of the private placement Hartford Securities will hold approximately 20.22% of the issued and outstanding shares of Atlanta.

The proceeds from the private placement will be used in part to fund its share of the obligations under the joint venture letter agreement entered into between Atlanta, Voisey Bay and Indotan, which amounts to approximately (U.S.) $1,000,000. The balance of the private placement proceeds will be applied against further obligations of Atlanta under the agreement as well as for working capital.

A 5% cash finder's fee is payable to Giovanni Trivella, an arm's length agent, in connection with the private placement. The private placement and the issuance of the finder's fee are subject to regulatory approval. -0- ATLANTA GOLD CORPORATION VOISEY BAY RESOURCES INC. (signed) (signed) Karl Rollke, George Scott, President President -0-

Note to Editors: The Toronto Stock Exchange and the Vancouver Stock Exchange have neither approved nor disapproved of the contents of this press release.

CONTACT: ATLANTA GOLD CORPORATION, 604/669-0016

or

VOISEY BAY RESOURCES INC., 604/689-4766