January 10, 2012

Edgewater Drills 1.93g/t Gold Over 38.7m and 1.60g/t Gold Over 41.0m on the Corcoesto Gold Project

VANCOUVER, BC - Edgewater Exploration Ltd. ("Edgewater" or the "Company")  (TSX-V:EDW) (OTCQX:EDWZF) is pleased to report additional drill results for the Companys 100% owned Corcoesto Gold Project, Northwest Spain.

Edgewater now has 4 diamond drill rigs conducting a program of in-fill drilling on the Corcoesto Gold Project, designed to upgrade inferred resources to a measured and indicated category as part of a Definitive Feasibility Study.

Drilling continues to intersect excellent widths and grades of gold mineralization including DDH11W41 that returned 0.87g/t Au over 55.0 metres, and 1.93g/t Au over 38.7 metres and DDH11W47 returning 1.60g/t Au over 41.0 metres.

(See Table 1 below).

George Salamis, President and CEO of Edgewater stated: "In late 2011 we completed the Preliminary Economic Assessment on the Corcoesto Gold Project with highlight results including an NPV 5% of US$206 Million, and a 3.4 year pay back using a $1300/oz gold price.

Edgewaters current market capitalization is approximately $30 Million, valuing the Company at $22/oz in all resource categories.

We believe 2012 poises to be a significant year for Edgewater as we anticipate getting exploitation development permits and advancing a full feasibility study on the project.

These latest drill results from Spain are part of a 20,000 metre infill program with a mandate to convert inferred resources to measured and indicated.

As we proceed with this in-fill drilling and conduct further step-out holes, we would anticipate also adding additional inferred gold resources to this highly prospective project."

Edgewater has now completed 70 drill holes totaling 17,450 metres.

This news release is reporting results for an additional 20 holes (5292.8m).

To view the drill results, please follow this link.

On November 17, 2011 Edgewater announced the results for the Preliminary Economic Assessment ("PEA") on the Corcoesto Gold Project.

The NI 43-101 technical report for the PEA was filed with the regulatory authorities and made available on SEDAR on December 30, 2011.

Sample preparation and analyses are conducted using industry standard practices.

Samples are delivered to Chemex Lab in Seville, Spain and sample analyses completed at independent commercial facilities of ALS Romania for gold and ALS Canada (Vancouver) for As.

Both labs have the certificate of ISO/IEC 17025:2005.

Sampling and analyses include a rigorous Quality Assurance / Quality Control (QA/QC) program consisting of the insertion of blanks, duplicate samples, and check assays.

A review of the QA/QC results shows no significant bias and all results are considered highly reliable.

Mr.

Gregory Smith, P.Geo., Vice-President of Exploration of the Company, is the Qualified Person as defined by NI 43-101, and is responsible for the accuracy of the technical data and information contained in this news release.

About Edgewater Exploration Ltd.

Edgewater is a mineral exploration company focused principally on acquisitions, advancement and development of precious metal properties.

Edgewater is currently developing the Enchi Gold Project in Ghana, West Africa and the Corcoesto Gold Project in Northwest Spain.

On behalf of the board of EDGEWATER EXPLORATION LTD.

George Salamis, 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."