Premier Hardrock Drilling Returns best gold intersection to-date and defines strong gold mineralization at tenacity target

    Shares Issued: 78,065,179

    THUNDER BAY, ON, March 20 /CNW/ - PREMIER GOLD MINES LIMITED (TSX:PG) is
pleased to announce that ongoing drilling at the Hardrock Project in
Geraldton, Northwestern Ontario: 1) has intersected the most significant
mineralization to date in the EP-Zone target; 2) has defined a robust
gold-bearing zone at the Tenacity target; and 3) demonstrates high-grade gold
potential in the Oreo Zone. This drilling continues to identify significant
near surface (open pit-style) mineralization contained within multiple zones
and continues to confirm high-grade potential proximal to existing mine
workings. Recent highlights include:

    <<
    -  EP-Zone mineralization has been intersected over a minimum strike
       length of 350 metres (m) with new intersections of up to 2.37 grams
       per tonne gold (g/t Au) across 62.7m.

    -  Tenacity mineralization (open pit and underground target) has returned
       near surface intersections of up to 4.13 g/t Au across 18.9 m with
       higher grade mineralization of up to 7.79 g/t Au across 5.5 m.

    -  Oreo drilling proximal to the historic North Zone mine workings
       continues to intersect high-grade gold mineralization with
       intersections up to 8.25 g/t Au across 2.0 m.
    >>

    Follow-up drilling, as well as testing of new targets, is on-going.
    "The consistency of drill results to date is remarkable and confirms
management's confidence that this project will develop into a significant gold
resource", stated Ewan Downie, President of Premier, "as gold mineralization
has been intersected in every target tested."

    EP-ZONE
    -------

    The EP-Zone is comprised of near-surface mineralization proximal to the
historic North Zone mine workings. Drilling has identified multiple sub-zones
within the EP target consisting of the South Limb (SL) and North Limb (NL).
Significant mineralization has been intersected over a strike length of 350
metres and remains open in all directions.

    The following tables demonstrate the potential of the EP-Zone,
highlighting mineralization within each horizon. These results demonstrate
continuity and grade within the EP-Zone, supporting management's belief that
historic and new results will be utilized in a NI43-101 compliant resource
calculation which is expected to be completed in Q4 2009.

    <<
    -------------------------------------------------------------------------
           Grid
           Coord-     Dip/
    Hole   inates   Azimuth   Intersection  Int.   Int.  Au     Au
    No.     (m)    (Degrees)  From-to (m)   (m)   (ft) (g/t)(oz/ton) EPZone
    -------------------------------------------------------------------------
    EP023 504949E  -55/180   111.0 - 122.4 11.40   37.4  1.36 0.04 North Limb
         5503237N including  120.7 - 122.4  1.70    5.6  7.46 0.22
                             146.2 - 147.5  1.30    4.3 13.15 0.38
    -------------------------------------------------------------------------
    EP024 504900E  -45/180   24.0 - 32.5    8.50   27.9  0.82 0.02
         5503189N            43.0 - 55.9   12.90   42.3  1.01 0.03 North Limb
    -------------------------------------------------------------------------
    EP025 504902E  -45/180   49.0 - 70.5   21.50   70.5  1.32 0.04 North Limb
         5503222N            96.0 - 100.0   4.00   13.1  2.07 0.06
                             106.0 - 109.0  3.00    9.8  9.51 0.28
    -------------------------------------------------------------------------
    EP026 504902E  -60/180   79.0 - 141.7  62.70  205.7  2.37 0.07 North Limb
         5503222N including  79.0 - 88.0    9.00   29.5  7.73 0.23
                  including  97.7 - 119.9  22.20   72.8  2.28 0.07
                  including  132.6 - 141.7  9.10   29.9  2.88 0.08
                             198.6 - 201.0  2.40    7.9  1.92 0.06
    -------------------------------------------------------------------------

    The following holes were previously released on March 11, 2009 and are in
the same cross-section as EP023, which demonstrate strong continuity of gold
grade.

    -------------------------------------------------------------------------
           Grid
           Coord-     Dip/
    Hole   inates   Azimuth   Intersection  Int.   Int.  Au     Au
    No.     (m)    (Degrees)   From-to (m)  (m)   (ft) (g/t)(oz/ton)  Zone
    -------------------------------------------------------------------------
    EP021 504948E  -50/180   8.90-17.90    9.00   29.5  3.07  0.09 North Limb
         5503189N  Incl.     15.40-17.90   2.50    8.2  8.06  0.23 North Limb
    -------------------------------------------------------------------------
    EP022 504948E  -50/180   52.00-61.00   9.00   29.5  2.62  0.08 North Limb
         5503213N            85.00-96.40  10.80   37.4  4.34  0.13 North Limb
                   Incl.     92.20-94.70   2.50    8.2 10.01  0.29 North Limb
                             103.00-106.20 3.20   10.5  1.08  0.03 North Limb
    -------------------------------------------------------------------------
    (*) True widths estimated at approximately 70% of intersection widths


