TORONTO, ONTARIO--(Marketwire - May 3, 2012) - QUEENSTON MINING INC. (News - Market indicators)(FRANKFURT:QMI)(OTCQX:QNMNF) ("Queenston or the Company") is pleased to announce results from 83 surface diamond drill holes (18,181 m) from the 100% owned Bidgood gold property located in Kirkland Lake, Ontario. This phase of drilling has been successful in expanding the South Zone to depth, to the east and north and has begun to define both the shallow and deep potential of the North Zone.

Highlights from the ongoing drilling include:

• 149.5 g/t Au over 3.0 m (incl. 447.3 g/t Au over 1.0 m) in BG11-174 North Zone.
• 191.1 g/t Au over 0.5 m in BG12-192 in North Zone.
• 93.1 g/t Au over 2.2 m (incl. 214.1 g/t Au over 0.9 m) in BG12-211 extends South Zone 100 m E
• 12.6 g/t Au over 3.6 m in BG11-161 extends #6 Vein 65 m NE
• 8.8 g/t Au over 21.0 m (incl. 332.4 g/t Au over 0.5 m) in BG11-199 extends South Zone to depth.
• 4.7 g/t Au over 20.4 m (incl. 42.5 g/t Au over 1.7 m) in BG12-202 extends South Zone to depth.
• 7.8 g/t Au over 7.5 m (incl. 75.0 g/t Au over 0.5 m) in BG11-155 extends #6 Vein 65 m NE
• 3.3 g/t Au over 17.0 m (incl. 15.6 g/t Au over 3.0 m) in BG11-161 extends South Zone to depth.
• 1.5 g/t Au over 57.7 m in BG12-198 extends South Zone to the E and to depth.
• 1.9 g/t Au over 28.6 m in BG12-195 extends South Zone E
• 2.7 g/t Au over 14.5 m in BG12-155 extends South Zone E and to depth
• 0.7 g/t Au over 10.8 m in BG12-140 extends South Zone W

These and other significant assay results from the recent phase of drilling are listed in Table 1 accompanying this news release.

To view the complete list of assay results, please visit the following link: http://media3.marketwire.com/docs/QMI0305_assay_results.pdf.

To view Figure 1, "Surface Plan of Gold Zones", please visit the following link: http://media3.marketwire.com/docs/QMI0305fig1_Plan.pdf.

Charles Page, President and CEO of Queenston states, "The drilling at Bidgood provides an exciting example of the quality of gold mineralization that remains to be discovered on Queenston's previously producing properties located in the Kirkland Lake Gold Camp. Next to our Upper Beaver and Upper Canada projects, Bidgood represents a third opportunity to drill off a significant and expanding mineral resource with both low and high-grade potential. The new drilling has expanded the South Zone indicating it remains open to the east, west, north and to depth and has shown new shallow and deep potential on the North Zone. Two drills will continue to operate at Bidgood for the balance of year. We anticipate Bidgood becoming an important source of long-term feed to a future centralized milling complex that will be anchored by our high-grade Upper Beaver mine. Queenston maintains a strong financial position with cash and short-term investments of approximately $80 million. An additional $50 million cash is due from the sale of joint venture properties to Kirkland Lake Gold with instalments of $20 million on August 30, 2012 and $30 million on December 3, 2012."

ABOUT BIDGOOD

The 3,100‐acre Bidgood property hosts the past-producing Bidgood Mine that historically produced 165,000 oz of gold from 1934‐51 at a recovered grade of 9.2 g/t Au. The current drilling program, employing two diamond drill rigs, is focused along the Bidgood Mine gold corridor which has not been effectively explored since the mine shut down. One drill is dedicated for resource definition drilling and expansion at the South Zone and the other drill is targeting the numerous vein systems that remain open above, below and along trend of the mine footprint. At the North Zone, near the Bidgood #2 shaft, the drilling is targeting primarily narrow, high-grade mineralization. The South Zone located in the vicinity of the Moffat-Hall shaft, displays the potential for both high-grade and low-grade near surface mineralization that has now been developed into an initial open-pit resource.

