MGP

0.9 Million Ounces of Gold in Measured and Indicated Resources and 0.38 Million Ounces of Gold in Inferred Resources

THUNDER BAY, ONTARIO--(Marketwired - Feb 13, 2014) - Mega Precious Metals Inc. (TSX-VENTURE:MGP) ("Mega") is pleased to announce an updated NI 43-101 mineral resource estimate for its North Madsen Gold Project ("North Madsen") in Red Lake, Ontario. The resource estimate has been completed by WSP (formerly GENIVAR). The new resource at USD $1,200 per ounce gold demonstrates significant improvements in the metallurgical recoveries, confidence and grade distribution from the previous resource estimate which used a gold price of USD $1,400 (see news release dated September 21, 2011). Mega's North Madsen gold deposits are adjacent to the Madsen and Buffalo Gold mines, which are the subject of a recently announced proposed acquisition by Laurentian Goldfields Ltd. from Claude Resources Inc.

North Madsen is estimated to contain a Measured (M) and Indicated (I) Resource of 0.9 M ounces of gold averaging 1.2 g/t Au and additional Inferred Resources of 0.38 M ounces of gold averaging 1.2 g/t Au. The resource utilizes a 3D block model and is constrained by geological domains.

Highlights:

• Surface/near surface (<250m from surface) Measured and Indicated Resources of 0.9 M Ounces of Gold at 1.2 g/t Au
• Surface/near surface Inferred Resources of 0.38 M Ounces of Gold
• All resources are open along strike and at depth
• 91-95% Metallurgical Recoveries
• Over 40,000 meters in 327 drill holes were incorporated into the geological model and includes over 25 new holes totaling 8,200 m of drilling since the previous resource update
• Improved confidence in the deposit with 70% of the resource in the Measured and Indicated categories
• Robust resource using a gold price of USD $1200 USD per ounce ($200 less than previous resource)
• Approximately 7 kms trucking distance from Madsen Mine Mill being acquired by Laurentian Goldfields Ltd. and Goldcorp Inc.'s Red Lake Mill

Glen Kuntz, P.Geo, President and CEO of Mega stated, "We are pleased to announce the North Madsen resource update which demonstrates material progress over the past three years. At a USD $1200 gold price the new resource exhibits the potential for continued growth in a location near mining infrastructure and trucking distance to mills within the established Red Lake Gold Camp. The Mega team recognized early on that the mineralization on the North Madsen project occurred in multiple stages. There is an early stage emplacement of lower grade gold mineralization and a later stage of high grade gold mineralization which became the focus of our drilling campaigns. This focus resulted in the discovery of two new gold zones plus the extension of our Buffalo Zone gold deposit. All of Mega's deposits cross the property boundary with either Laurentian Goldfields Ltd. or the Goldcorp/Premier Gold joint venture properties. The 2012 metallurgical testing confirms that all of these zones are amenable to conventional CIL processes that can achieve excellent recoveries of greater than 95%. Consequently, Mega's team believes its large and open pit gold resources with the potential for further growth holds significant strategic value in the Red Lake Gold Camp."

Note: due to rounding, some totals may not appear to total properly

• Current resource calculation used USD $1,200 per ounce of gold
• Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, socio-political, marketing, or other relevant issues.

All composites have been capped where appropriate. Cut-off grades are based on a price of USD $1,200 per ounce of gold and a number of operating cost and recovery assumptions (see details below).

Sensitivity Analysis

The Updated Resource Estimates represents a rigorous evaluation of the drilling, channel sampling and surface mapping completed to the end of December 2013. The most notable difference from previous estimates is the increase in overall ounces of the deposit at multiple cut-off grades (see sensitivity table below) and the continuing definition of the higher grade Buffalo Extension, South and Central Zones. Furthermore, the infill drilling program was successful at converting additional Inferred material into the Indicated category.

The resource remains open along strike and at depth with the deepest hole drilled to date of 290 vertical meters. The recent discovery at the South and Central deposits are estimated to contain an Inferred Resource of 34,000 ounces of gold averaging 0.91 g/t Au, at a 0.6 g/t Au cut-off grade.

The updated resource estimate, which meets the guidelines for reporting mineral exploration programs as set out in National Instrument 43-101, was based on 327 diamond drill hole totaling over 40,000 metres and 52 channel samples that tested five deposits across our claims and to a vertical depth of over 250 m and at drill spacing of 5 to 75 m. For the purpose of this news release, the resource estimate is reported at a cut-off grade of 0.6 g/t Au. The cut-off was chosen to better represent the higher-grade core to the mineralized zone and to provide continuity for future resource estimates when and if the Mega deems it appropriate.

