Last updated on April 16, 2014 at 21:24 EDT

Calico focuses all efforts on Grassy Mountain

May 29, 2012

VANCOUVER, May 29, 2012 /PRNewswire/ – Calico Resources Corp. (TSX-V: CKB, OTCQX: CVXHF) (the “Company” or “Calico”) wishes to announce that upon review of its
project portfolio and upcoming option payment obligations, it has
determined that it will not proceed with any further exploration on the
Iron Lake Property, which is located 45 kilometers northeast of the
city of 100 Mile House, British Columbia. Calico had a right to earn a
60% interest in Iron Lake.

Calico has therefore agreed with Eastfield Resources Ltd. (the vendor)
to return the property to Eastfield for no consideration to either
party.  Under the terms of the option agreement, Calico had not earned
any interest in the Iron Lake Property. Calico will reflect an
exploration asset write down on the property in its next financial

The Company intends to focus all its resources and efforts solely on
advancing the Grassy Mountain Project.

Buck Morrow CEO stated, “Calico is committed to the exploration and
development of the Grassy Mountain Project and plans to focus its
team’s efforts and company funds to that end.  The 2012 exploration
drilling is due to begin in mid-June to test four target areas on the

About Grassy Mountain
The Grassy Mountain Project contains NI 43-101 compliant (see March 29,
2012 Technical Report) Indicated resources of 1,271,300 ounces of Au in
37,471,000 tonnes averaging 1.055 g/t at a 0.34 g/t cutoff and Inferred
resources of 305,600 ounces of Au in 15,733,300 tonnes averaging 0.604
g/t at a 0.34 g/t cutoff. Contained in the resource above, is a higher
grade NI 43-101 compliant resource suitable for underground mining with
Indicated resources of 540,200 ounces Au in 3,195,400 tonnes averaging
5.258 g/t at a 2.06 g/t cutoff and Inferred resources of 58,500 ounces
Au in 302,600 tonnes averaging 6.010 g/t at a 2.06 g/t cutoff.

Qualified Person
Vance Thornsberry, Calico’s Vice President of Exploration, is a
Qualified Person as defined by National Instrument 43-101 and has
reviewed and approved the technical contents of this release.

On behalf of the Board,

Arden (Buck) Morrow
President and CEO

“Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.”

SOURCE Calico Resources Corporation

Source: PR Newswire