Prosper Gold Corp. announced that the Company has entered into a definitive option agreement (the ?Option Agreement?) with several individuals (collectively, the ?Optionors?), whereby the Optionors have granted the Company the option to acquire a 100% interest (the ?Option?) in the Kaza and Northstar properties (collectively, the ?Cyprus Project?). The road-accessible Cyprus Project is situated in north-central British Columbia, Canada.

Comprised of two sets of mineral claims, the Kaza claims and the Northstar claims, the Project totals 1,368 hectares which encompass the historical Kaza and Northstar copper prospects. The Kaza claims total 450 hectares contain the historical Kaza copper-gold prospect. Extensive geochemical, geophysical and geological surveys, as well as historical drilling activities, have outlined a 2,000 metre by 600 metre footprint of high-level porphyry copper-gold mineralization and hydrothermal alteration.

Highly anomalous copper-gold soil and rock geochemistry are spatially coincident with feldspar porphyry dikes, high IP chargeability and low magnetic response. Historical soil samples up to 5.09 gpt gold and 10,000 ppm copper exist at the Kaza prospect. Surface chip samples from 1973 include 0.88% copper, 15.4 gpt gold and 120 gpt silver over 4.0 metres.

Historical drill intercepts include 0.88% copper, 15.4 gpt gold and 127 gpt silver over 1.2 metres in drill hole 68-9. Drill results from the most recent drilling program in 2004 at the Kaza prospect include 0.12% copper and 0.24 gpt gold over 8.2 metres in drill hole KZ-04-01. The company believes historical operators did not drill test the Kaza prospect to sufficient depths with the deepest hole reaching only 195 metres vertical depth. The surface expression of the Kaza prospect is interpreted to be the upper reaches of a porphyry copper-gold system.

The Northstar claims, situated 4 kilometres to the northeast of the Kaza claims, total 918 hectares and contain the historical Northstar copper prospect. Two discrete mineralized areas on the Northstar claims have seen a combined 4,900 metres of drilling: the Main Zone and the B showing. Copper mineralization at the Main Zone consists of bornite and lesser chalcocite within faulted and fractured andesite.

The B showing consists of several zones of vein and shear-hosted chalcocite and minor bornite hosted in andesitic volcanics, along with disseminated and fracture-filling chalcocite, bornite and chalcopyrite. Excavation and channel sampling in 1997 at the B showing yielded 23.0 metres grading 2.1% copper in trench TN-1. Diamond drill hole NS-04-02, drilled in 2004 at the B showing, intersected disseminated and fracture-filling chalcocite, bornite and chalcopyrite mineralization which assayed 0.55% copper over 138.2 metres. Diamond drill hole 68-10, drilled in 1968 at the B showing by Northstar Copper Mines Ltd. intersected 1.68% copper across 14.6 metres with mineralization occurring as vein and shear-hosted chalcocite and bornite.

The Company believes the historically outlined zones of copper mineralization at the Northstar prospect are likely driven by a magmatic-hydrothermal system in the immediate vicinity, likely to the east and to depth of the mineralization encountered at the B showing.