The sensitivity table below presents the tonnes and grades from the block model used for the updated Mineral Resource Estimate at a range of cut-off grades in order to demonstrate the sensitivity of the estimates. The analysis indicates the robust nature of the overall resource and potential to optimize the grade and maximize margins.

The cut-off value of 0.6 g/t Au was derived using the parameters listed in the table below.

For the Updated Resource Estimate the Company has adopted the same approach that was used in previous estimates by specifically targeting higher-grade mineralization, modelling each of the mineralized domains, applying a conservative assay cap and restricting the search radius for all resources. This allows for a more realistic estimation of contained gold in the deposit and potential enhancement in the projects economic viability.

The mineral resource estimates used the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by CIM Standing Committee on Reserve Definitions and adopted by CIM Council on November 27, 2010. The mineral resource estimates are classified as "measured", "indicated", or "inferred" as defined by CIM. The Corporation intends to file a National Instrument 43-101 ("NI 43-101") compliant technical report in respect of the updated mineral resource estimate on SEDAR and on the Corporation's website within 45 days of this news release.

According to the CIM definitions, a Mineral Resource must be potentially economic in that it must be "in such form and quantity and of such grade or quality that it has reasonable prospects for economic extraction".

The quantity and grade of reported inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.

The QAQC protocols and corresponding sample preparation and shipment procedures for the North Madsen Project have been reviewed and approved by WSP.

Qualified Person Comments/Quality Control Procedures

This press release has been prepared and revised by Glen Kuntz P. Geo., President and Chief Executive Officer (CEO), Mr. Todd McCracken P.Geo. of WSP (formerly GENIVAR) all of which are Qualified Persons under the NI 43-101 guidelines. The resource estimate has been prepared in compliance with National Instrument 43-101 and form NI 43-101F1, which requires that the estimate be prepared in accordance with the "CIM Definition Standards on Mineral Resources and Mineral Reserves" as prepared by the CIM Standing Committee on Reserve Definitions and as adopted by CIM Council, December 11, 2005.

Glen Kuntz, P. Geo, President and CEO, is the Qualified Person for the information contained in this press release and is a Qualified Person defined by National Instrument 43-101. Glen was Sr. Resource Geologist at the Campbell Gold Mine and Global Spatial Data Systems Coordinator for Placer Dome, Vice President Enterprise Mining Solutions for Runge Ltd., and most recently, Chief Operating Officer with Mega Precious Metals.

Mega Precious Metals Inc. is a leading Canadian-based exploration company with a high quality pipeline of projects located in the mining friendly jurisdictions of Manitoba, Northwestern Ontario and Nunavut. The Company's significant portfolio includes the flagship Monument Bay Gold Tungsten Project in NE Manitoba as well as the N. Madsen Gold Project in the prolific gold mining district of Red Lake, Ontario. Mega has established a record of delivering rapid growth through their focused and low cost approach to exploration and resource development. The Company's common shares trade on the TSX Venture Exchange under the symbol MGP.

For further information and presentation material, please review the Mega website at www.megapmi.com.

Forward-looking Statements

Certain statements in this press release relating to the Company's exploration activities, project expenditures and business plans are "forward-looking statements" within the meaning of securities legislation. The Company does not intend, and does not assume any obligation, to update these forward-looking statements. These forward-looking statements represent management's best judgment based on current facts and assumptions that management considers reasonable. The Company makes no representation that reasonable business people in possession of the same information would reach the same conclusions. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. In particular, fluctuations in the price of gold or in currency markets could prevent the Company from achieving its targets. Readers should not place undue reliance on forward-looking statements. More information about risks and uncertainties affecting the Company and its business is available in Mega Precious Metal's filings which are posted on sedar at www.sedar.com.

There is no guarantee that drill results reported in this news release will lead to the identification of a deposit that can be mined economically, and further work is required to identify a reserve or resource.

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.

Mega Precious Metals Inc.Glen Kuntz, P.Geo.President, Chief Executive Officer & DirectorO: 807-766-3380TF: 877-592-3380info@megapmi.comMega Precious Metals Inc.Lance Dyll, CPA, CAChief Financial OfficerO: 807-766-3402ldyll@alyrisgroup.comwww.megapmi.com

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