Lake Shore Gold Announces Filing of Thunder Creek Technical Report

TORONTO, ONTARIO -- (Marketwire) -- 12/29/11 -- Lake Shore Gold Corp. (TSX: LSG)(NYSE Amex: LSG) ('Lake Shore Gold' or the 'Company') today announced that a technical report, entitled 'Technical Report on the Initial Mineral Resource Estimate for the 'Thunder Creek Property', Bristol Township, West of Timmins, Ontario, Canada.' has been filed on SEDAR at www.sedar.com.

The report includes the previously announced initial National Instrument ('NI') 43-101 resource for the wholly owned Thunder Creek deposit. The reported resource contains 2,877,000 tonnes at an average grade of 5.64 grams per tonne ('gpt') for 521,600 contained ounces of gold ('Au') in the Indicated category and 2,693,000 tonnes at an average grade of 5.89 gpt for 510,000 ounces Au in the Inferred category.

Qualified Persons

The Company's Qualified Persons ('QP') for the new NI 43-101 Technical Report for Thunder Creek are Dean Crick, P. Geo, Director of Geology, Bob Kusins, P. Geo, Chief Resource Geologist, and Dave Powers, P. Geo. Both Mr. Crick and Mr. Kusins are employees of Lake Shore Gold, while Mr. Powers is independent of Lake Shore Gold. All three are considered Qualified Persons according to the definitions of NI 43-101. As QPs, they have prepared or supervised the preparation of the scientific or technical information and have verified the data disclosed in this press release.

About Lake Shore Gold

Lake Shore Gold is a rapidly growing mining company with a vision to become a mid-tier gold producer through the successful exploration, development and operation of its properties in the Abitibi Greenstone belt in Northern Ontario and Quebec, starting with its strong base in Timmins, Ontario. In Timmins, the Company is in commercial production at the Timmins Mine, has intersected underground, and is developing along, mineralization at the adjacent Thunder Creek deposit and is advancing an underground advanced exploration program at its Bell Creek Mine. Mine production is delivered to the Company's wholly owned mill (located on the Bell Creek Property east of Timmins) which has been refurbished and expanded to a current capacity of 2,000 tonnes per day. The Company continues to invest aggressively in exploration in the Timmins Camp and in its other properties in Northern Ontario and Quebec. The Company's common shares trade on the TSX and NYSE Amex under the symbol LSG.

FORWARD-LOOKING STATEMENTS

Certain statements in this press release relating to the Company's expected production levels, production growth, exploration activities, potential for increasing resources, project expenditures and business plans are 'forward-looking statements' or 'forward-looking information' within the meaning of certain securities laws, including under the provisions of Canadian provincial securities laws and under the United States Private Securities Litigation Reform Act of 1995 and are referred to herein as 'forward-looking statements.' 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, including that operating and capital plans will not be disrupted by issues such as mechanical failure, unavailability of parts, labour disturbances, interruption in transportation or utilities, or adverse weather conditions, that there are no material unanticipated variations in budgeted costs, that contractors will complete projects according to schedule, and that actual mineralization on properties will be consistent with models and will not be less than identified mineral reserves. 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, delays in development or mining and 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 the Company's most recent Annual Information Form and other regulatory filings with the Canadian Securities Administrators, which are posted on sedar at www.sedar.com, or the Company's most recent Annual Report on Form 40-F and other regulatory filings with the Securities and Exchange Commission.

Contacts:

Lake Shore Gold Corp.

Tony Makuch

President & CEO

(416) 703-6298
info@lsgold.com


Lake Shore Gold Corp.

Mark Utting

Vice-President, Investor Relations

(416) 703-6298
info@lsgold.com
www.lsgold.com