Chalice Gold Mines - Press Release

Symbol: ASX: CHN TSX: CXN
Shares outstanding: 250 million
Fully diluted: 258 million

PERTH, Western Australia, April 26, 2012 /PRNewswire/ - Chalice Gold Mines("the Company") ASX:CHN TSX:CHN advises that its Activity and Cash Flow Reports for the quarter ended March 31, 2012 have been issued today. The full texts of these reports are available at the Company's website www.chalicegold.com and under the Company's profile at www.sedar.com.

Quarterly Highlights

• China SFECO Group completes its due diligence on the acquisition of a 60% interest in the Zara Gold Project
  
  
• Terms of the sale of a 30% interest to ENAMCO have been varied to align completion of the transaction to the SFECO transaction
  
  
• On settlement of the sale of the Zara Project, Chalice will have ~US$80 million cash on hand
  
  
• Chalice to focus its exploration efforts on the Mogoraib North VMS project, 10km north of the Bisha Mine
  
  
• 5,000m diamond drill program to commence shortly at Mogoraib North to test multiple bedrock conductor targets.
  
  
• The Koka Mining Licences were granted
  
  
• Further high-grade results received from drilling at Koka South
  
  

SOURCE Chalice Gold Mines Limited