Portage Resources Inc. Through Its Wholly Owned Subsidiary Portage Minerals S.A. Extends LOI to Acquire San Martin Mining Concessions After Receiving Positive Independent Lab Results

LIMA, Peru, Oct. 6, 2011 /PRNewswire/ -- Portage Resources Inc. through its wholly owned subsidiary Portage Minerals S.A. ("Portage" or the "Company") (POTG-OTCQB) has extended a letter of intent to acquire the San Martin mining concessions located in the Tambo District, Castrovirreina Province, Department of Huancavelica. The concessions consist of the San Martin, Santa Rita three, and Santa Rita four concession. The initial independent lab results on the concessions are very encouraging.

Portage Minerals S.A. had previously set a date of on or before Aug. 15, 2011 to complete the acquisition San Martin mining concessions. Portage Minerals S.A. was awaiting independent lab results on the properties but said results were not furnished in the original time frame, thus all due diligence could not be completed. Portage is now in receipt of the lab results and both parties have agreed to extend the due diligence time frame to Oct.31/2011. Portage V.P. of exploration Elias Garate is currently studying the independent lab results, his summation is expected shortly and a decision can be made quickly thereafter on these potentially multibillion dollar concessions.

The San Martin Concessions are located approximately 383 Kilometers from the city of Lima and are easily accessible by land with the last couple of kms to be travelled by trail. The concessions total in area of about 700 hectares.

These concessions are additionally attractive as there is existing infrastructure on and next to the concessions, thus lowering production costs upon start-up.

There is great history behind the San Martin mining concessions. The Portage team was attracted to the opportunity upon further review of the overall area and the initial reviewed reports indicated that the concessions are rich in gold and silver. The independent lab results were crucial to move forward on these concessions, said results are now available to Portage.

Portage Resources Inc. President and CEO added, "The receipt of these independent lab results look to be very positive, but we cannot move forward until Elias gives us his findings. The San Martin concessions could be the best opportunity thus far for Portage and that is a big statement considering our impressive portfolio."

About Portage Resources Inc.

Portage Resources Inc. is focused on the exploration and production of precious and base metals in Peru. Portage Resources Inc. plans to recognize, and acquire near-term production mining properties, the Portage Resources Inc. seasoned and experienced Peruvian management team will research, review and prove any reserves for the purpose of production.

Symbol:  OTCQB – POTG

www.portageresourcesinc.com

FORWARD-LOOKING STATEMENTS: "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements relating to the company's business activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations about the Company's business. Words such as expects, anticipates, intends, plans, believes, estimates and similar words and expressions are intended to identify such forward-looking statements. These statements involve risks that are difficult to evaluate. Actual results can vary from descriptions herein due to many factors including changes in metal prices and business conditions; changes in laws and regulations; problems encountered in exploration and obtaining permits; changes in the competitive environment; technological advances; shortages of skilled workers, drill rigs and equipment; the need for additional capital and other risks listed in the Company's Securities and Exchange Commission filings under "risk factors" and elsewhere. Forward-looking statements speak only as of the date they were made. The Company does not undertake any obligation to update forward-looking statements.

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SOURCE Portage Resources Inc.