Mr. Brent Johnson Reports Option Agreement Mina Pascua Property, Chile

By Mountain-west Resources Inc, PRNE
Monday, June 6, 2011

VANCOUVER, June 7, 2011 -

Further to the news release dated April 15, 2011, Mountain-West Resources
Inc. has now entered into a written option agreement with Jorge Lopehandia
and into a related historical disclosure agreement. Pursuant to the option
agreement, Mountain-West has acquired the right to purchase an option. The
price of purchasing the option is 2,000 troy ounces of gold. The purchase
price is payable as follows:

- $925,589.88 (U.S.), which amount Mr. Lopehandia has acknowledged

- A further $1-million within 10 days of exchange approval;

- The balance of the purchase price within 15 days of exchange approval,
which, among other things, is to confirm the registration of the option
agreement against the mining claims (using a price of gold of $1,500 (U.S.)
per troy ounce and an exchange ratio of $1 (Canadian) equals $1 (U.S.), the
balance would be $1,074,410.12).

There is no express provision in the option agreement for extending the
period in which to exercise the purchase right.

Upon exercise of the purchase right, Mr. Lopehandia will be deemed to
have been granted Mountain-West the option to purchase 50 per cent of the
property of Mr. Lopehandia, as described herein.

The option is exercised by delivering a notice of option exercise, which
must be delivered within one year of the grant of the option, and then paying
to Mr. Lopehandia 7 per cent of 18 million troy ounces of gold (assuming the
gold price and exchange rates listed herein, the exercise price would be
$1.89-billion). The payment and exercise of the option are conditional upon
the delivery of a legal opinion opining, amongst other things, that the
property is free and clear of all liens, charges, encumbrances, claims or
rights of any kind whatsoever, including, but not restricted to, those of the
owners of any underlying mining claims.

The option period may be extended for one year by the payment in cash of
the cost of 2,000 troy ounces of gold, as determined in the agreement.

If Mr. Lopehandia fails to provide clear title, then all funds provided
by the company become refundable. On the other hand, if for some other
reason, the company fails to exercise either the purchase right or the
option, then all amounts paid to Mr. Lopehandia become non-refundable.

The property includes Chilean mining claims that Mr. Lopehandia recently
acquired and which he claims cover a portion of Mina Pascua, which is the
Chilean portion of the mining deposit commonly called the Pascua Lama
deposit, which lies in both Chile and Argentina. Barrick Gold Corp. claims to
own the Pascua Lama deposit and thus the Mina Pascua deposit.

Mr. Lopehandia has a legal dispute with Barrick.

For further information:

(Note: This displays 1/3 of the actual News Release. To view in its
entirety, please go to, MWR Company Profiles.)

Contact: Bruce Olivier - +1-403-380-3255


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