    TENACITY ZONE
    -------------

    Initial drilling at the Tenacity Zone has confirmed the potential for both
open pit and underground gold mineralization. Drilling has defined a zone with
a strike length of more than 400 metres and is open in all directions. To
date, 20 holes have been drilled into this target with the initial 11
summarized in the following table. Of particular significance is an
intersection of 4.13 g/t Au across 18.9 m in the western most down-plunge
drill-hole, TN011.
    A longitudinal section of the Tenacity Zone, including historic intercepts
in this area, is available on the Premier website www.premiergoldmines.com.
    Follow-up drilling continues to intersect strong vein zones including
several occurrences of visible gold. These intercepts demonstrate significant
gold mineralization within the Tenacity Zone, which remains open down-plunge
of TN011:

    -------------------------------------------------------------------------
           Grid
           Coord-     Dip/
    Hole   inates   Azimuth   Intersection  Int.   Int.  Au     Au
    No.     (m)    (Degrees)   From-to (m)  (m)   (ft) (g/t)(oz/ton)  Zone
    -------------------------------------------------------------------------
    TN001 505749E  -50/360   58.6 - 82.0   23.40  76.8  1.72  0.05 Tenacity
         5502617N            88.5 - 89.5    1.00   3.3  2.68  0.08    TB
                             107.0 - 108.0  1.00   3.3 16.60  0.48 South HGV
    -------------------------------------------------------------------------
    TN002 505749E  -70/360   95.6 - 99.5    3.90  12.8  2.35  0.07 Tenacity
         5502617N            124.5 - 127.5  3.00   9.8  1.73  0.05    TB
    -------------------------------------------------------------------------
    TN003 505648E  -45/360   80.0 - 97.0   17.00  55.8  1.02  0.03 Tenacity
         5502605N
    -------------------------------------------------------------------------
    TN004 505647E  -55/360   169.0 - 170.4  1.40   4.6  1.20  0.04    TA
         5502557N            176.0 - 180.2  4.20  13.8  1.30  0.04 Tenacity
    -------------------------------------------------------------------------
    TN005 505549E  -50/360   174.1 - 190.5 16.40  53.8  2.25  0.07 Tenacity
         5502558N            196.5 - 198.0  1.50   4.9  2.55  0.07    TB
    -------------------------------------------------------------------------
    TN006 505551E  -50/360   26.8 - 29.5    2.70   8.9  1.77  0.05   Upper
                                                                   Tenacity
         5502504N            226.5 - 228.0  1.50   4.9  3.73  0.11 Tenacity
                             237.0 - 238.5  1.50   4.9  4.62  0.13 Tenacity
                             254.0 - 255.5  1.50   4.9  1.65  0.05    TB
    -------------------------------------------------------------------------
    TN007 505600E  -55/360        NSV
         5502485N
    -------------------------------------------------------------------------
    TN008 505651E  -45/360   31.5 - 42.7   11.20  36.8  2.15  0.06 Tenacity
         5502656N            53.0 - 78.3   25.30  83.0  2.25  0.07 Tenacity
    -------------------------------------------------------------------------
    TN009 505553E  -50/360   91.0 - 110.0  19.00  62.3  1.71  0.05 Tenacity
         5502605N            138.0 - 152.0 14.00  45.9  4.77  0.14 Tenacity
                             183.5 - 186.5  3.00   9.8  2.11  0.06 East Pit
    -------------------------------------------------------------------------
    TN010 505642E  -55/360   226.5 - 228.7  2.20  7.22  1.41  0.04 Tenacity
         5502497N
    -------------------------------------------------------------------------
    TN011 505450E  -50/360   257.8 - 276.7 18.90  62.0  4.13  0.12 Tenacity
         5502508N
    -------------------------------------------------------------------------
    (*) True widths estimated at approximately 70% of intersection widths
    (xx) NSV - No significant assay values

    OREO ZONE
    ---------

    The Oreo Zone was identified in historic drilling between the two main
producing horizons at Hardrock, namely the North Iron Formation and the
Porphyry Hill horizons. The historic drilling, testing for mineralization
between these horizons returned numerous high-grade intercepts in the area
currently being tested. The current program has intersected gold
mineralization within the Oreo Zone and proximal to the North Zone mine
workings. The following table provides results from the continued drilling at
the Oreo and North Zones:

