Premium Exploration Inc.

VANCOUVER, BRITISH COLUMBIA (January 9, 2009) – Premium Exploration, Inc. (TSX-V:PEM) (“Premium”) is closely monitoring the progress of the merger between Premium’s joint venture partner, Beartooth Platinum Corp. (TSX-V:BTP) (“Beartooth”) and Kria Resources Inc. (“Kria”).  Assay results are pending from the 2008 Drill Program on Chrome Mountain which Beartooth, the Operator, has yet to release to Premium.  Upon receiving information on the merger and assay results, management will provide an additional update.

On October 23, 2008, Premium’s joint venture partner, Beartooth announced that they had signed a letter of agreement, dated October 22, 2008, with Kria Resources Inc. (“Kria”).  Under the terms of the agreement, Beartooth will acquire all of the outstanding common shares of Kria in exchange for common shares of Beartooth (the “Transaction”).

The Transaction, which is subject to the completion of confirmatory due diligence by both Beartooth and Kria, regulatory approvals, court approval (if required) and obtaining shareholder approval, has been delayed.  U.S. Counsel is conducting a thorough review of the structure of the merger to ensure that the amalgamation of the two companies abides by the rules and regulations of the Securities Exchange Commission. 

Following completion of the Transaction, the Kria board and management team will become the board and management team of the combined company and the combined company will be renamed Kria Resources Inc.

Michael Johnson, President and CEO of Beartooth, said, “The capital market has become increasingly difficult for junior mineral exploration plays. We believe that Beartooth’s two properties offer interesting potential for future resource definition; however, it is difficult to finance exploration activities in this environment. Kria has cash on hand and two attractive advanced-stage development projects. We are excited about the potential growth associated with Kria’s assets.”

Michael Hoffman, President and CEO of Kria, commented “We are excited about the proposed transaction, which offers Kria an opportunity to go public.  Kria has successfully compiled two advanced projects, which offer defined mineral resources and the potential for future production. In addition, Kria has sufficient funds on hand to finance planned operations into 2009.”

About Premium Exploration, Inc.

Premium Exploration, Inc. is a unique precious metals explorer focused on Mexico and the USA.  Listed on the TSX Venture Exchange (TSX-V:PEM), Premium has assembled an innovative and successful management and advisory team, committed to maximizing shareholder exposure to precious metal discovery, the most profitable stage of exploration. Premium’s portfolio holds Gold, Silver and Platinum Group Metals projects in various stages of exploration, from grassroots to near production. http://www.premiumexploration.com/.

All prospective and current shareholders of Premium Exploration are invited to join the Company’s official investment forum exclusively at Pinnacle Digest: http://www.pinnacledigest.com/company/pem:ca. The forum allows for investor controlled discussion, questions and progressive feedback from other shareholders and investors. Third party reports on the company are also available at http://www.pinnacledigest.com./

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This press release contains certain “Forward-Looking Statements” within the meaning of Section 21E of the United States Security Exchange Act of 1934, and involves a number of risks and uncertainties.  Important factors that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the TSX Venture Exchange and the British Columbia Securities Commission.  All statements, other than of historical fact, included herein are forward-looking statements that involve various risks and uncertainties.  There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.  The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.