Estrella's JV Partner Mines Management Reports Positive Exploration Results at La Estrella; Elects to Proceed With Second Year

Estrella Gold Corporation (TSX VENTURE:EST) ("Estrella" or the "Company") is
pleased to announce that its joint venture partner Mines Management, Inc. (NYSE
MKT:MGN)(TSX:MGT) ("Mines Management") has elected to extend the exploration
program at La Estrella gold-silver project in central Peru under the terms of
its agreement with Estrella, to earn a 75% interest in the property. Mines
Management has notified Estrella of their intent to continue with the project,
and they have made their annual earn-in lease payment to the Company. Mines
Management has submitted proposed modifications to their previously approved
exploration drilling permit to the appropriate Peruvian regulatory agencies, and
currently, they are awaiting governmental approval of these modifications.


"Estrella is extremely happy that that Mines Management has decided to continue
exploration work on the La Estrella project for a second year. Mines
Management's work on the project during 2012 has been encouraging, and both
their drilling and 3D-IP/Resistivity work indicate potential for further
enlargement of the known mineralized zone. Mines Management is an excellent
company to work with, and we anxiously await the results of their next phase of
exploration work on the project," stated John R. Wilson, President and CEO.


2012 Exploration of La Estrella

In 2012, eight diamond drill holes totaling approximately 2,700 meters were
completed, seven of which intercepted significant thicknesses of gold and silver
mineralization (see News Release September 13, 2012). Highlights of the drill
program include E-23 with 112.8 meters (m) @ 0.41 grams per tonne (gpt) gold
(Au) and 21.4 gpt silver (Ag); E-24 with 160.6 m @ 0.37 gpt Au and 23.0 gpt Ag;
and E-25 with 201.4 m @ 0.35 gpt Au and 12.9 gpt Ag. These intercepts expand the
historically known area of mineralization toward greater depths on the west and
southwest side of the project's 2012 area of interest.


Because a strong positive correlation between higher grade gold mineralization
and moderate to high values of chargeability had previously been demonstrated on
La Estrella Project, a 3-D Induced-Polarization/Resistivity survey by Val D'Or
Geophysics Peru was contracted in December 2012 to February 2013 to provide
indications of mineralized trends and directions useful for exploration. The
survey identified a large, previously unknown area of anomalous chargeability
extending north and northwest from the 2012 area of interest for a distance of
approximately 1,400 meters. This new area, when combined with previously known
areas of anomalous chargeability, forms a prospective zone over 2,000 meters in
N-S extent and up to 1,100 meters in E-W extent. Mines Management expects that
targets for the next phase of drilling will include sites across these
newly-recognized chargeability trends. Other targets will include follow-up of
structurally-controlled high grade silver intercepts as in E-29 with 26.1 m @
0.04 gpt Au and 157 gpt Ag. All drillhole data is posted and available for
review on Mines Management's website at www.minesmanagement.com. 


2013 Activities

Activities thus far in 2013 include the modification of exploration permits to
encompass the expanded areas prospective for drilling, and metallurgical studies
with completion expected in May, 2013. Activities planned for the remainder of
the year will be conducted in accordance with Mines Management's current cash
conservation activities. 


La Estrella Project

La Estrella property contains approximately 2,500 hectares of land within the
Central Peru Polymetallic Belt, and is located 130 km south of Huancayo in the
Department of Huancavelica, a region with a history of silver mining dating to
the 1500's. The Project is in an area of established infrastructure, with roads
and electricity, and lies within 30 km of Minera Buenaventura's historic Julcani
Silver Mine which began operation in 1955. Mines Management conducts work on the
project subject to its agreement to earn 75% of the project through US$5 million
in exploration activities and a preliminary economic assessment (see News
Release April 10, 2012).


La Estrella Geology and Mineralization

La Estrella concessions cover a large area of gold-silver mineralization hosted
by a thick west-dipping dacite sill beneath a sequence of andesitic volcanic
rocks. Gold mineralization occurs as pyrite-associated disseminations in
silicified and phylically-altered dacite; also as quartz-sulfide stockworks in
brecciated or structurally-disrupted andesitic rocks. Higher-grade silver
intervals (greater than 100 gpt) occur with galena and a variety of sulfosalts
in mineralized structures cutting the dacite sill and volcanic package,
reflecting an event later than the more widespread gold-silver dacite-hosted
mineralization. To date, historic and current sampling and drilling activities
have identified a roughly tabular zone of mineralization generally conformable
to the dacite sill over 1,500 meters in strike length, 300-500 meters in width,
and 50-150 meters thick. As previously mentioned, geophysical indications of
mineralization include this known area and extend across a strike length of 2000
m and up to 1100 meters width in the central portion of the deposit. The system
remains open to the north, south, west, and at depth in the central, widest
portion of the anomalous zone. 


About Estrella Gold Corporation (TSX VENTURE:EST) Mineral exploration is
inherently risky and Estrella increases the chances of success as a "Prospect
Generator" focused on gold exploration in Latin America. Estrella identifies and
acquires new mineral properties, conducts initial, low-cost exploration to
define a potential new deposit and then forms joint ventures with other
companies that will provide funding for more advanced exploration. Estrella has
twenty-two (22) active exploration properties in Peru, with five (5) held in
venture agreements. The Company has 31.6 million shares issued and outstanding,
and is listed on the TSX Venture Exchange (TSX VENTURE:EST). 


Mines Management, Inc.'s VP of Exploration Mr. Michael G. Rasmussen, CPG, is a
Qualified Person for the purposes of National Instrument 43-101 Standards of
Disclosure for Mineral Projects of the Canadian Securities Administrators, and
has prepared, reviewed and verified the technical information contained in this
news release. Further information is available at Estrella Gold's website:
www.estrellagold.com.


STATEMENTS IN THIS NEWS RELEASE, OTHER THAN PURELY HISTORICAL INFORMATION,
INCLUDING STATEMENTS RELATING TO THE COMPANY'S FUTURE PLANS AND OBJECTIVES OR
EXPECTED RESULTS, MAY INCLUDE FORWARD-LOOKING STATEMENTS. FORWARD-LOOKING
STATEMENTS ARE BASED ON NUMEROUS ASSUMPTIONS AND ARE SUBJECT TO ALL OF THE RISKS
AND UNCERTAINTIES INHERENT IN RESOURCE EXPLORATION AND DEVELOPMENT. AS A RESULT,
ACTUAL RESULTS MAY VARY MATERIALLY FROM THOSE DESCRIBED IN THE FORWARD-LOOKING
STATEMENTS. 


FOR FURTHER INFORMATION PLEASE CONTACT: 
Estrella Gold Corporation
John R. Wilson
President and CEO
[phone]


Estrella Gold Corporation
Sandrine Lam
Shareholder Communications
[phone]
[phone] (FAX)
www.estrellagold.com