EXHIBIT 99.11
                                                                 
                                                                 
                                         Homestake Mining Company
                                            650 California Street
                                         San Francisco, CA  94108
                                             Phone:  415/981-8150
                                               Fax:  415/397-5038




Contact:

Michael A. Steeves
Director, Investor Relations
415-983-8169


         HOMESTAKE AND PRIME RESOURCES WILL NOT COMPLETE
                       TROILUS ACQUISITION

San  Francisco, CA, December 10, 1997 -- Homestake Mining Company
(NYSE:HM)    ("Homestake")and   Prime   Resources   Group    Inc.
(TSE,VSE,AMEX:PRU,  a  50.6%  owned  subsidiary   of   Homestake)
("Prime")  announced today that they will not  proceed  with  the
US$110 million purchase of the Troilus gold mine ("Troilus") from
Inmet  Mining  Corporation.  Homestake and Prime  had  previously
announced their intention to purchase respectively a 51% interest
and a 49% interest in the Troilus mine.

Homestake and Prime have determined on the basis of due diligence
studies  that the conditions of the offer to purchase the Troilus
mine  will not be satisfied and accordingly they will not proceed
with the transaction as announced.

Homestake Mining Company is an international gold mining  company
with substantial operations and exploration in the United States,
Canada  and  Australia.   Homestake also has  active  exploration
programs  in  Latin  America, and development  and/or  evaluation
projects  in Chile and Bulgaria.  Homestake has received numerous
industry  environmental  and safety awards  for  its  responsible
environmental health and safety stewardships.