Dr. John-Mark Staude of Riverside reports

RIVERSIDE RESOURCES EXTENDS PENOLES PROJECT OPTION FOR ADDITIONAL $500,000 IN PROPERTY EXPENDITURES AND $750,000 ADVANCED PAYMENT TO RIVERSIDE

Riverside Resources Inc. has agreed to extend the option for partner Morro Bay Resources Ltd. to earn an initial 51-per-cent interest in the company's Penoles project in Durango, Mexico. In order to extend the option, Morro Bay has agreed to incur additional expenditures of $500,000 on the exploration and development of the project by Oct. 31, 2014, with the program to be managed by Riverside, and pay to Riverside one-half of the $1.5-million payment on or before July 15, 2014, which is payable in cash or Morro Bay shares as outlined in the amended and restated option agreement (see Riverside's press releases dated Oct. 22, 2013, and Jan. 23, 2014).

Seventy per cent of the Morro Bay shares delivered as part of the advanced payment shall be subject to the escrow agreement previously entered into by Morro Bay and Riverside (such that they may not be traded until after Dec. 31, 2014). The other one-half of the $1.5-million payment, and the $1.25-million (U.S.) and $100,000 cash payments, will now be due on or before the option extension date as referred to hereafter.

The option extension date will be the later of Nov. 30, 2014, and the date which is 75 days after the completion of the additional work program, but in any event not later than Dec. 31, 2014. The additional work program will be jointly agreed upon by Riverside and Morro Bay and commence in July.

Riverside's president and chief executive officer, Dr. John-Mark Staude, commented:

"We are pleased with the recent drill results at Jesus Maria and can now look forward to more partner-funded drilling and exploration at the Penoles project in 2014. The $750,000 payment, if made as shares, will add to Riverside's significant ownership position in Morro Bay, with Riverside still currently holding a 100-per-cent interest in the project. As a prospect generator company, we continue to appreciate partner exploration funding and derisking of the Riverside portfolio."

About the Penoles project

The Penoles project is located in the Durango silver-gold belt in north-central Mexico and is currently owned 100 per cent by Riverside. The recently completed drill program was conducted pursuant to exploration work commitments, with Morro Bay having spent $750,000 so far in 2014. Under the amendment referred to in the foregoing, Morro Bay will invest another $500,000 in exploration work in the coming months. After the completion of the upcoming program, should Morro Bay choose to exercise its option to earn a 51-per-cent interest in the project, Morro Bay must pay Riverside $1.25-million (U.S.) and $100,000 in cash, and pay $750,000 worth of Morro Bay shares (or cash at Morro Bay's option, provided that if the market value of the Morro Bay shares is less than five cents based on a 30-day volume-weighted average price, such payment must be made in cash) no later than Dec. 31, 2014. Riverside would retain a 49-per-cent property interest.