Colossus Drills 3.30 Metres at 54.48 g/t Gold, 0.69 g/t Platinum and 5.42 g/t Palladium in the GT Zone and Successfully Closes the Gap Between the GT and Central Mineralized Zones

HIGHLIGHTS

• For the first time, drilling has closed the gap between the GT Zone and Central Mineralized Zone ("CMZ") on sections 50NE and 100NE validating the exploration team's effort in demonstrating continuity between the CMZ and GT Zone.
• The gap on sections 75NE and 175NE continues to narrow with drill holes SPD-161 and SPD-154 having extended the GT Zone approximately 30 and 45 metres respectively closer to the CMZ in these sections. Further drilling will attempt to eliminate the remaining gaps on these sections.
• SPD-159 intersected 5.30 metres at23.49 g/t gold, 0.06 g/t platinum and 0.22 g/t palladium extending mineralization along the upper limb of the fold, up-dip from the CMZ by approximately 27 metres.
• SPD-165 intersected the GT Zone and returned 54.48g/t gold, 0.69 g/t platinum and 5.42g/t palladium over 3.30 metres. SPD-165 was a 25 metre step-out from hole SPD-142 that returned 9.8 metres at 109.89 g/t gold, 0.75 g/t platinum and 15.51 g/t palladium including 0.80 metres at 1,336.13 g/t gold, 8.46 g/t platinum and 188.14 g/t palladium (see April 25, 2012 press release) and continues to prove the high-grade potential of the GT Zone.

Claudio Mancuso, President & CEO of Colossus commented, "Our drill campaign continues to expand the GT Zone and add mineralization along the untapped portions of the upper limb. We have now closed the gap between the GT Zone and the CMZ on two sections and will continue to try to demonstrate the lower limb and CMZ are one deposit along the 600 metres of strike length proven to date at Serra Pelada. The upper limb is becoming significant as we continue to intersect high-grade mineralization there. We are optimistic of the potential for this area to become a meaningful part of the overall mineralization at Serra Pelada."

DETAILS

This release documents results (Table 1, below) from drilling of the GT Zone and that portion of the lower limb between the GT Zone and the CMZ, the significance of which are also discussed. Figure 1 shows the positions of the new drill holes and plan views of the mineralized zones being explored on the Serra Pelada property. Figures 2 and 3 are cross-sections highlighting some of the holes discussed in this release but do not include all the results for the past drill holes found in the sections.

TABLE 1: SIGNIFICANT DRILLING RESULTS

GT and Lower Limb Zones

The drill results are from the follow-up work being conducted on the GT Zone and the area between the GT Zone and the lower portion of the CMZ. Both of these areas are part of the lower limb portion of the large fold structure hosting the mineralization on the Serra Pelada property. The results continue to prove that the lower limb in this area of the property is well mineralized and returns encouraging precious metal results. The Company has now completed the infill drilling on sections 50NE and 100NE and can see that the mineralization is contiguous from the formerly identified GT Zone area through the GT-CMZ gap area and into the lower limb portion of the CMZ. This is very encouraging and confirms that the zones do connect. The current exploration drilling is focused on extending the GT zone southeastward and filling in the gap between the GT Zone and lower limb portion of the CMZ on those sections that still have little to no drill-hole information between the two zones. Drilling is underway to begin to test for the extension of the lower limb mineralization up-dip of the limb towards the northwest which is in the direction of the LL Zone.

Colossus is encouraged by the recent results and remains optimistic that it can expand the mineralization along the lower limb in the up dip direction while continuing to connect the GT Zone and CMZ.

With the current drilling results now demonstrating that the GT Zone and the CMZ are connected, going forward all of the intercepts in the lower limb of the large fold structure hosting the mineralization at the Serra Pelada mine will be referred to as Lower Limb and the reference to the GT Zone will no longer be used in order to avoid confusion.

• SPD-153 was drilled near section 50NE and designed to test the gap between the GT Zone and the CMZ. The hole intersected two higher grade intervals of 6.64 g/t gold, 0.15 g/t platinum and0.60 g/t palladium over 0.75 metres and 12.65 g/t gold, 0.31 g/tplatinum and 0.56 g/t palladium over 1.0 metre in a broader lower grade envelope of mineralization representing the lower limb zone. Importantly, this hole closes the gap between the two zones along this section thus confirming that the mineralization is contiguous in the large scale fold structure along the lower limb.

