Premium Exploration Announces 1,830 Meter Drill Program to Continue Resource Delineation at the Friday-Petsite Gold Project

Vancouver, Canada, September 25, 2009 --(PR.com)-- Premium Exploration Inc., (TSX-V:PEM) is pleased to announce the Phase-Two drill program of 1,830 meters (6,000 feet) of drilling at the Friday-Petsite gold project located on the Orogrande Shear Zone in central Idaho. This drilling is the next phase of the planned 15,000 meter (44,000 foot) drill program designed to delineate gold resources along the Orogrande Shear Zone; a multi-million ounce gold target.

The program is designed to intersect gold mineralization for an additional strike length of 560 meters: 185 meters north and 375 meters south of the existing resource as well as down dip to a depth of 275 meters (900 ft) below surface. The drill hole collars are located to upgrade existing inferred resources in addition to targeting contiguous mineralization to the resource with the intent of adding ounces to the 531,890 oz inferred gold resource (NI 43-101) contained in 15.17 million tonnes at an average grade of 1.1 g/t Au.

The strike length of the current resource is 350 meters and was increased by 175 meters, or by 50%, as a result of Premium’s recently completed Phase-One drill program. Successful completion of Phase-Two drilling on the mineralized target, in addition to the Phase-One drilling; could increase the total strike length of the resource up to 735 meters, or by 210%.

Phase-Two is still in the planning phase but will likely consist of 11 HQ core holes; two holes within the resource to test down-dip mineralization and provide infill drilling for upgrading of the resource. Seven holes will be located on the contiguous geochemical anomaly directly to the south of the resource, with the most southerly hole approximately 375 meters south of drill holes PFR2009-6 and PFR2009-7 and will delineate the southern extension of the zone. Two holes will test the northern extension of the mineralization and will be located approximately 185-meters north of PFR2009-3 (PFR2009-3 extended the strike length 75-meters to the north in the Phase-One program).

Please cut and paste the following link for a map of the proposed drill program into your browser. http://www.premiumexploration.com/wp-content/uploads/2008/05/friday-petsite-proposed-drill-progroam-sept-2009

Drill road construction is underway to provide access for seven strategically located drill sites along 660-meters of soil gold anomaly that is within patented claims. The soil gold anomaly extends south 1150 meters from the resource and highlights the Orogrande Shear Zone. Gold mineralization which is responsible for the soil anomaly was intercepted in the first 100-meter step-out holes, PFR2009-6 and PFR2009-7. The Phase-Two drill holes will be designed to intersect mineralization associated with the shear zone and the soil anomaly, delineating gold mineralization along strike to the south of the existing resource.

Drilling to date is defining geologic and structural controls to the mineralization and has confirmed that the resource remains open to the north, to the south and at depth. The mineralization encountered in the drill holes consists of a broad zone of lower grade gold mineralization associated with the shear zone, surrounding a higher grade gold core which has been intruded by a post mineral dacite dike (PFR2009-01 returned 5.02 g/t Au over 17.92 meters including 13.78 g/t gold over 5.73 meters, PFR2009-02 returned 1.77 g/t Au over 39.56 meters including 3.37 g/t Au over 8.17 meters and PFR2009-05 returned 1.20 g/t Au over 76.05 meters, including 3.76 g/t Au over 10.52 meters as well as 1.13 g/t Au over 42.67 meters, including 7.73 g/t Au over 4.57 meters.The ongoing drilling is designed to provide additional data for the delineation of a multi-million ounce gold target associated with the Orogrande Shear Zone.

The drill is currently on the property and the site is accessible year round, although winter drilling (Dec-April) is slower and more expensive. The program will commence upon financing.

About Premium Exploration Inc.

Premium Exploration Inc. (TSX-V:PEM) is an explorer and developer of precious metals projects with significant potential for near-term production and growth. Our projects are located in the USA and Mexico; stable regions where we have a history of success. Our team is committed to unlocking mineral wealth for our shareholders by discovering, developing, and permitting precious metals assets to production. The Company’s portfolio includes one of the largest land packages in Idaho, including an NI 43-101 gold resource, a PGM exploration project in Montana, and a past-producing silver project in Mexico. For additional information, please visit us at www.premiumexploration.com

This press release contains certain “Forward-Looking Statements” within the meaning of Section 21E of the United States Security Exchange Act of 1934, and involves a number of risks and uncertainties. Important factors that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the TSX Venture Exchange and the British Columbia Securities Commission. All statements, other than of historical fact, included herein 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. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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