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Press release from Marketwire

Pinetree Capital Ltd. Acquires Securities of Victory Gold Mines Inc.

Thursday, October 20, 2011

Pinetree Capital Ltd. Acquires Securities of Victory Gold Mines Inc.16:03 EDT Thursday, October 20, 2011TORONTO, ONTARIO--(Marketwire - Oct. 20, 2011) -Pinetree Capital Ltd. (TSX:PNP), announces that on October 17, 2011, it acquired ownership of 1,136,364 common shares ("Common Shares") and 568,182 common share purchase warrants (the "Warrants") of Victory Gold Mines Inc. ("Victory Gold"). Each Warrant entitles the holder to acquire one common share of Victory Gold at a price of $0.35 until April 4, 2013. In the event that the Warrants are fully exercised, these holdings represent approximately 4.8% of the total issued and outstanding common shares of Victory Gold as of October 17, 2011, calculated on a partially diluted basis assuming the exercise of the Warrants only. As a result of this transaction, Pinetree and its joint actors collectively held, as at October 17, 2011, an aggregate of 3,272,728 common shares of Victory Gold, including the Common Shares and rights to acquire an additional 1,068,182 common shares of Victory Gold upon exercise of certain convertible securities (the "Convertible Securities"), including the Warrants. Of these totals, Pinetree owns 2,136,364 common shares, including the Common Shares and all of the Convertible Securities directly. In the event that the Convertible Securities are fully exercised, the holdings of Pinetree and its joint actors represents a total of 4,340,910 common shares of Victory Gold, or approximately 12.1% of all issued and outstanding common shares as at October 17, 2011, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only. In the event that the Convertible Securities are fully exercised, the direct holdings of Pinetree represents a total of 3,204,546 common shares of Victory Gold, or approximately 8.9% of all issued and outstanding common shares as at October 17, 2011, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only.These transactions were made for investment purposes and Pinetree or its joint actors could increase or decrease their investment in Victory Gold depending on market conditions or any other relevant factor.About PinetreePinetree Capital Ltd. ("Pinetree") was incorporated under the laws of the Province of Ontario and its shares are publicly-traded on the Toronto Stock Exchange ("TSX") under the symbol "PNP". Pinetree is a diversified investment and venture capital firm focused on the small cap market. Pinetree's investments are primarily in the resources sector: Precious Metals, Base Metals, Oil and Gas, Potash, Lithium and Rare Earths, Uranium and Coal. Pinetree's investment approach is to develop a macro view of a sector, build a position consistent with the view by identifying micro-cap opportunities within that sector, and devise an exit strategy designed to maximize our relative return in light of changing fundamentals and opportunities. Pinetree is recognized as a value-added partner in the resource industry. FOR FURTHER INFORMATION PLEASE CONTACT: Sheldon InwentashPinetree Capital Ltd.Chairman & CEO416-941-9600ORRichard PatricioInvestor Relations: Pinetree Capital Ltd.Vice President, Legal and Corporate Affairs416-941-9600ir@pinetreecapital.comwww.pinetreecapital.com