Crocodile Gold Executes Three Key Contracts for Its Northern Territory Operations

TORONTO, ONTARIO--(Marketwired - Feb. 3, 2014) - Crocodile Gold Corp. (TSX:CRK)(OTCQX:CROCF)(FRANKFURT:XGC) ("Crocodile Gold" or the "Company") announces today that it has entered into three key contracts to support the Company's mining operations in the Northern Territory, Australia. The contract to provide underground mining services at the Cosmo Gold Mine has been awarded to Downer EDI Mining Pty Ltd ("Downer EDI") and the diamond drilling contract for the Cosmo Gold Mine has been awarded to Boart Longyear. Once implemented, Crocodile Gold expects to see a reduction in costs from the execution of these important contracts. In addition, the Company has negotiated a new power supply contract with the Northern Territory Power and Water Corporation.

Rodney Lamond, President and CEO of Crocodile Gold, commented: "I am very pleased with the outcome of the contract tender processes and the outcome with the negotiations of the power supply contract. I believe the tendering processes have been completed using a fair and transparent process that has identified the best contractors for Crocodile Gold to partner with for the coming two years. I also feel that the contract terms provide the Company and our new partners with the necessary flexibility and scalability in order to be responsive and adaptable to future variables, while also having a positive impact on our operational costs in the Northern Territory."

Underground Mining Contract

Crocodile Gold is pleased to award its underground mining services contract for the Cosmo Gold Mine to Downer EDI for a period of two years, with the option to extend for a third year. A thorough tender process was utilized to ensure a fair and transparent approach. Interested parties were evaluated on various non-price dependant variables such as personnel, capabilities and fleet management. Preferred parties were subsequently invited to site to gain a better understanding of the operation. Based on the fully priced tenders and the review of non-price variables the Company selected Downer EDI as the preferred contractor. Crocodile Gold expects a reduction in the cost of underground mining with this new contract, in addition to increased flexibility and scalability. Downer EDI will mobilize on site in March to take over mining operations and will work closely with management to ensure minimal impact to production levels.