Lachlan Star: 138% Increase in Indicated Mineral Resource to 1.72 Million oz of Gold, Plus 36% Increase in Inferred Mineral Resource to 1.26 Million oz of Gold

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PERTH, WESTERN AUSTRALIA -- (Marketwire - Feb. 27, 2012) - Gold miner, Lachlan Star Limited ("Lachlan" or the "Company") (TSX: LSA) (ASX: LSA) is pleased to announce an updated and increased mineral resource for the combined El Sauce, Tres Perlas and Churrumata deposit (now referred to as Tres Perlas) at its 100% owned CMD Gold Mine in Chile.

The CMD Gold Mine Indicated mineral resource now contains 1,722,000 ounces of gold, which is a 138% (997,000 ounce) increase over the January 2012 Indicated mineral resource (725,000 ounces). In addition, the Inferred mineral resources contain a further 1,255,000 ounces of gold, which is an increase of 36% compared to the January 2012 Inferred mineral resource (923,000 ounces) as shown in Table 1.

Table 1 - Comparison of Feb 2012 and January 2012 CMD Gold Mine Global Mineral Resource Estimates

                 Jan 2012 Mineral  Feb 2012 Mineral
Classification   Resource (koz)    Resource (koz)     Oz's Change   % Change
Indicated            725                1,722            997          138%
Inferred             923                1,255            332          36%

Figure 1 illustrates the rapid growth in the CMD Gold Mine global resource base since the Company took ownership in December 2010, as well as the increasing confidence levels of the mineral resource estimates.

The full announcement is available at the link below:
http://media3.marketwire.com/docs/LSA0227.pdf



Contact Information

Lachlan Star Limited
Mick McMullen, Chairman
+61(0)8 9481 0051
mick.mcmullen@lachlanstar.com.au

Lachlan Star Limited
Declan Franzmann, Managing Director
+61(0)8 9481 0051
declan.franzmann@lachlanstar.com.au
www.lachlanstar.com.au