Red Mile Minerals Corp. (TSX VENTURE:RDM) "Red Mile" (the "Company") has
acquired an option (the "Agreement") to earn a 100% interest in the Dorset gold
property located in northern Newfoundland, Canada from Tenacity Holdings Ltd.
("Tenacity") of St. John's, Newfoundland.


The Dorset property lies approximately 7km west southwest of Rambler Metals &
Mining PLC Ming Mine Project and 10 km southwest of Anaconda Mining
Incorporated's Pine Cove Gold Mine. The Dorset Property is comprised of eight
mineral licences encompassing 69 claims totalling 1725 hectares in area.


History

The Dorset property covers 12 kilometers of strike length along the 'Baie Verte
Line' crustal suture prospective for gold mineralization in Newfoundland. The
property includes the original Dorset showing discovered in 1988 which assayed
up to 408 g/t gold in a grab sample followed by representative channel samples
from surface trenching of 177 g/t gold over 0.35 meters; 56 g/t gold over 2.5
meters, and 42 g/t gold over 1.5 meters over a strike length of 150 meters. Gold
discoveries in the mid-1990's along strike over the 12 km property length
include grab samples from outcrop of 10.9 g/t gold, 18.7 g/t gold, and panned
concentrates up to 6.2 g/t gold in locally-derived till. None of these have been
followed up by diamond drilling or trenching.


John Hickey, President & CEO of Red Mile commented: "We are excited about
acquiring a quality property in a structurally favourable setting, that has been
under-explored and has had several multi ounce gold showings."


Transaction Terms

To acquire a 100% interest in Tenacity's Dorset Property, Red Mile will, subject
to Regulatory Approval, issue 100,000 shares in tranches of 25,000 upon signing,
and 25,000 shares every 6 months for 18 months and in addition issue 1,000,000
non-transferable share purchase warrants in tranches of 250,000 upon Regulatory
Approval, 250,000 after 6 months, 250,000 after twelve months, and 250,000 after
eighteen months respectively, after signing of the Agreement. The share purchase
warrants entitle Tenacity to purchase one common share per warrant for a period
of eighteen months from the date of issue at a price equal to the closing market
price on the day prior to the respective dates of issuance of the warrants.


Red Mile must also incur exploration expenses of not less than $750,000 before
the fifth anniversary of the signing date of the Agreement. A 2.5% net smelter
return royalty ("NSR" or "Royalty") has been reserved in favour of Tenacity; Red
Mile may purchase and terminate 40% of the Royalty at any time upon paying to
Tenacity Gold an aggregate cash payment of $1,000,000 whereupon the Royalty will
be reduced to a 1.5% NSR.


Work Plan

A detailed compilation of Dorset property geological, geophysical, and drilling
information is underway. A program of field mapping and prospecting is planned
in 2010 to define drill targets.


Qualified Person

Kerry Sparkes M.Sc., P.Geo and Director of Red Mile is the Qualified Person
responsible for the technical information contained within this release.


About Red Mile Minerals

Red Mile Minerals is a tightly held mineral exploration company with a gold
property along the prolific Destor-Porcupine gold-producing region in Ontario
and the Dorset Property in Baie Verte, Newfoundland. Red Mile continues to seek
additional mineral exploration opportunities where the company's exploration
expertise and corporate share structure could substantially enhance shareholder
value. Currently the are 9,915,000 shares are issued and outstanding.


On behalf of the Board of Red Mile Minerals Corporation

John Hickey, President and CEO