Arcus Development Group Inc. ("Arcus") (TSX VENTURE:ADG) is pleased to announce
the following:


Private Placement

Subject to regulatory acceptance, Arcus will carry out a $100,000 private
placement with Strategic Metals Ltd. The placement will consist of the sale of
3,333,333 Arcus common shares at a price of $0.03 per share. No sales commission
or finder's fee will be paid in respect of the placement. All proceeds will be
used as general working capital.


"Once the placement has been completed, Strategic Metals will hold an 8.25%
interest in Arcus", reported Ian Talbot, the Arcus President and CEO. "We are
very pleased with the investment by Strategic Metals as it provides Arcus with
working capital for the next year as well as creating a significant shareholder
with a longer term view of the potential of the Dawson Gold Project".


Dawson Gold Project

The Dawson Gold Project is a joint venture between Arcus and ATAC Resources Ltd.
("ATAC"), with each company holding a 50% interest. The project is comprised of
the Dan Man, Touleary, Green Gulch and Shamrock claim blocks, all located in the
White Gold District of Yukon Territory. Exploration at various levels has been
carried out in the project area over the past four years. Significant
advancements have been made at the Touleary property, located immediately south
of the Kinross Gold Corp. White Gold project and the Dan Man property, located
immediately north of Kaminak Gold Corp.'s Coffee property.


The 2011 diamond drill program at the Touleary property resulted in the first
volcanogenic massive sulphide ("VMS") discovery in the White Gold District. A
five hole diamond drill program totaling 935 m targeted a 300 by 100 m area
within a 1,200 m long zone of coincident magnetic and intermittent gold-in-soil
geochemical anomalies. VMS mineralization was intersected in all five holes,
with the most significant intersection containing 7.18% copper, 116 g/t silver,
3.55 g/t gold and 4.30% zinc over 2.25 m (see October 4, 2011 news release). A
helicopter borne Versatile Time Domain Electromagnetic (VTEM) survey was flown
subsequent to the discovery and a number of electromagnetic targets have been
modeled for future drill testing.


The Dan Man property hosts four separate gold-in-soil geochemical anomalies
coincident with multiple structural features interpreted from a detailed
airborne magnetic survey and air photo lineament analysis. Two of these zones
were partially tested in 2011 as part of a 1,500 m diamond drill program and
both identified structurally hosted gold mineralization (see December 7, 2011
news release).


Current Work Programs

The primary focus of the 2012 exploration program was directed toward secondary
evaluation of the Touleary South A anomaly, one of two interpreted VMS soil
anomalies identified during the late fall of 2011 and located 6 km south of the
Touleary VMS discovery (see August 10, 2012 news release).


The Touleary South A anomaly is defined by strongly coincident lead-zinc
responses and lesser coincident copper soil values along an east to
northeasterly trend. The anomaly, as defined by the lower threshold in-soil zinc
and lead values, is currently 2,000 m long and 200 to 400 m wide. The 2012
program consisted of additional soil sampling, prospecting and hand pitting
within core portions of the Touleary South A anomaly. No work was conducted at
the Touleary South B anomaly in 2012.


Forty-eight hand pits were excavated within three core portions of the Touleary
South A anomaly coincident with the strongest intensity lead-zinc soil responses
from the original grid sampling results defined in 2011. Pits were dug at
approximately 25 m intervals along lines spaced 100 m apart. Soil samples
collected from the bottoms of the pits in all three areas returned strongly
anomalous values for both lead and zinc, and in some cases the values were
multiples to an order of magnitude higher than the corresponding surface soil
samples. The strongest values for the key VMS indicator elements (Pb-Zn-Cu) were
obtained from the central pit area. This particular target was significantly
elevated in copper response in contrast to the surface sampling.


Peak Soil Values from 2012 Pits



----------------------------------------------------------------------------
                   Surface  Hand Pit   Surface  Hand Pit   Surface  Hand Pit
Area              Pb - ppm  Pb - ppm  Zn - ppm  Zn - ppm  Cu - ppm  Cu - ppm
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
Eastern                165       820      1185       828         -        44
----------------------------------------------------------------------------
Central                381      2400      1085      4550       171       579
----------------------------------------------------------------------------
Western                286      1590       659      2550       115       227
----------------------------------------------------------------------------



Hand pits were excavated down to an average depth of 1 m and generally only
encountered a thin veneer of vegetation/organic cover. The nature of the soil
and rock from the base of the pits were noticeably homogenous suggesting both
are near source. 


Little is known about the geology of this particular area given the lack of
outcrop exposure. However, the most common rock types noted from the pits are:
1) various gneisses mostly of felsic composition with lesser biotite flecks,
quartz spheres/augen with low aspect ratios, disseminated flecks of magnetite
and retrograde garnet; and 2) schists comprising varying amounts of
quartz-muscovite-sericite-feldspar-biotite. Several specimens have been
interpreted as intermediate to felsic volcaniclastic in origin by appearance and
the identification of certain remnant features including quartz phyric
fragmental textures. 


In addition to the Touleary South A and B soil geochemical anomalies, two other
significant copper-in-soil trends are apparent along strike from the Touleary
VMS discovery site. To date, neither of these trends has received follow up
exploration.


The purpose of the 2013 program will be to further assess the South A and B
anomalies and copper-in-soil trends along strike from the Touleary VMS discovery
as potential drill targets. Such drilling would accompany the additional
drilling required at the main Touleary VMS discovery area.


The Arcus website in currently being updated with maps and information related
to the 2012 and 2013 programs (www.arcusdevelopmentgroup.com).


Arcus management believes the modest 2012 and 2013 work programs will achieve
two important objectives. The project is being advanced through the
identification and refinement of additional drill targets outside of the main
VMS discovery zone, while avoiding the excessive dilution of shareholder value
under current market conditions.


The technical information in this news release has been prepared and approved by
William A. Wengzynowski, P. Eng., a director of Arcus and a qualified person for
the purposes of National Instrument 43-101.


On behalf of Arcus Development Group Inc.

Ian J. Talbot, President and CEO

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.


CAUTIONARY NOTE: This news release includes certain "forward-looking
statements". Other than statements of historical fact, all statements included
in this release, including, without limitation, statements regarding future
plans and objectives of Arcus Development Group Inc., are forward-looking
statements that involve various risks and uncertainties. There can be no
assurance that such statements will prove to be accurate, and actual results and
future events could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ materially from the
Arcus Development Group Inc.'s expectations are the risks detailed herein and
from time to time in the filings made by Arcus Development Group Inc. with
securities regulators. Those filings can be found on the Internet at
http://www.sedar.com.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Arcus Development Group Inc.
Grant Longhurst
Corporate Communications
(604) 506-2445
(604) 688-2578 (FAX)
grant@arcusdevelopmentgroup.com
www.arcusdevelopmentgroup.com


Arcus Development Group Inc.
Ian J. Talbot
President & CEO
(604) 687-2522
(604) 688-2578 (FAX)
ian@arcusdevelopmentgroup.com
www.arcusdevelopmentgroup.com

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