Erdene Resource Development Corp. (“Erdene” or “Company”) (TSX:ERD), today announced that it will hold a special meeting of shareholders (“Meeting”) on October 26, 2012 to approve a plan of arrangement (“Arrangement”) to separate its Mongolian metals exploration projects, which will stay within Erdene, from its North American projects (consisting primarily of its 25% interest in the Donkin Coal Project), which will become the major asset of Morien Resources Corp. (“Morien”), to be listed on the TSX Venture Exchange. Upon completion of the Arrangement, Erdene shareholders will control 100% of the Mongolia assets through Erdene and 97.25% of Morien.

“We believe the proposed division of our diverse key assets within the two public vehicles will greatly enhance the potential to create value in both the Mongolian metals projects and in the Donkin Coal Project and we are excited to launch these two focussed entities. We are confident the flexibility we will create within Morien with its interest in what we believe to be a premier global coal asset and the dedication we can commit to the Altan Nar gold project and our other Mongolian metals exploration projects, will prove to be very beneficial to our stakeholders” said Peter Akerley, President and CEO of Erdene.

The management information circular (“Circular”) outlining the details of the proposed transaction has been filed on SEDAR. It is also available on the Company”s website (www.erdene.com) and is being mailed to Erdene shareholders. The Meeting will be held at 10:30 a.m. (Atlantic Time), at Purdy”s Wharf Tower II, 1969 Upper Water Street, Suite 1300, Halifax, Nova Scotia. At the Meeting, shareholders will be asked to approve the Arrangement, which involves the transfer by Erdene to Advanced Primary Minerals Corp. (“APM”) of $1.95 million cash and all of Erdene”s North American property interests, comprised primarily of its 25% interest in the Donkin Coal Project in Cape Breton, Nova Scotia, by way of the transfer of the shares of Erdene Resources Inc. (“ERI”), a wholly owned subsidiary of Erdene, to APM. As part of the Arrangement, following the transfer, ERI and APM will amalgamate to form an amalgamated corporation to be named “Morien Resources Corp.” (“Morien”). The shares of Morien will be consolidated and Erdene will create a new class of shares (“Erdene New Shares”). On the effective date of the Arrangement (“Effective Date”), Erdene will distribute to Erdene shareholders one-half of one Erdene New Share and one-half of one Morien share in exchange for each outstanding Erdene share. As an example, a holder of 1,000 Erdene shares on the effective date will become a holder of 500 Erdene New Shares and 500 Morien shares.