Ruby Creek Gold Mining Operations Update

NEW YORK, March 12, 2012 /PRNewswire/ -- Ruby Creek Resources, Inc. (OTCQB: RBYC), a gold exploration and mining company with operations in Tanzania, is pleased to provide an update on gold mining operations.

Ruby Creek continues the test and commissioning phase of mining operations on the GS1 mining license area.  In the month of February, several test pits were dug and material processed through our wash plant system.  Gold recovered from the pits have yielded positive results in terms of the implied grade of the material tested and indicate that the gold recovery system is working well.  Further minor modifications to the wash plant system in March are expected to increase recovery rates and to handle the constant processing of moderate material volumes in April.

Rainy season has just begun in Tanzania where March and April typically have the highest totals of precipitation.  Ruby Creek's mining and logistics staff is working through the weather challenges by successfully repairing and moving mining equipment to the Project.  All equipment is expected to be at the mining license production area around the end of April.  It is anticipated that deliveries of essential earth moving equipment to the production site from the Songea and Dar es Salaam areas will occur in the next four weeks.  Ruby Creek presently has one of three wash plant systems operating.  Two trommels will be moved from Songea, modified for gold production activities and will form the backbone of the anticipated two other wash plant systems in coming weeks.

The Company is pleased to report that it is using very simple mining methods to get good final recovery rates of gold from the source material.  The wash plant system consists of an ore hopper bin, a washing trommel, sluice boxes lined with Vortex Matting and Miners Moss and mechanical jigs.  The simplicity of the wash plant system reduces down time and requires low capital investment to replicate.  These systems are highly mobile and can be broken down and set up in a different area in less than a week.  Our mining engineering team is presently evaluating and optimizing each section of the wash plant gold recovery system.  In addition, Ruby Creek presently has a placer mining expert on the Project who is making recommendations relating to water management, optimization and implementing readily available equipment from South Africa to further enhance gold production recovery and throughput volumes.

Dan Bartley, CEO said; "Our skilled mining team has made tremendous progress.  As mentioned in early February, we anticipated transitioning from intermittent test mining to full-time daily production over the next eight weeks.  Presently we are on track to meet that timeline.  I am pleased to announce that Ruby Creek anticipates booking its first revenue from gold operations this month.  Gold volumes and revenues are expected to increase monthly until achieving maximum daily ore process rates from the operation of our entire equipment fleet late this summer.   This is an exciting time for Ruby Creek as we transition from test mining to full commercial gold production."

About Ruby Creek Resources, Inc.
Ruby Creek Resources, Inc. (www.rubycreekresources.com) is a gold exploration and mining company.  Ruby Creek operates in Tanzania through its subsidiaries, Ruby Creek Gold (Tanzania) Limited and Ruby Creek Resources (Tanzania) Limited.  Ruby Creek is the operator of the Tanzania Gold Plateau Project, establishing operations and infrastructure, along with the permitting process in support of the full development and commencement of gold mining operations on the project.

Forward-Looking Statements
This news release may include certain forward-looking statements.  All statements, other than statements of historical fact, included in this release are forward-looking statements that involve various risks and uncertainties.  There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.  This notice expressly qualifies all forward-looking statements in this release.  The Company, through its management, makes forward-looking public statements concerning its expected future operations, performance and other developments.  Such forward-looking statements are necessary estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements.  It is impossible to identify all such factors, factors that could cause actual results to differ materially from those estimated by the Company.  They include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors, which may be identified, from time to time in the Company's public announcements.

On behalf of Ruby Creek Resources, Inc.

Dan Bartley
Chief Executive Officer

SOURCE Ruby Creek Resources, Inc.