HLM Identifies High Grade Lithium up to 4.74 Li20 over 15 meters on the Pakeagama Rare Metals Project in Northwestern Ontario

Houston Lake Mining Inc. (TSX.V: HLM), is a mining exploration
company which is actively exploring for the rare metals lithium, cesium,
tantalum, and rubidium by currently focusing on its 100% owned and
optioned Pakeagama Rare Metals Project in northwestern Ontario, Canada.
HLM is pleased to announce some of the results from its 2012 Channel
Sample Program on the Pakeagama Lake pegmatite, located at the 1,792
hectare (4,424 acre) Pakeagama Rare Metals Project property.

In September 2012, Peter J. Vanstone, P.Geo. the qualified person for
the project, conducted a 91 sample channel sampling on the Pakeagama
Lake pegmatite in order to confirm historical results and to add
additional channel samples while further sampling by distinct geologic
zones. The results of the program have so far identified high grade
lithium oxide in three distinct pegmatite zones as discussed below:

1)Upper Intermediate Zone (UIZ)

The UIZ represents the lithium zone within the pegmatite and is
dominated by 'SQUI?, a term used to describe an oriented spodumene +
quartz intergrowth after primary petalite, with lesser grey K-feldspar
and primary white spodumene in quartz. Phosphate minerals and lithian
mica are the common accessory minerals. Channels 3A, 3B and 4 with a
composite grade of 4.74% Li₂O represent a 15 metre section
across the UIZ in the southeastern part of the exposed pegmatite.
Channel 18 is located approximately 55 metres northwest along strike
from Channels 3A/3B/4.

2)Lower Intermediate Zone (LIZ)

The LIZ comprises a good portion of the exposed pegmatite and is
considered an intermediate stage zone historically carrying significant
lithium, tantalum and rubidium. The zone is comprised of predominantly
K-feldspar, Na-feldspar, quartz, SQUI and lithian muscovite. The zone
has undergone both plastic and brittle deformation. Taken together the
three channels represent a 23 meter cross-section of the LIZ with a
composite grade of 2.27% Li₂O.

When considering the LIZ and the high grade UIZ as outlined in Table 1,
the total distance between the two sets of channels is approximately
190m where the pegmatite zones remain open to both the southeast and
northwest.

3)Central Intermediate Zone (CIZ)

This zone is located in the upper portions of the pegmatite and consists
of predominantly grey K-feldspar. Towards the southeast part of the
pegmatite, the K-feldspar displays increasing alteration to a
muscovite+quartz assemblage which locally is lepidolitic.

The Pakeagama Lake pegmatite does not currently have a resource, however
the mineralogy of the 3 zones (UIZ, LIZ and CIZ) and the presence of
SQUI as the dominant ?lithium ?mineral assemblage is similar to the
mineralogical zonation of the Tanco pegmatite. The Tanco pegmatite is
located southwest of Pakeagama Lake in southeastern Manitoba and was a
lithium mineral concentrate producer from 1986 until operations were
suspended in 2009. According to Giancola (2002), in 1992, Tanco′s
lithium reserve grade was 2.71% Li₂0.

'The lithium grades encountered from the program place the Pakeagama
Lake pegmatite as a leading exploration target for rare metals.
Furthermore, HLM anxiously anticipates the pending final results of
analysis from the other elements that our pegmatite contains, such as
Tantalum and Rubidium. With the data we have collected, the Company has
identified targets whereby a Phase I, 1,000m diamond drilling program
has been independently recommended', said Trevor R. Walker, President of
HLM.

Due Diligence

All scientific and technical information in
this release has been reviewed and approved by Peter J. Vanstone, P.Geo.
who is the qualified person under the definitions established by
National Instrument 43-101. Under HLM′s QA/QC procedures, channels are
cut with a motorized circular diamond saw, and are 4 cm wide and 10 cm
deep. The channels are oriented perpendicular to the strike of the
pegmatite internal mineralogical zones and are cut continuously across
the zones. The samples are removed using a hammer and chisel. The length
of a channel is determined by the width of the pegmatite zone. Offset
channels are cut where deemed appropriate. Sample lengths typically are
1 metre but can be less depending on zone mineralogy and boundaries.
Samples are described, placed into a poly sample bag with a numbered
sample tag and then shipped to the assay lab for quantitative analysis
for select elements. All HLM samples are currently being assayed by
Activation Laboratories Ltd. with all samples being delivered to their
Thunder Bay facility. Sample blanks along with tantalum, lithium,
rubidium and cesium standard samples are routinely inserted into the
sample stream in accordance with industry best practices. At the
completion of each program, approximately 10% of the channel sample
pulps are submitted to a secondary ISO certified laboratory for assay
verification.

About Houston Lake Mining Inc.

HLM is a mining exploration
company that is actively exploring for the rare metals lithium, cesium,
tantalum, and rubidium by currently focusing on its 100% owned and
optioned Pakeagama Rare Metals Project in northwestern Ontario, Canada.
HLM has a total of 63,019,056 common shares issued and outstanding. For
additional information, please visit www.houstonlakemining.com.

Forward-looking Statements

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adequacy or accuracy of this release. 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 the Company
expects are forward-looking statements. Although the Company believes
the expectations expressed in such forward-looking 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 forward-looking statements. Factors that could cause
actual results to differ materially from those in forward looking
statements include market prices, exploitation and exploration
successes, continued availability of capital and financing, and general
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any such statements are not guarantees of future performance and those
actual results or developments may differ materially from those
projected in the forward-looking statements. For more information on the
Company, Investors should review the Company′s registered filings what
are available at www.sedar.com.

Houston Lake Mining Inc.

Henry J. Kloepper, +001 705.897.7622

CEO

F.
+001 705.897.7618