In October 2011 the Company announced a preliminary in-pit and underground NI 43-101 mineral resource on the Bidgood property comprising two gold zones, South and Boundary. The in-pit indicated resource comprises 1,438,000 t grading 1.66 g/t Au (76,000 oz) and the in-pit inferred resource contains 242,000 t grading 1.68 g/t Au (13,000 oz). The initial mineral resource also contains an underground indicated resource of 26,000 t grading 3.28 g/t Au (3,000 oz) and an underground inferred resource of 76,000 t grading 3.09 g/t Au (8,000 oz). The mineral resource estimate was prepared in accordance with NI 43-101 by P&E Mining Consultants Inc. of Brampton, Ontario under direction of Qualified Person Eugene Puritch, P. Eng. For details of the mineral resource see Queenston news release dated October 17, 2011.

The new drilling announced in this News Release and 21 drill holes completed in the third and fourth quarters of 2011 are not included in the initial mineral resource that was announced on October 17, 2011.

SOUTH ZONE

The South Zone comprises the Bidgood Main Break and multiple vein zones (#1, #2, #6, #15 and #20) that represented a portion of the past production and the majority of the current mineral resource. The #1 and #2 Veins display excellent continuity with resource dimensions of 230 metres horizontal by 150 metres vertical, with mineralization remaining open along strike and to depth. During this phase of drilling 57 holes (11,539 m) were completed on the South Zone.

Holes BG11-153, -155, -156 have been successful in extending the #1, #2 and #6 Vein mineralization to the northeast and to depth with intersections of 0.7 g/t Au over 56.9 m (BG11-153), 1.8 g/t Au over 11.9 m (BG11-153), 2.7 g/t Au over 14.5 m (BG11-155) and 1.6 g/t Au over 5.0 m (BG11-156) before hitting a mine opening. These holes are located 65 m east of the closest hole within the mineral resource. The #6 vein was targeted with 3 drill set-ups and 18 holes. The best result on this vein are 7.8 g/t Au over 7.5 m (BG11‐155) and 12.6 g/t Au over 3.6 m (BG11-161). Several holes intersected stope openings. Further to the south and east a group of holes extended the South Zone mineralization a further 100 m to the east with intersections that included, 0.9 g/t Au over 27 m (BG11-151), 0.7 g/t Au over 65.8 m (BG11-194), 1.9 g/t Au over 28.6 m (BG11-195), 1.7 g/t Au over 17.0 m (BG11-196), 1.5 g/t Au over 57.7 m (including 3.3 g/t Au over 16.0 m) and 10.6 g/t Au over 3.0 m (BG11-198) and 93.1 g/t Au over 2.2 m (BG12-211).

Six holes have returned encouraging intersections that extend the resource both within and below the pit. Significant intersections include 2.7 g/t Au over 6.1 m (BG11-152), 3.3 g/t Au over 17.0 m (BG11-161), 0.9 g/t Au over 27.6 m (BG11-162), 8.8 g/t Au over 21.0 m (including 332.4 g/t Au over 0.5 m) (BG12-199), 2.76 g/t Au over 17.0 m (BG12-200) and 10.5 g/t Au over 2.5 m plus 4.7 g/t Au over 24.4 m (including 42.5 g/t Au over 1.7 m) (BG12-202).

Ten holes (BG11-140-149) were drilled in the far west end up to 150 m northwest of the resource. In this area, west of any drifting, an old hole had returned 16.3 g/t Au over 0.5 m, and 1.2 g/t Au over 5.9 m. Best intersections were 6.3 g/t Au over 1.5 m (BG11‐142), 0.5 g/t Au over 11.9 m (BG11-144) and 0.7 g/t Au over 10.8 m (BG11‐140) testing the Bidgood Main Break and #6 Vein. The intersection of 1.7 g/t Au over 6.8 m (BG11-132) extends the South Zone 23 m west and to depth.

