NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR:  HIGH RIVER GOLD MINES LTD.

TSX SYMBOL:  HRG

JULY 9, 2002 - 15:31 EDT

High River Acquires A New Gold Project In Russia

TORONTO, ONTARIO--High River Gold Mines Ltd. is pleased to 
announce it has entered into an agreement with the Russian 
company, Khaikta Ltd., to purchase a 100% interest in the 
Berezitovoye Project, located in the Amur Region of southern 
Siberia, Russia. The Berezitovoye deposit is amenable to low-cost,
open-pit mining and, based on the Russian classification system, 
contains established reserves of 1.38 million ounces of gold and 
6.49 million ounces of silver according to reports prepared for 
and approved by the Ministry of Geology of the Russian Federation 
in 1982. These reserve estimates have been calculated according to
standard Russian industry practice and do not conform to the 
Canadian Institute of Mining, Metallurgy and Petroleum (CIM) 
Standards on Mineral Resources and Reserves. As part of High 
River's due diligence process these reserves will be audited to 
conform to CIM standards. 

High River has agreed to pay Khaikta a maximum of 6,800,000 
treasury shares of High River together with cash payments 
totalling US $2,750,000, based upon the proven and probable gold 
reserves within the optimized pit boundary of a final feasibility 
study to be produced by High River. Payments to Khaikta will be 
made in two tranches, as follows: 


/T/

        $ payable on closing, Tranche I will consist of 4,650,000
        treasury shares of High River together with a cash payment
        of US $1,000,000;

        $ payable on completion of the mine feasibility study,
        Tranche II will consist of a maximum of 2,150,000 treasury
        shares and a maximum cash payment of US $1,750,000.

/T/

The acquisition is subject to final due diligence, board and 
regulatory approvals. 

The principal gold-polymetallic deposit at Berezitovoye occurs 
within a valley and is contained within a granitoid complex. The 
deposit strikes northwest-southeast and has the form of a large 
dilatant gash, which is approximately 750 metres in length, 100 
metres in width at its thickest portion and attenuates to about 
five to ten metres at its northwest and southeast extensions. Five
adits have been developed over a vertical distance of 150 metres 
on the feature, four of which are within the ore body and have 
been used to sample the ore zone. The underground workings were 
used to channel sample the mineralization and to provide bulk 
samples. In addition to cross cuts every 50 to 100 metres, several
raises were driven and drill stations were cut every 25 to 50 
metres for underground drilling. 

The deposit consists of 14.1 million tonnes (B plus C1 Russian 
reserve categories using a cut-off grade of 1.0 grams per tonne 
gold) grading 3.05 grams of gold per tonne, 14.31 grams of silver 
per tonne, 0.93% zinc and 0.57% lead. The centre of gravity of the
zone is situated within a gently sloping valley, and it appears 
that the core of the deposit will constitute an excellent 
starter-pit. This higher grade core zone is estimated to be 7.1 
million tonnes grading 3.68 grams of gold per tonne and 14.57 
grams of silver per tonne, containing approximately 840,000 ounces
of gold. A low strip ratio of approximately 1:1 initially is 
expected to grow to 5:1 over time. Historical metallurgical 
testing from bulk samples indicated approximately 28% of the gold 
would be recovered by gravity with the remainder recovered by 
direct cyanidation at a 90%-92% recovery rate with no deleterious 
elements. 

The project has excellent logistics and is readily accessible by 
good gravel roads from the city of Tynda, located near the 
intersection of the Trans Siberian and Baikal-Amur railways. Power
is available from several coal-fired generating plants and a local
electricity grid line which passes within 60 kilometres of the 
project. The Berezitovoye Project will be developed jointly with 
the Russian company, OJSC Buryatzoloto, who will also be operator.
Buryatzoloto is 54.5% owned by High River. Terms of the 
management, development and ownership arrangements with 
Buryatzoloto will be established following further discussion. 

In addition to the known deposit, the property provides 
significant exploration potential. A number of satellite targets, 
also identified by geochemical and electromagnetic methods, have 
not yet been evaluated by drilling. The agreement provides for 
Khaikta to receive additional compensation should additional 
reserves be delineated on these identified anomalies. Khaikta 
could receive up to US $1.8 million, payable in High River shares,
if an additional 13 million ounces of reserves are defined during 
the five year period following closing. 

Berezitovoye represents the first acquisition by High River and 
Buryatzoloto as part of their mandate for aggressive growth in 
Russia. Berezitovoye appears to meet High River's project 
acquisition criteria: having annual gold production potential of 
100,000 ounces per year, for at least a ten year period, with the 
ability to generate early cash flow. The acquisition significantly
increases High River's existing gold reserves of 960,000 ounces, 
as detailed in the New Britannia and Buryatzoloto project sections
of the High River website. High River and Buryatzoloto are also 
evaluating other acquisition opportunities in Russia meeting these
criteria. 

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