Golden Predator Signs Definitive Agreements with Silver Predator

Press Release Source: Golden Predator Corp. On Monday December 13, 2010, 9:30 am EST

TSX: GPD

www.goldenpredator.com

VANCOUVER, Dec. 13 /CNW/ - Golden Predator Corp. (TSX: GPD - News; "Golden Predator" or the "Company") is pleased to announce that it has signed definitive agreements with Silver Predator Corp. (CNSX:SPD "Silver Predator") to dispose of its Taylor, Treasure Hill, Silver Bow and Magistral properties located in Nevada and Mexico (collectively the "Transactions"). The Transactions are anticipated to close early in 2011.

"These transactions will create additional shareholder value by monetizing our underappreciated yet significant silver assets in Nevada," said William M. Sheriff, Chairman and CEO. "By combining our Taylor Project in Nevada with Rockhaven's Plata project in the Yukon along with proven management and a great technical team we have laid the foundations necessary for a very successful Nevada and Yukon focused silver exploration and development company. The success of this company will provide Golden Predator exposure to a rising silver market while at the same time creating a major impact on our balance sheet as the shares in Silver Predator will be reflected as current assets."

On closing of the Transactions, and prior to any further dilution Golden Predator will be Silver Predator's largest shareholder, owning approximately 20% of its issued and outstanding shares. William M. Sheriff, Chairman and CEO of Golden Predator, and John W. Legg, President and Director of Golden Predator, will sit on Silver Predator's Board of Directors.

Silver Predator concurrently signed agreements to acquire 16 additional predominantly silver exploration and development properties located in Yukon and British Columbia from Rockhaven Resources Ltd. (TSX-V:RK "Rockhaven Resources Ltd.") and Strategic Metals Ltd. (TSX-V:SMD "Strategic Metals").

Transactions

<<

- Golden Predator has agreed to grant Silver Predator an option to

acquire a 100% interest in 261 unpatented mining claims and 4 patented

mining claims located in White Pine County, Nevada, known as the

Taylor Property, subject to certain royalty interests further

described below. The Taylor Property includes a NI 43-101 compliant

resource of 14.9 MM oz Ag from measured and indicated mineral

resources of 6,433,000 tons grading 2.31 oz/t Ag and 1.9 MM oz Ag from

an inferred mineral resource of 757,000 tons grading 2.54 oz/t Ag

(using a 1.2 oz/t Ag cutoff grade: Hester, 2009). The option is

structured as sales of the shares of Fury Explorations Ltd. ("Fury

Canada"), which in turn owns all of the shares of Anglo Nevada Metals

Corporation ("Anglo Nevada"). Anglo Nevada owns the Taylor Property.

As consideration for this option, Silver Predator will issue to Golden

Predator 1,000,000 of its common shares ("Common Shares"). To exercise

this option, Silver Predator must issue, in stages, a minimum of

11,000,000 additional Common Shares having a minimum aggregate value

of $7,254,000 but subject to a maximum of 17,463,333 shares. On

exercise of this option Silver Predator will grant to Golden Predator

a 2% net smelter royalty ("NSR") on all precious metals and 1% NSR on

all other metals, except for metals extracted from claims subject to

pre-existing royalties on which Golden Predator will receive a 1% NSR

on precious metals and 0.5% NSR on all other metals.

- Golden Predator has agreed to grant to Anglo Nevada a 10 year right

earn a 50% interest in the Taylor Mill Facility from Taylor Mining

Corp. ("Taylor Mining"), a wholly-owned subsidiary of Golden Predator.

The Taylor Mill Facility comprises five mill site claims and the

1,320 ton per day mill complex located thereon. The mill complex

includes primary, secondary and tertiary crushers, eight ball mills, a

leaching and counter-current decant thickening circuit, Merrill Crowe

equipment, a flotation circuit, a maintenance shop, an assay office,

an electrical substation and a mine office. To earn its 50% interest

Anglo Nevada must incur rehabilitation expenditures, invest operating

capital or pay to Taylor Mining (or some combination of the foregoing)

in an amount equal to the fair market value of the Taylor Mill

Facility (or, to the extent that cash payments are made to Taylor

Mining, in an amount equal to 50% of the fair market value). On Anglo

Nevada acquiring a 50% interest in the Taylor Mill Facility, Anglo

Nevada and Taylor Mining will enter into a joint venture agreement to

operate the Taylor Mill facility.

- Golden Predator has agreed to sell to Silver Predator's wholly-owned

subsidiary Silver Predator US Holding Corp. ("SPUS") its interest in

the Treasure Hill and Silver Bow Properties located in White Pine &

Nye Counties, Nevada owned by Golden Predator US Mines Inc. (a wholly-

owned subsidiary of Golden Predator) ("GPUS") and, through the

acquisition of Fury Exploration (Mexico) S. de R.L. de C.V. ("Fury

Mexico"), its interest in the Magistral property located in Jalisco

State, Mexico, for an aggregate of 4,000,000 Common Shares. The

Treasure Hill Property consists of 232 patented and unpatented mining

claims which are 100% owned by Golden Predator, and which are subject

to existing NSR royalties of between 2% and 3%. GPUS will retain a 1%

net profits interest ("NPI") on SPUS' interest in the Treasure Hill

Property. The Silver Bow Property consists of lease rights in

73 unpatented lode mining claims. The underlying owners of the Silver

Bow Property retain a 3% NSR. GPUS will retain a 1% NPI on SPUS'

interest in the Silver Bow Property, unless SPUS exercise its right to

purchase the existing NSR, in which case GPUS will be granted a 1% NSR

on all precious metals and 0.5% NSR on all other metals. Fury Mexico

owns 100% of the Magistral Property, with Southern Silver Exploration

Corp. (TSX-V:SSV "Southern") holding an option to acquire a 65%

interest in the Magistral Property. Provided that Southern exercises

its option, Golden Predator will retain a 1% NPI on Fury Mexico's

interest in the Magistral Property. In the event that Southern drops

its option, Fury Mexico will grant Golden Predator a 2% NSR on all

precious metals and 1% NSR on all other metals on the Magistral

Property.

>>

Closing

The Transactions are required to close on or before February 28, 2011

unless otherwise extended and are subject to several conditions precedent,

including receiving conditional approval for the listing of Silver Predator's

Common Shares on the Toronto Stock Exchange.

The technical content of this news release has been reviewed and approved by Corwin (Cor) Coe, A.Sc.T., B.Sc., P.Geo., the Company's Vice-President, Exploration (Canada) and a Qualified Person as defined by National Instrument 43-101.