• SPD-154 was drilled on section 175NE and designed to test for the presence of mineralization between a roughly 90 metre gap between the GT Zone and the CMZ. The hole returned 4.13 g/t gold, 13.40 g/t platinum and 19.93 g/tpalladium over a 4.00 metre interval and confirms the continuity of the mineralization between the two zones. Additional drilling will tighten up the greater than 40 metre wide gaps that still remain on this section.

• SPD-158 was drilled on section 100NE and designed to test an open area between the GT Zone and the lower limb portion of the CMZ. The hole intersected a mineralized portion of the lower limb roughly 25 metres south east of the defined GT Zone. The hole returned 7.57 g/t gold, 1.55 g/t platinum and 4.07g/t palladium over 6.35 metres and closed the gap between the two zones demonstrating once again that the lower limb mineralization is contiguous from the GT Zone to the bottom of the CMZ.

• SPD-159 was drilled on section 75NE and designed to fill in a gap in the drilling of the lower limb portion of the CMZ in this area. The hole intersected an upper limb mineralized zone containing 23.49 g/t gold, 0.06 g/t platinum and 0.22g/t palladium over 5.30 metres and a lower limb mineralized interval of 5.94 g/t gold, 0.31 g/t platinum and 0.72g/t palladium over 5.50 metres confirming the presence of the zone in this area and filling in the gap in the model.

• SPD-161 was drilled on section 75NE and designed to test for the presence of the GT Zone mineralization in an area where no drill hole data had previously existed. The hole was successful in intersecting a broad mineralized envelope that returned 3.17 g/t gold, 1.97 g/t platinum and 2.63 g/t palladium over 13.7metres including a higher grade core that returned 5.26 g/t gold, 4.14 g/t platinum and 5.30 g/t palladium over6.4 metres. This hole was collared on the same section and roughly 95 metres northwest of hole SPD-159 described above. Upcoming drilling will fill in the approximately 100 metre distance that exists between these two holes.

• SPD-165 was drilled on section 375NE and designed to intersect the GT Zone mineralization 25 metres southeast of the bonanza grade interval recently encountered in hole SPD-142 (see press release dated April 25, 2012). The hole returned 54.48 g/t gold, 0.69 g/t platinum and 5.42 g/t palladium over 3.30 metres confirming that the high grade mineralization continues in the direction of the historic Serra Pelada pit. Drilling is currently testing the up-dip direction behind the bonanza hole.

Upper Limb

The upper limb mineralization encountered in hole SPD-159 returned values of 23.49 g/t gold, 0.06 g/t platinum and 0.22 g/t palladium over a 5.30 metre interval making it one of the best upper limb results in this year's drilling campaign and extends the upper limb mineralization up-dip of the zone by roughly 27 metres. The drilling will continue testing the upper limb at the same time as the lower limb mineralization which is the main focus of the current campaign.

Serra Pelada Geology

Gold-platinum-palladium mineralization at Serra Pelada overprints metasediments occupying the hinge of a large fold. The CMZ comprises a steeply dipping body in the fold hinge zone that extends onto the upper and lower limbs of the fold. The GT Zone and the lower limb mineralization in general represents shallow dipping gold-platinum-palladium mineralization and predominantly occurs associated with an iron oxide rich breccia.

Technical Information

Diamond drilling was HQ cored. Sampling of core by Colossus personnel and sample preparation by Intertek Limited, Parauapebas and SGS Geosol, Parauapebas, Brazil were carried out under strict protocols recommended in the National Instrument 43-101 Technical Report dated January 31, 2010 on the Serra Pelada Project. After photographing and logging, core sample intervals were cut and/or split in half, yielding samples of various weights depending on the sample length. Where core recoveries were low, intervals were composited to yield approximately one kilogram minimum sample mass. Intertek and SGS Geosol pulverize one or two kilogram splits (>95% passing 106 microns) from the crushed (>95% passing 1.7 mm), dried samples. Duplicates, blanks and certified gold-PGE reference materials were inserted in the sample train by Colossus personnel prior to Intertek preparation work.