    -------------------------------------------------------------------------
            Grid
           Coord-     Dip/
    Hole   inates   Azimuth   Intersection  Int.   Int.  Au     Au
    No.     (m)    (Degrees)   From-to (m)  (m)   (ft) (g/t)(oz/ton)  Zone
    -------------------------------------------------------------------------
    OR004 504601E  -60/360         NSV
         5502925N
    -------------------------------------------------------------------------
    OR005 504701E  -60/360   414.5 - 416.0  1.50   4.9 12.99  0.38   North
         5502921N
    -------------------------------------------------------------------------
    OR006 504653E  -55/360   96.0 - 109.0  13.00  42.6  2.03  0.06  West Pit
         5502729N  including 96.0 - 97.0    1.00   3.3 11.89  0.35  West Pit
                   including 107.5 - 109.0  1.50   4.9  5.02  0.15  West Pit
                             121.1 - 125.5  4.40  14.4  1.44  0.04    PHP
    -------------------------------------------------------------------------
    OR007 504602E  -60/360   110.5 - 112.0  1.50   4.9  2.68  0.08    DS
         5502865N
    -------------------------------------------------------------------------
    OR008 504700E  -60/360   57.2 - 58.7    1.50   4.9  1.70  0.05    PHP
         5502865N            98.7 - 111.3  12.60  41.3  1.75  0.05    PHP
                            129.0 - 129.8   0.80   2.6 13.30  0.39    PHP
                            156.1 - 157.6   1.50   4.9  5.54  0.16    DS
                            225.1 - 226.6   1.50   4.9  6.02  0.18    DS
    -------------------------------------------------------------------------
    OR009 504553E  -60/360  230.5 - 235.0   4.50  14.8  1.30  0.04    DS
         5502927N           263.5 - 271.0   7.50  24.6  1.48  0.04    Oreo
                            316.2 - 318.2   2.00   6.6  8.25  0.24    Oreo
                            349.7 - 350.7   1.00   3.3 10.20  0.30    Oreo
                            367.4 - 374.0   6.60  21.7  2.10  0.06    North
                            368.3 - 369.5   1.20   3.9  3.46  0.10    North
                            372.5 - 373.0   0.50   1.6 10.60  0.31    North
                            379.4 - 379.9   0.50   1.6 10.10  0.29    North
    -------------------------------------------------------------------------
    (*)True widths are estimated at approximately 70% of intersection widths
    >>

    The current program at Hardrock is expected to consist of more than
50,000 metres of definition and exploration drilling.  The Project is operated
under a joint venture with Roxmark Mines Limited (TSX-V:RMK) (Premier earning
a 70% interest).  The Hardrock Project is host to several past-producing mines
which collectively produced more than 2.0 Million ounces of gold from the same
deposits to relatively shallow depths of approximately 2000 feet (600 metres)
from 1938-1968.  The mined zones remained open at depth at the time mining
ceased and developed historical resources were left in place within the
existing mine workings (a qualified person has not done sufficient work to
verify the historical resource, the company is not treating the historical
resource as a current resource and the historical resource should not be
relied upon).  Importantly, the Hardrock Project has the potential for
defining several styles of mineralization capable of hosting resources, with
grades and widths similar to many of Ontario's major gold mines including:

    <<
    1)  Open pit-style mineralization with grades exceeding 1.5 g/t Au
        (Timmins, Hemlo)
    2)  Broad zones of mineralization with grades averaging 5.0+ g/t Au
        (Musselwhite)
    3)  Narrow vein zones with higher gold grades often exceeding 7.0g/t (Red
        Lake, Pickle Lake)
    >>

    Initial drilling with four drills is focusing on delineating both open
pit and underground resources with the goal of defining a multi-million ounce
gold resource that can be moved quickly towards development (See references to
historical resources above.). The Project offers development advantages with
the Trans-Canada Highway, Trans-Canada Pipeline, and major power lines running
through the center of the property. Significant potential exists for
developing resources in several areas including: 1) Open pit-style
mineralization at the site of the original discovery where a resource
containing several hundred thousand ounces of gold was partially drilled off
by previous operators; 2) Several newer high-grade discoveries have been made
throughout this large property package that have received little to no
follow-up; 3) Resource blocks reported to remain within the mine workings;
and, 4) The main mined zones which remain open below the 600m Level.
    Stephen McGibbon, P. Geo., is the Qualified Person for the information
contained in this press release and is a Qualified Person within the meaning
of National Instrument 43-101. The assay results are from core samples sent to
Activation Laboratories, an accredited mineral analysis laboratory in Thunder
Bay, Ontario, for preparation and analysis utilizing both fire assay and
screen metallic methods.

    Premier Gold Mines Limited is a well financed Canadian-based mineral
exploration and development company with several projects and deposits in
Northwestern Ontario and a joint venture in Mexico. In the Red Lake gold
mining camp, two of these are operated in joint venture with Red Lake Gold
Mines. The company also owns a strategic project located on the main
Musselwhite Gold Mine trend

    The statements made in this Press Release may contain forward-looking
statements that may involve a number of risks and uncertainties. Actual events
or results could differ materially from the Company's expectations and
projections.
    %SEDAR: 00024152E

For further information: Ewan Downie, President & CEO, Phone: (807)
346-1390, Fax: (807) 346-0100, E-mail: info@premiergoldmines.com, Web Site: