RMB Rumbu Holdings Ltd

Sutter Gold Mining Inc. (TSX VENTURE:SGM)(OTCQX:SGMNF) ("Sutter" or the
"Company") announced today that it has closed on an agreement with RMB Australia
Holdings Ltd. ("RMB") pursuant to which RMB has agreed to increase the existing
secured, short term debt facility of US$12 million (the "Original Facility") by
an additional US$8 million (the "Extended Facility", together with the Original
Facility, the "Facility") (see press release dated October 18, 2012). The
Extended Facility will be used for the completion of the construction of the
Lincoln Mine Project (the "Project") near Sutter Creek, California, and for
agreed general corporate purposes. With this Extended Facility, RMB has now made
an aggregate of US$20 million available to the Company, of which US$12 million
has been drawn by the Company. In addition, the Facility's due date has been
extended from June 30, 2013 to June 30, 2014 and now bears interest at the rate
of LIBOR plus 15% per annum. 


The Extended Facility is subject to an arrangement fee of 5% of the Extended
Facility, which will be paid to RMB Resources Inc. or to RMB on the first draw
down on the Extended Facility. The security granted by the Company is consistent
with that under the existing prepaid gold facility with RMB and includes a first
ranking charge over the Project. 


A Special Committee of the Board of Directors of the Company, comprised solely
of independent directors of the Company, was established to review, consider and
make recommendations to the Board of Directors of the Company with respect to
the Extended Facility. The Special Committee determined that the terms of the
Extended Facility are reasonable in the circumstances of the Company and
recommended that the Board of Directors of the Company approve the Extended
Facility. 


The Extended Facility is a "related party transaction" within the meaning of
Multilateral Instrument 61-101 - Protection of Minority Security Holders in
Special Transactions ("MI 61-101") and the policies of the Exchange as a result
of the fact that RMB is an affiliate of an entity that owns approximately 48.1%
of the issued and outstanding shares of the Company. The Company has relied on
the exemptions from the formal valuation and minority shareholder requirements
of MI 61-101 contained in sections 5.5(b) and 5.7(e) of MI 61-101 in connection
with the Extended Facility. The Company did not file a material change report
more than 21 days before the expected closing of the Extended Facility as
details of the Extended Facility were not settled until shortly before the
closing of the Extended Facility.


About Sutter

Sutter is a growth-oriented exploration and development company preparing to
become a North American gold producer. The Company has two projects: the Lincoln
Project located in Amador County, California and the Santa Theresa Project
located in the Northern Baja region of Mexico. Currently, the Company's primary
focus is the evaluation and development of the Lincoln Project, beginning with
the shallow portion of the Lincoln-Comet ore zone of the Lincoln Project,
located on the California Mother Lode Gold Belt. The Lincoln-Comet and Keystone
zones have a NI 43-101 compliant Indicated Resource estimate (completed in
February 2008) of 612,400 tonnes (673,600 tons) grading 11.3 g/t Au (0.33
oz/ton) containing 223,000 ounces of gold and Inferred Resources of 2,161,700
tonnes (2,377,900 tons) grading 6.6 g/t Au (0.19 oz/ton) containing 458,900
ounces of gold.


Sutter currently controls approximately 4.6 miles of the Mother Lode of Amador
County, with 90% of the property still unexplored. Potential exists both at
depth and along strike of the known mineralized zones on both the footwall and
hanging wall. The 120-mile long Mother Lode Gold Belt produced over 13 million
ounces of gold historically with 7.9 million ounces originating from the 10-mile
long segment between Jackson and Plymouth where the Lincoln Project is
strategically located. Properties under the Company's control include seven
historic mines with significant historic gold production totaling over 3.5
million ounces or 27% of the historic gold production from the Mother Lode.
Historic mines located north and south of the Lincoln Project in the Jackson to
Plymouth segment of the Mother Lode success fully mined gold to depths of 4,500
and 6,300 feet, respectively.


In Mexico, Sutter holds the rights to the geologically similar, high-grade El
Alamo district of northern Baja, where historic mining to the water table
produced mined grades of 30 to 60 g/t gold. Initial exploration with its
joint-venture partner, Premier Gold, has demonstrated the extension of
high-grade veins.


ON BEHALF OF THE BOARD OF DIRECTORS:

Dr. Leanne M. Baker, President, CEO & Director, Sutter Gold Mining Inc.

Forward-Looking Statements

This news release contains "forward-looking information" under Canadian
securities law. Any information that express or involve discussions with respect
to predictions, expectations, beliefs, plans, projections, objectives,
assumptions or future events or performance (often, but not always, using words
such as "expect", "anticipate", "believe", "plans", "estimate", "scheduling",
"projected" or variations thereof or stating that certain actions, events or
results "may", "could", "would", "might" or "will" be taken, occur or be
achieved, or the negative of any of these terms and similar expressions) are not
statements of historical fact and may be forward-looking information.
Forward-looking information relates to, among other things: the price of silver
and gold; the accuracy of mineral resource and mineral reserve estimates; the
ability of the Company to finance its operations and capital expenditures;
future financial and operating performance including estimates of the Company's
revenues and capital expenditures and estimated production. 


Forward-looking information is subject to a variety of known and unknown risks,
uncertainties and other factors that could cause actual events or results to
differ from those reflected in the forward-looking information, including,
without limitation, risks relating to: fluctuating commodity prices; calculation
of resources, reserves and mineralization and precious and base metal recovery;
interpretations and assumptions of mineral resource and mineral reserve
estimates; exploration and development programs; feasibility and engineering
reports; permits and licenses; title to properties; recent market events and
conditions; economic factors affecting the Company; timing, estimated amount,
capital and operating expenditures and economic returns of future production;
operations and political conditions; environmental risks; and risks and hazards
of mining operations. This list is not exhaustive of the factors that may affect
any of the Company's forward-looking information. Forward-looking information
about the future is inherently uncertain, and actual achievements of the Company
or other future events or conditions may differ materially from those reflected
in the forward-looking information due to a variety of risks, uncertainties and
other factors. Although the Company has attempted to identify important factors
that could cause actual results to differ materially, there may be other factors
that cause results not to be as anticipated, estimated, described or intended.
Accordingly, readers should not place undue reliance on forward-looking
statements or information. The Company's forward-looking information is based on
the assumptions, beliefs, expectations and opinions of management as of the date
of this press release, and other than as required by applicable securities laws,
the Company does not assume any obligation to update forward-looking statements
and information if circumstances or management's assumptions, beliefs,
expectations or opinions should change, or changes in any other events affecting
such statements or information. For the reasons set forth above, investors
should not place undue reliance on forward-looking information. 


FOR FURTHER INFORMATION PLEASE CONTACT: 
Sutter Gold Mining Inc.
Robert Hutmacher
Chief Financial Officer
303 238 1438 ext. 22
bhutmacher@suttergoldmining.com
www.suttergoldmining.com

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