- JOINT VENTURE ADVANCES TO NEXT STEP -

SPARKS, Nev., June 22 /PRNewswire-FirstCall/ -- Golden Phoenix Minerals, Inc. (OTC Bulletin Board: GPXM) is pleased to announce that Scorpio Gold Corporation ('Scorpio Gold') has completed its initial due diligence on the Mineral Ridge property and under the terms of the Standstill agreement has advised Golden Phoenix that it wishes to proceed with the transaction and commence negotiating a definitive joint venture agreement.

As announced on May 28, 2009, Golden Phoenix has entered into a Standstill agreement with Scorpio Gold for the purpose of completing due diligence and negotiating final terms prior to entering into a definitive joint venture agreement between the parties and potentially restarting gold and silver production at the Mineral Ridge mine, located in Esmeralda County, Nevada.

In addition to the US$50,000 payment made at execution of the Standstill agreement, Scorpio Gold will now advance US$100,000 per month to Golden Phoenix while the definitive agreement is being completed and the transaction closed. All of such payments will be non-refundable but credited towards the required closing payments to Golden Phoenix.

The due diligence review performed by Scorpio Gold confirmed the technical soundness of the Mineral Ridge project and the parties intend to close the transaction as soon as possible and move the project forward.

For more information on Golden Phoenix Minerals, please visit their corporate website at http://www.Golden-Phoenix.com/.

Golden Phoenix Minerals, Inc. is a Nevada-based mining company committed to deliver value to its shareholders by acquiring, developing and mining superior precious and strategic metal deposits in North America using competitive business practices balanced by principles of ethical stewardship. Golden Phoenix owns the Mineral Ridge gold and silver property near Silver Peak, Nevada and the Northern Champion molybdenum mine in Ontario, Canada.

'Safe Harbor' Statement under the Private Securities Litigation Reform Act of 1995: The statements by David A. Caldwell, CEO, and other statements regarding optimism related to the business, expanding exploration and development 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, estimates and projections about the Company's business. Words such as expects, anticipates, intends, plans, believes, sees, estimates and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many factors including continued market prices for the Company's mineral products. In addition, actual results could vary materially based on changes or slower growth in the molybdenum and gold markets; the potential inability to realize expected benefits and synergies in the Company's mining operations; domestic and international business and economic conditions; changes in the mining industry for base and precious minerals, especially molybdenum; unexpected difficulties in expanding production at the Company's mines; changes in customer demand or ordering patterns for molybdenum; changes in the competitive environment including pricing pressures or technological changes; technological advances; shortages of skilled miners; the need for additional capital and other risk factors listed from time to time in the Company's Securities and Exchange Commission (SEC) filings under 'risk factors' and elsewhere. The forward-looking statements contained in this press release speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

    CONTACT:
    Golden Phoenix Minerals, Inc.
    Robert P. Martin, President (775) 853-4919
    investor@golden-phoenix.com

SOURCE Golden Phoenix Minerals, Inc.

Source: PR Newswire (June 22, 2009 - 12:00 PM EDT)

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