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Fire River Gold Corp. enters into Gold Stream Credit Agreement with Waterton Global Value, L.P.


April 4, 2012 Vancouver, Canada - Fire River Gold Corp. (TSXV: FAU), (OTCQX: FVGCF), (FSE: FWR) (the "Company") is pleased to announce that it has secured a USD$12.75 million gold-backed credit facility (the "Credit Facility") with Waterton Global Value Limited Partnership ("Waterton"). The Credit Facility will be used to fund the development of the Company's Nixon Fork Mine and to support its ongoing operational and logistical objectives. The Credit Facility is also earmarked to repay existing debt and to fund the working capital needs of the Company and its subsidiary, Mystery Creek Resources, Inc.

Each of Fire River Gold Corp., USA and Mystery Creek Resources, Inc. has issued a guarantee in favour of Waterton with respect to the obligations of the Company under the Credit Agreement. The Company's obligations in connection with the Credit Facility are secured by a lien and a first priority security interest in substantially all of its assets, including the Nixon Fork Mine. The Company has also issued a share pledge in favour of Waterton over its shares in each of Fire River Gold Corp., USA and Mystery Creek Resources, Inc.

The Credit Facility bears interest at a fixed rate of 5% per annum, consists of a single drawdown on closing and is repayable by April 30, 2014. As part of the transaction, the Company has agreed to sell to Waterton the gold and silver produced from the Nixon Fork Mine pursuant to a gold and silver supply agreement.

In connection with the Credit Facility, the Company will pay a cash structuring fee to Global Hunter Securities. The Company has also issued warrants (the "Warrants") to Waterton to purchase 8,250,000 common shares priced at CDN$0.23575 per common share. The Warrants expire three years from the date of closing and are subject to a four month hold period in accordance with applicable Canadian securities laws.

Richard Goodwin, the Company's President, reports, "The completion of this financing provides us with sufficient capital to extinguish our current debt, increase our bonding and to further develop the Nixon Fork Mine. We are very pleased to have Waterton as a strategic partner on operational and logistical matters."

Cheryl Brandon, Portfolio Manager at Waterton Global, stated "We look forward to working with Fire River Gold to provide the additional capital required for commissioning. In addition, we have provided Fire River access to our in-house technical team to further expand the Nixon Fork Gold mining operations in Alaska. The Waterton Global facility will allow Fire River to carry out further underground development, commission the CIL circuit to improve gold recoveries and execute their production growth strategy. We look forward to building a strong relationship with management as the Company moves forward into commercial production."

On behalf of the Board of Directors,

"Richard Goodwin"

Richard Goodwin


Cautionary Note Regarding Forward-Looking Statements

Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. A feasibility study has not been completed and there is no certainty the disclosed targets will be reached nor that the proposed operations will be economically viable. Neither 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. We seek safe harbour.

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