Clifton Star Resources Inc.

COMPANY DATA | INTRODUCTION |  PROJECT IN HAND | MANAGEMENT
NEWS UPDATE | CHINESE

COMPANY DATA

INTRODUCTION

Clifton Star Resources Inc. is a junior mining exploration company with a focus on seven properties that have had historic production of gold, silver, copper and nickel. The portfolio consists of six properties along the prolific Porcupine-Destor Fault in politically secure and mine-friendly Quebec and one in Manitoba.

The Company has an aggressive exploration drilling program with a maximum of seven drills in operation. Tailings reclamation on the Beattie property has the potential to yield 220,000 ounces of gold over three years. A Humphrey Spiral concentrator is in operation to test the tailings for recoverability of the contained gold.

PROJECT IN HAND

Duparquet Gold Project, Duparquet Township, Northwestern Quebec

The Duparquet Project is located in the Abitibi region of Quebec, near the town of Duparquet. The Project is approximately 45 km northwest of the city of Rouyn-Noranda and approximately 90 km northwest of Osisko Mining's flagship Canadian Malartic Gold Project. The Duparquet Project comprises two large property blocks. The properties host former producing underground gold mines (including the Beattie, Donchester and Duquesne mines which collectively produced over 1.5 million ounces of gold from 1933 - 1991) and two deposits with known gold resources (Central Duparquet and Dumico). The properties cover approximately 8 km of strike length along the prolific Porcupine-Destor Fault Zone, which has historically produced over 80 million ounces of gold.

Over the past two years, Clifton has been actively exploring its land holdings in the Duparquet gold camp, with the intent of outlining new gold resources. A 100,000-metre drill program was planned for 2009. Clifton recently filed a NI 43-101 compliant report based on new drilling at Beattie and Donchester which outlines significant gold resources on the property (please see Clifton press release dated September 8, 2009):

For open-pit potential using a cut-off grade of 1.0 g/t gold:

Beattie (North, RW and South zones)
119,569 tonnes @ 3.78 g/t Au (measured)
2,696,841 tonnes @ 3.21 g/t Au (indicated)
6,347,090 tonnes @ 3.36 g/t Au (inferred)
Total: 30,421,007 g Au or 978,073 oz Au

Donchester (North and South zones)
323,397 tonnes @ 5.08 g/t Au (indicated)
11,705,304 tonnes @ 2.79 g/t Au (inferred)
Total tonnes: 18,192,201 averaging 3.56 g/t Au
Total: 34,310,803 g Au or 1,103,136 oz Au

Combined total: 64,731,840 g Au or 2,081,209 oz Au

On December 11, 2009, Clifton Star Resources and Osisko Mining Corporation (TSX:OSK) announced that they have finalized an Agreement to enter into a Joint Venture on the Duparquet Project announced on November 16, 2009.

Under the terms of the Agreement, Osisko will earn a 50% interest in the Joint Venture by investing $70 million over a 4-year period, including a firm commitment of $15 million in 2010. Osisko will act as operator of the Joint Venture.

Osisko has also agreed to advance up to $30 million to Clifton to fund its option payments to the underlying property vendors.

Four Clifton Star Properties Highlights

Beattie Mine Gold Property, Duparquet Township, Quebec

• The 942.2 acres Beattie Mine Property is located along the Porcupine-Destor Fault Zone - Prolific gold belt.

• Approximately 9,257,321 tons averaging 0.124 oz/t Au (4.04 g/t Au) was mined and milled on-site between 1933 and 1956.

• The main ore body, along the north contact, was 352 metres in length and mined down to a depth of 381 metres and to widths of up to 35 metres. The workings exist to below 600 metres depth with projected 3,520 tons per vertical foot below the 9th level.

• A total of 928,000 oz Au was mined from this deposit.

• Since 1987, similar mineralized structures have been traced for some 8,400 metres strike length around this structure. Within the structure many other parallel gold-bearing zones associated with fault structures have been observed.

• A new zone within the south contact has intersected values of 11.89 g/t Au over a width of 11.05 metres.

• Tailings reclamation may yield more than 220,000 oz Au over 3+ years.

• Site reclamation from the mill complex clean-up will yield to additional gold recovery.

Donchester Mine Gold-Silver Property, Duparquet Township, Quebec

• The 823.5 acres Donchester Mine Property adjoins the Beattie Mine to the east

• Some 1,350,000 tons averaging 0.136 g/t Au (4.35 g/t Au) was mined between 1946 and 1956 at the Beattie mill.

• A total of 1,116,869 oz Au and 26,000 oz Ag was mined from the Beattie-Donchester from 10,714,871 tons processed. Recoveries averaged 83.82% with some 226,906 to 252,864 oz Au located within the tailings; of which approximately 88.8% is recoverable.

• Qualifying reports by Peter Bevan (1998 and 2002) have indicated some 5,136,505 tons averaging 0.120 oz/ton (drill measured, drill indicated, inferred and possible categories) (616,660 oz Au) within the mine workings and adjacent structures.

• Underground mining infrastructure provides potential access for future development - connected to Beattie on two levels.

Duquesne Mine Gold Property, Duparquet Township, Quebec

• The Duquesne Mine Property covers 942.2 acres. Past producer of over 60,000 ounces at grades averaging 10.5 to 11.5 g/t Au.

• Expanded resource - potential for over 500,000 ounces in new NI 43-101 report.

• $3.6 M - 23,070m drill program in 2008

• Over 3,000m of favourable strike along the Porcupine-Destor Fault Zone

• Targeting building resources at Duquesne to more than 1 million ounces of gold.

Central Duparquet Gold Property, Duparquet Township, Quebec

• The Central Duparquet Property is located between the Donchester and Dumico Property. The Property covers 293 hectares of land and 4,000m of prospective strike.

• Main zone has a historic value of 567,000 tons grading 5.11 g/t Au with an underground connection to the Donchester.

MANAGEMENT

Harry Miller, President and CEO

• Raised over $100 Million for projects in North America

• Over 40 years in the management of public companies

Ian Beardmore, CA, Chief Financial Officer

• Chartered Accountant since 1967

• Experienced in Corporate Taxation and Securities Reporting

Fred Archibald, B.Sc., P.Geo., OGQ, Vice President of Exploration

• Over 30 years experience in geological exploration, mining development and production

• Decades of experience in managing existing deposits for previous owners

• Extensive knowledge of regional deposits, data and considerations

Dean Rogers, B.A., P.Geo., OGQ, Senior Geologist

• 40 years experience in geological exploration, mining development and production

Board of Directors

Harry Miller, Chairman
Fred Archibald, B.Sc., P.Geo., OGQ
Dean Rogers, B.A., P.Geo., OGQ
Nick Segounis
Philip Nolan, LLB
George Kanalos, Corporate Secretary


NEWS UPDATE

On Dec. 31, 2009, Clifton Star Resources Inc. announced the re-election of all management nominees at the Company's Annual and Special General Meeting held in Vancouver on December 30, 2009. Clifton Star also announced that all proposed items on the agenda were ratified at the Meeting.

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