GOLDEN PEAKS TO ACQUIRE GOLD EXPLORATION PORTFOLIO – STRATEGIC EXPANSION INTO PACIFIC ARC

• Signs LOI to acquire 100% of Reliance Resources Limited which holds
  rights to five advanced gold tenements in eastern Indonesia covering
  30,000 hectares
• Diversified portfolio offering an existing gold resource base, potential
  to add additional resources and significant exploration potential
• 43-101 resource report currently under way
• Early drilling planned using Reliance owner-operated rigs on identified
  targets; Multi-million dollar historical spend resulted in extensive
  database
• Reliance’s board and exploration team has a track record of success in
  Indonesia

TSX: GL

VANCOUVER, Nov. 2 /PRNewswire-FirstCall/ – Golden Peaks Resources Limited (‘Golden Peaks’ or ‘the Company’)
(TSX:GL) is pleased to report that the Company has signed a Letter of Intent (the
“LOI”) to acquire 100% of Reliance Resources Limited (“Reliance”), an
unlisted Australian public company, which holds the rights to five
advanced gold exploration permits on the islands of Sulawesi and
Halmahera in eastern Indonesia.

The Reliance portfolio comprises three exploration projects on Sulawesi
Island, with a JORC inferred resource, defined targets and the
potential for near-term resource development and production; and two
areas on the island of Halmahera, 70km north of Newcrest Mining’s
high-grade, profitable Gosowong gold mine. Reliance has the second
largest landholding behind Newcrest on Halmahera. Figure 1 below,
highlights the location of the Reliance properties in relation to major
mines and magmatic arcs in the region.

To view Figure 1: Map of Indonesia highlighting magmatic arcs, major mines and
Reliance properties, please visit: http://files.newswire.ca/365/November_2_2010_GL-Reliance.pdf

Reliance holds a majority (75-90%) interest in these five gold
tenements, covering 30,000 hectares. All five projects are within close
proximity to operating gold mines or defined resources with similar
geological settings. Importantly, all projects have been converted to
IUP tenements as required under the new Indonesian Mining Act (2009).

Reliance has chosen to focus on gold in Indonesia given the in-country
experience and history of achievement of the directors and key
technical personnel. Also, Reliance’s projects have significant
exploration potential and are located in a region that hosts some of
the world’s largest gold mining projects. Reliance has an established
presence in Indonesia, with strong regional government and community
ties.

The Company’s Board and technical leadership team have been responsible
for the development of Robust Resources Limited’s (ASX: ROL) highly
prospective Romang Island project, also in Indonesia. Robust has some
of the world’s leading resource-sector institutional investors on its
register, and the leadership team has been responsible for increasing
the company’s market capitalisation from $6.9 million in June 2008 to
over $150 million today.  

Reliance has developed an extensive exploration program, currently
underway, which includes:

• Resource extension drilling to JORC indicated / measured equivalent
  (Sulawesi)
• Reconnaissance geological work (mapping / trenching / sampling) to
  further define drill targets (Halmahera)
• Two owner-operated diamond drill rigs on order (four rigs budgeted for
  2011)
• Expansion of the technical team and establishment of support offices on
  Sulawesi, Halmahera and a central administration and logistics office
  in Jakarta

The transaction contemplated under the LOI, will see the Company issue
62.7 million shares to the security holders of Reliance, with the
result that the Reliance security holders will hold approximately 57%
of the outstanding shares of the Company, post-acquisition. The
proposed acquisition is subject to a number of conditions precedent,
including TSX acceptance, due diligence conducted to the satisfaction
of both companies, and approval by Golden Peaks shareholders.

Golden Peaks Chairman, Scott Emerson said: “This is a unique
opportunity, Reliance’s board and exploration team has a history of
success in Indonesia and we look forward to welcoming Reliance
shareholders and together continuing to build a gold company.”

Reliance Resources Chairman, Gary Lewis said: “This is a great
opportunity for Golden Peaks’ shareholders to gain access to one of the
world’s most exciting gold exploration and production regions through
the acquisition of these highly prospective projects. Reliance’s assets
are very high quality and offer near term production potential and
further upside opportunity through an extensive exploration programme.”

“Our team has a track record of success in Indonesia and a proven
ability to identify and develop exploration assets that in turn deliver
very solid returns for our shareholders. We are confident that this
transaction presents a good opportunity for both Reliance’s and Golden
Peaks’ shareholders.”

The statements herein that are not historical facts are forward-looking
statements. These statements address future events and conditions and
so involve inherent risks and uncertainties, as disclosed under the
heading “Risk Factors” in the company’s periodic filings with Canadian
securities regulators. Actual results could differ from those currently
projected. The Company does not assume the obligation to update any
forward-looking statement.

SOURCE Golden Peaks Resources Ltd.