The labs insert additional blanks, duplicates and high grade gold/PGE reference materials in the assay stream and replicate or duplicate assays were performed routinely and on most medium- to high-grade materials. Fire assays for gold, platinum and palladium were on 25 gram subsamples utilizing a lead-rich collector material and AA finish.

The Intertek and SGS Geosol assay results for blanks, duplicates, replicates and also all reference materials were well within generally accepted QA/QC measures. A 200 gram aliquot of medium and high grade pulps were rotary split from each pulp by Intertek and SGS Geosol and one of these samples was securely shipped directly by Intertek to Genalysis Limited, Perth Laboratory for check assaying. A similar procedure is used for samples assayed at the SGS Geosol lab with the samples being securely transported to the Intertek lab in Parauapebas, Brazil for check assaying.

Graham Long, Vice President, Exploration of Colossus, is a qualified person under National Instrument 43-101 and is responsible for this release and has verified the contents disclosed.

About Colossus:

Colossus is a development-stage mining company focused on bringing its Serra Pelada Project into production. Serra Pelada, located in the mineral prolific Carajas region in the State of Pará, Brazil, is host to one of the highest grade gold and platinum group metals deposits in the world. Between 1980 and 1986 Serra Pelada was host to the largest precious metals rush in Latin American history. Coverage of this famous mining rush by 60 Minutes can be viewed by following the link below. Colossus' common shares, warrants and notes trade on the Toronto Stock Exchange (TSX) under the symbols CSI, CSI.WT.A and CSI.NT respectively and in the United States its Common Shares trade on the OTCQX under the symbol COLUF. The Company is headquartered in Toronto, Canada.

http://video.au.msn.com/watch/video/the-treasure-of-serra-pelada/xx3k2px

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Forward-looking statements in this press release include statements regarding the timing and nature of future exploration and development programs that are dependent on projections that may change as drilling continues, or if unexpected ground conditions are encountered. The Company does not currently have any mineral properties that are in production or that contain a reserve as defined by National Instrument 43-101. In addition, areas of exploration potential are identified which will require additional drilling to determine whether or not they contain similar mineralization to areas that have been explored in more detail. Significant additional drilling is required at Serra Pelada to fully understand system size.

Except for statements of historical fact relating to Colossus, certain statements in this press release relating but not limited to the Company's exploration and development plans, activities and intentions, constitute "forward‐looking information" within the meaning of the Securities Act (Ontario) or "forward‐looking statements" within the meaning of the United States Private Litigation Reform Act of 1995. These forward-looking statements represent management's best judgment based on current facts and assumptions that management considers reasonable. Forward‐looking statements are frequently characterized by words such as "target", "plan", "expect", "project", "intend", believe", "anticipate" and other similar words, or statements that certain events or conditions "appear to", "may" or "will" occur. Forward‐looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward‐looking statements. The factors include but are not limited to risks related to the joint venture operation, actual results of exploration activities, the inherent risks involved in the exploration and development of mineral properties, changes in project parameters as plans continue to be refined, delays in obtaining government approvals, the uncertainties of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, the uncertainties inherent to conducting business in Brazil and the rest of Latin America, the availability of equipment and supplies, unexpected adverse climate conditions, the reliance on only a few key members of management, as well as those factors discussed in the section entitled "Risk Factors" in the Company's most recent Annual Information Form filed with Canadian provincial securities regulatory authorities and other regulatory filings which are posted on SEDAR at www.sedar.com. Unless required by law, Colossus undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward‐looking statements.

To view Figure 1: Plan View of Serra Pelada Mineralized Zones, please visit the following link: http://media3.marketwire.com/docs/csi0618planview.pdf.

To view Figure 2: Cross-Section of 50NE, please visit the following link: http://media3.marketwire.com/docs/csi0618_crosssection50ne.pdf.

To view Figure 3: Cross-Section of 100NE, please visit the following link: http://media3.marketwire.com/docs/csi0618_crosssection100ne.pdf.