Darnley Bay Resources Limited Closes Private Placement

TORONTO, July 31, 2013 - Darnley Bay Resources Limited (TSX VENTURE:DBL) (the "Company" or "Darnley Bay") is pleased to announce that it has closed a non-brokered private placement (the "Offering") of 3,300,000 units at a price of $0.05 per unit, for gross proceeds of $165,000. Each unit is comprised of one common share (a "Common Share") in the capital of the Company and one Common Share purchase warrant (a "Warrant") of the Company. Each Warrant entitles the holder thereof to purchase one Common Share for a period of two years from the date of issuance of the Warrants at an exercise price of $0.10 per Common Share, provided that if, at any time after the date that is more than four months and one day following the closing of the Offering, the Common Shares trade on a stock exchange at a volume weighted average trading price of $0.25, or greater, per Common Share for a period of 20 consecutive trading days, the Company may accelerate the expiry date of the Warrants by giving notice to the holders thereof. In such case, the Warrants will expire on the 30th day after the date on which such notice is given by the Company.

In connection with the Offering, the Company paid certain finders cash commissions totaling $2,000 and issued an aggregate of 40,000 finder Warrants, each finder Warrant exercisable into one Common Share at an exercise price of $0.10 per share for a period of 24 months after the closing of the Offering, with identical acceleration provisions to the Unit warrant.

The securities issued pursuant to the private placement are subject to a four-month hold period. The private placement remains subject to final acceptance by the TSX Venture Exchange.


Forward-Looking Information

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Darnley Bay expects are forward-looking statements. Although Darnley Bay believes the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. There are certain factors that could cause actual results to differ materially from those in forward-looking statements. These include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Darnley Bay, investors should review registered filings at www.sedar.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.



Contact

Darnley Bay Resources Limited
Jamie Levy, President and CEO
(416) 862-7885
(416) 862-7889 (FAX)
jlevy@darnleybay.com

Darnley Bay Resources Limited
Greg O'Halloran, Investor Relations
(647) 385-2113
gohalloran@darnleybay.com
www.darnleybay.com