Drilling has also been successful in extending the shallow #1 and #2 Vein mineralization to the west. Five holes (BG11-35, 74, 81, 82, 83, and 84) were drilled. The best results included 1.6 g/t Au over 17.1 m (BG11-35), 3.5 g/t Au over 4.8 m (BG11-81) and 1.6 g/t Au over 5.15 m (BG11‐82).

New zones were intersected between the known #6 Vein and #20 Vein with results of 7.8 g/t Au over 3.0 m (BG11-162) and 0.7 g/t Au over 19.0 m (BG11-165).

NORTH ZONE

The North Zone represents a series of veins (#1, #2 and #3) along the North Break near the Bidgood #2 shaft. Although historic production was reported here on this area of the property there is no current mineral resource estimate. A total of 26 holes (6,642 m) were completed in this phase of drilling targeting the North Break near surface and to depth. The results indicate a large gold system that has been delineated by drilling to date over a length of 300 m, a depth of 400 m and remains open.

Ten holes targeted the North Break close to surface all intersecting gold mineralization over generally narrow widths. The most significant holes are BG11-174 returning a high-grade intersection of 149.5 g/t Au over 3.0 m including a 1 m interval that assayed 447.3 g/t Au at a vertical depth of 30 m. Approximately 150 m east of this intersection hole BG11-192 intersected further high-grade mineralization assaying 191.1 g/t Au over 0.5 m at a vertical depth of 80 m. Between these two holes other shallow intersections include four hits in BG11-181 assaying 7.7 g/t Au over 0.7 m, 7.8 g/t Au over 0.7 m, 9.2 g/t Au over 0.6 m and 5.0 g/t Au over 0.8 m all above a depth of 80 m, 10.8 g/t Au over 0.6 m in BG11-184, 8.8 g/t Au over 0.8 m in BG11-187 and 15.7 g/t Au over 1.7 m (BG11-180).

Five deeper holes targeted the North Break below the old mine workings. Drill hole BG11-163 intersected multiple zones of mineralization across a 450 m corridor returning ten intersections with better than 5.0 g/t Au grade. Highlights include wide intervals assaying 0.8 g/t Au over 61.7 m, 0.9 g/t Au over 25.7 m, 1.1 g/t Au over 44.9 m, and 0.8 g/t Au over 18.8 m. Included in these zone are higher-grade intervals assaying 13.2 g/t Au over 1.0 m, 5.3 g/t Au over 1.0 m, 9.7 g/t Au over 0.6 m and 8.8 g/t Au over 0.8 m. In wedge hole BG11-163W1 a 15.4 m interval assayed 0.8 g/t Au. Hole BG11-87 provided another deep test in the vicinity of the mineralization encountered in BG11-163 returning 1.3 g/t Au over 31.3 m that included 1.0 m assaying 11.9 g/t Au. Higher up in hole BG11-87 two other wide intervals of mineralization were intersected assaying 1.3 g/t Au over 11.8 m and 0.9 g/t Au over 43.1 m associated to a series of unnamed veins lying further north of the main North Break. Hole BG11-85 intersected the North Break a further 200 m to the west assaying 19.3 g/t Au over 0.5 m at a vertical depth of 500 m.

GAP ZONE

Lying between the North and South Zones is a set of veins (#11, #12, #14, #16 and #18) for which there is minimal current information. Previously reported hole BG10-65 has been re-sampled (quarter cored) and mineralization associated to the #18 Vein assayed 11.7 g/t Au over 1.2 m. This suggests that the gap area between the North and South Zones is mineralized and enhances the potential for a much larger pit resource.

NEW ZONE ON MAIN BREAK

One hole was completed in the vicinity of Mud Lake located approximately 1,000 m west of the North and South Zones.  This drilling focused on testing the broad King Quartz Stockwork (KQS) Zone located west along the structural corridor that hosts the Bidgood mine sequence where previous drilling in 2008 discovered a 114 m wide zone that assayed 0.52 g/t Au over 17.8 m and 0.83 g/t Au over 11.5 m. New hole ML11-13 intersected a 28 m interval assaying 1.1 g/t Au. Queenston geologists believe this may represent the eastern extension of the Kirkland Lake Main Break that has produced in excess of 24,000,000 ounces of gold.

