| VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 11, 2015) - Eagle Hill Exploration Corporation (TSX VENTURE:EAG) ("Eagle Hill" or the "Company") is pleased to announce that it has filed on SEDAR the National Instrument 43-101 technical report for the Preliminary Economic Assessment ("PEA") for Eagle Hill's 100%-owned Windfall Lake Gold Project ("Windfall Lake" or the "Project") in Quebec, Canada, the results of which were originally disclosed on April 28, 2015. The report is available for download at www.SEDAR.comand on the Company's website at www.eaglehillexploration.com. All figures are quoted in Canadian dollars unless otherwise noted. The PEA outlines the design of a 1,200 tonne per day ("tpd") underground mine producing 106,200 ounces of payable gold annually for 7.8 years at an average total cash cost of $558/oz of gold (US$480/oz). At the base case gold price of US$1,200/oz the project has a pre-tax internal rate of return ("IRR") of 23.6% and a net present value discounted at 5% ("NPV5") of $241.4 million (post-tax 17.2% and $135.2 million). At a gold price of US$1,320/oz the pre-tax IRR and NPV5 increase to 29.1% and $325.9 million, respectively (post-tax 21.1% and $183.5 million) and at a gold price of US$1,440/oz the pre-tax IRR and NPV5 increase to 34.4% and $410.5 million, respectively (post-tax 24.8% and $230.1 million). Initial project capital costs are estimated at $240.6 million. Project economics are most sensitive to the exchange rate and gold price and least sensitive to operating costs. PEA Highlights (1) | Total LOM production | 828,000 ounces of payable gold | | Average LOM annual production | 106,200 ounces of payable gold | | Average LOM operating cash cost | C$547 per ounce (US$471) | | LOM total cash cost | C$558 per ounce (US$480) | | LOM total cash cost plus sustaining capital | C$623 per ounce (US$536) | | Mine life | 7.8 years | | Throughput | 1,200 tpd | | Average mined grade | 8.26 g/t gold | | Gold recovery | 95.7% | | Pre-production capex | C$240.6 million (US$206.9 million) | | Sustaining capex | C$53.5 million (US$46.0 million) | | Pre-tax NPV5 | C$241.4 million (US$207.6 million) | | Pre-tax IRR and payback | 23.6%, payback in 3.4 years | | Post-tax NPV5 | C$135.2 million (US$116.3 million) | | Post-tax IRR and payback | 17.2%, payback in 3.9 years | | Base case gold price | US$1,200 per ounce | | Base case exchange rate | US$0.86:C$1 | The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Mineral resources that are not mineral reserves do not have demonstrated economic viability. There is no certainty the results of the PEA will be realized. The PEA was led by TetraTech Inc.'s Canadian Mining Division (mine design, infrastructure and financial analysis), with contributions from Soutex Inc. (metallurgy and mill trade-off study), Golder & Associates Ltd. (environmental), WSP Global Inc. (tailings evaluation) and SRK Consulting (Canada), Inc. (mineral resource estimate). Optimization Opportunities Eagle Hill and the PEA consultants have identified a number of opportunities to optimize the project, including the possibility of reducing operating costs by bringing hydro power to site, improving project economics by incorporating silver credits, and the potential to both expand and upgrade the resource with additional drilling. In light of the proposed combination (described below), Eagle Hill is reviewing potential exploration and technical programs for the remainder of 2015. "Eagle Hill had intended to optimize and expand on the work done in the PEA through further exploration and commencement of a pre-feasibility study," said David Christie, President & CEO of Eagle Hill. "We are reviewing these plans in the light of the proposed combination with Oban Mining, Temex Resources, Ryan Gold and Corona Gold. "Our support for the proposed combination was based, in part, on Oban's intention to continue advancing the Windfall Lake Project through feasibility and toward production. We believe Windfall Lake holds great potential and are confident that opportunities remain to both increase the Windfall Lake resource base and further optimize economics, bringing additional value to the project." Proposed Combination with Oban Mining Corporation, Temex Resources Corp., Ryan Gold Corp. and Corona Gold Corp. On June 9, 2015, the Company announced its support for a proposed transaction ("Transaction") whereby Oban Mining Corporation (TSX:OBM) ("Oban") will launch share exchange takeover bids for Eagle Hill, Temex Resources Corp. (TSX VENTURE:TME), Ryan Gold Corp. (TSX VENTURE:RYG) and Corona Gold Corporation (CSNX:CRG) to create a leading Canadian focused gold exploration and development company ("New Oban"). Under the proposed Transaction, Oban has agreed to offer Eagle Hill shareholders 10.0 Oban Shares in exchange for each common share of Eagle Hill. The offer will provide Eagle Hill shareholders with a premium of 258% to the 15-day volume weighted average price of Eagle Hill on the TSX-V ending on June 8, 2015. Additionally, each shareholder of Eagle Hill will receive five common share purchase warrants of Oban (each a "Warrant") per common share of Eagle Hill. Each Warrant will entitle the holder thereof to purchase one Oban share at a price of $0.15 per Oban share, for a period of 36 months following the closing date. Oban will make an application to the Toronto Stock Exchange ("TSX") to list the Warrants. Pursuant to the Transaction, existing Eagle Hill warrants will become exercisable into the transaction consideration. Oban has committed to launching the takeover bids no later than July 21, 2015, with the expectation that closing of the Transaction will occur in early August 2015. Completion of the Transaction is subject to Oban obtaining shareholder and TSX approval. Shareholders of Eagle Hill representing 57% of the common shares of Eagle Hill have entered into lock-up agreements with Oban in support of the Transaction. In addition, Oban has agreed, subject to TSX approval, to complete a private placement with Osisko Gold Royalties Ltd. ("Osisko") whereby Osisko will invest up to $20 million in common shares in the capital of Oban ("Oban Shares") at a price of $0.11 per Oban Share (the deemed net asset value per share value of Oban), provided that such investment shall not be for more than 19.9% of New Oban. If completed, the Transaction would bring together major exploration assets in Ontario and Quebec under experienced management in a well-capitalized vehicle, with over $65 million in cash and a significant global gold resource. Dundee Corporation and Osisko will be key shareholders in New Oban, by virtue of their respective existing holdings in four of the five companies involved in the combination, and Osisko's new investment. Successful completion of the Transaction may materially impact the details and timing of the proposed work program outlined in the "Optimization and Next Steps" section of this press release. On Behalf of the Board of Directors David Christie, President & CEO About Eagle Hill Exploration Corporation |