IKINA REEFS

Lakota Resources has entered into a definitive agreement in respect of a previously-announced indicative offer made by Gold Fields to Lakota regarding its Bulyanhulu area properties in Tanzania. These properties, previously referred to as ‘Ikina Reefs’, ‘Tannor’ and ‘Bemuda’, constitute the "Tembo Project". The Tembo Project properties join the western boundary of the Bulyanhulu mine licence (Barrick) and cover the northwest projection of the Bulyanhulu geology. The Ikina property hosts a number of artisanal mining sites. Anomalous gold values have been obtained from an artisanal site on the Bemuda licence. A comprehensive exploration program consisting of airborne geophysical surveys, soil sampling, mapping and drilling over the entire area is planned to be carried out during the 12 month period commencing in September 2003.

Lakota Resources has signed an indicative offer with Gold Fields on the Bulyanhulu area Ikina Reefs, Tannor and Bemuda properties which constitute the Tembo Project in Tanzania. These properties join the western boundary of the Bulyanhulu mine licence (Barrick) and cover the northwest projection of the Bulyanhulu geology. As part of the agreement, Lakota will grant Gold Fields an exclusive option to enter into a JV agreement on the Tembo Project which may be exercised by Gold Fields for a period of 15 months from the date of the closing of a private placement and incurring CAD800,000 in exploration expenditures from the private placement. Following the option period, Gold Fields can earn a 51% vested interest by spending USD3 million on exploration and a further 19% interest by completing a bankable feasibility study on the Tembo Project. Lakota will act as project operator during the option and earn-in periods until Gold Fields has earned a 51% interest, at which time it will have the option to become the operator.

Lakota Resources has reached a final agreement with Spinifex Gold Limited, Sub-Sahara Resources N.L. for the purchase of their interests in the Ikina Reefs property in Tanzania. The share purchase agreement, which will close on March 17, will result in Lakota owing a 100% interest in this gold property on the western boundary of Barrick Gold’s Bulyanhulu gold mine. The consideration given for this acquisition is the issuance of 1,244,444 (post split) common shares of Lakota Resources divided 800,000 to Spinifex and 444,444 to Sub-Sahara. Lakota is preparing a definitive exploration program for the exploration and development of the property.