QUALITY CONTROL

The design of the Queenston's drilling programs, Quality Assurance/Quality Control and interpretation of results is under the control of Queenston's geological staff including qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices. The Bidgood project is supervised by Queenston's Senior Geologist, Michael Sutton, and P.Geo. A detailed review of Queenston's QA/QC procedures is filed in the 2011 Annual Information Form on SEDAR. The drill core is logged and split with half-core samples shipped to Polymet Laboratories of Cobalt, Ontario and analyzed employing the appropriate gold fire assaying technique. For QA/QC purposes the Company as well as the lab submits standards and blanks every 25 samples. Approximately 5-10% of sample rejects and/or pulps are sent to other laboratories for check assaying.

This news release was reviewed by Queenston's Senior Geologist and QP, Michael Sutton, P.Geo.

ABOUT QUEENSTON

Queenston is a Canadian mineral exploration and development company with a primary focus on its holdings in the historic Kirkland Lake gold camp comprising 230 km² of prime exploration lands. The Company's assets include 6 100%-owned gold deposits, all with NI 43-101 compliant mineral resources and ongoing exploration and development. The objective of the Company is to advance the flagship project towards feasibility and production. The Upper Beaver project is currently being permitted for Advanced Exploration leading to new shaft development beginning in 2012. The Company is also very active in exploring and advancing the other five 100%-owned deposits that will provide additional feed for a central milling facility. The Company currently has cash and short-term investments of approximately $80 million, no debt and a fiscal 2012 budget for exploration of $25 million and $10 million for advanced exploration.

Forward Looking Statements

This news release may contain certain statements regarding future events, results or outlooks that are considered forward looking statements within the meaning of securities regulation. These forward looking statements reflect management's best judgment based on current facts and assumptions that management considers reasonable and include the words "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "potential" and "should". Forward looking statements contain significant risks and uncertainties. A number of circumstances could cause results to differ materially from the results discussed in the forward looking statements including, but not limited to, changes in general economic and market conditions, metal prices, political issues, permitting, environmental, exploration and development success, continued availability of capital and other risk factors. The forward looking statements contained in this document are based on what management believes to be reasonable assumptions, however, we cannot assure that the results will be compatible to the forward looking statements as management assumes no obligation to revise them to reflect new circumstances. The Corporation has no knowledge that would indicate the information is not true or is incomplete and the Corporation assumes no responsibility for the accuracy and completeness of the information. Readers should not place reliance on forward looking statements. More information concerning risks and uncertainties that may affect the Company's business is available in Queenston's most recent Annual Information Form and other regulatory filings of the Company at www.sedar.com.

Table 1. Significant Assay Results from the Bidgood Drilling Program

NOTES: A complete list of assay results is available on the Company web site at www.queenston.ca.

Previous drilling results completed after the NI43-101 mineral resource study were reported in a news release dated October 17, 2011. The mineralized intervals reported in this news release represent core lengths. True width where it has been determined in the South and North Zones is 47%-85% of the core lengths. For holes BG-35, -87, -136,-149, -154, -157 and -158 true width ranges from 26%-41% of the core lengths. Holes BG11-153A and BG11-160 were stopped short of target. Hole *BG10-65 was previously released and is restated as a result of new sampling. BG11-84, 88, 91, 133, 137, 141, 145, 146, 147, 154, 160, 166, 167, 173, 175, 176, 177, 183, 188, 191, 193, and 201 returned no significant values. The holes were not drilled in numerical order. Mineralization generally consists of 10‐90% coarse disseminated pyrite, 1‐20% chalcopyrite hosted in an altered, silicified, iron‐rich diorite and porphyry along the Bidgood gold structure. The mineralization mined at Bidgood generally strikes northeast - southwest.