Desert Gold Ventures Inc.
TSX VENTURE : DAU

Desert Gold Ventures Inc.

January 16, 2007 13:50 ET

Desert Gold Ventures Inc.: Corporate Update

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 16, 2007) - Desert Gold Ventures Inc. ("Desert Gold" or the "Company") (TSX VENTURE:DAU) is pleased to announce that Mr. Ayub Khan has been appointed to the Board of Directors, effective January 9, 2007.

Mr. Khan brings over 19 years of experience in operations, public markets and finance to Desert Gold. Over the last nineteen years Mr. Khan has been involved in acquiring, restructuring, and financing public companies. His experience in public markets includes acquisitions of companies in South America and the United Kingdom. He is a Professional Business and Finance Administrator and holds a Bachelor of Science in Business Administration & Finance from Ball State University of Muncie, Indiana, U.S.A.

SIGNIFICANT EXPANSION OF GOLDBANKS DEPOSIT AS INDICATED BY SURFACE EXPLORATION TO BE DRILL TESTED

New soil geochemical sampling has identified two large surface gold anomalies, the North and the KW West Anomalies. The North Soil Anomaly defines an area containing greater than 30 ppb Au over an area greater than 3000' long (NNE-SSW) by up to 1400' wide with many individual soil samples of greater than 75 ppb Au (up to 158 ppb Au). Rock geochemical sampling within the anomaly confirmed these highly anomalous gold values with numerous samples containing greater than 1 ppm Au and two samples greater than 9 ppm Au (high of 10.55 ppm Au or 0.31oz/ton). The anomaly has yet to be completely defined. The KW West Anomaly is an extension of a known soil anomaly (greater than 30 ppb Au) and together they cover an area of approximately 1400' x approximately 2000'. The KW West Anomaly also contains highly anomalous gold in soils of up to 318 ppb and many samples containing greater than 75 ppb Au and numerous rock samples containing greater than 1 ppm Au up to 3.4 ppm Au. ALS Chemex Ltd. of Vancouver analyzed the samples.

Neither anomaly has been tested during previous exploration campaigns.

Surface geological mapping and geochemical sampling are ongoing to define the nature and controls of the mineralization and limits of anomalous gold mineralization.

Phase Two of the program will consist of drilling on the targets, which have been selected for their geologic merit, and is expected to commence as soon as the drilling contract has been finalized. Exploration work is being conducted under the supervision of the Company's Qualified Person, Jim Miller-Tait, P.Geo. Under the terms of the Option Agreement with Kinross Gold Corporation, the Company is required to spend $5 million US before December 31, 2008 to earn a 50% interest. The Company has satisfied the initial expenditure requirement.

On Behalf of the Board of Directors,

Eugene Beukman, President

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com for further information.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Desert Gold Ventures Inc.
    Eugene Beukman
    President
    (604) 687-2038
    (604) 687-3141 (FAX)
    Website: www.desertgold.ca