Premium Exploration, Inc. announced that it has signed an option and joint venture agreement with Logan Resources Ltd. which affords Logan the option to acquire up to a 75% interest in the Idaho Gold Property. Under the terms of the agreement, Logan can earn a 51% interest in the property ('Interest') by doing the following: Incurring a total of $5,000,000 in exploration, permitting and development expenditures on the Property as follows: $1,500,000 in exploration expenditures on or before 12 months from the closing date; and $3,500,000 in exploration expenditures on or before 36 months from the closing date, making a cash payment of $250,000 to Premium on the closing date. Logan may earn a 75% interest in the Property by doing the following: completing the conditions required to earn the 51% interest in the property.

Issuing 5,000,000 common shares of Logan to Premium. Incurring additional exploration expenditures of $3,000,000 on the property on or before the date that is 60 months from the closing date. A joint venture will be formed between Premium and Logan at the time that Logan earns its 75% interest in the property (or at the time Logan earns a 51% interest in the property and fails to satisfy the conditions required to earn a 75% interest).

Once the joint venture is formed, each of Logan and Premium will be responsible for its pro rata share of expenditures on the property thereafter.