EcuaGold Resources Ltd.

EcuaGold Resources Ltd.

February 01, 2007 13:14 ET

EcuaGold Resources Ltd. Signs Drilling Contract for the Molleturo and Curiplaya Projects

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 1, 2007) - EcuaGold Resources Ltd. (the "Company") (TSX VENTURE:EGR) is pleased to announce that the Company has signed a drilling contract (the "Contract") with Kluane International Drilling Inc. ("Kluane") covering the Company's Molleturo and Curiplaya Projects. Kluane is well established in Ecuador and has been the contract driller for several Canadian mining companies exploring in the country. The Contract is for up to 6,500 metres of diamond drilling. The earmarked drill rig is presently engaged on another project, and Kluane has advised that it should be made available to the Company before the close of the first quarter.

In connection with the Company's listing (the "Listing") on the TSX Venture Exchange (See the Company's press release dated January 12, 2007), ACA Howe International was engaged to prepare NI 43-101 Reports (the "Reports") for both the Molleturo and Curiplaya Projects. Based on the Reports, both projects were classified as Tier I qualifying properties for purposes of the Listing. The recommended exploration programs in the Reports included 3,000 metres and 2,500 metres of diamond drilling at the Molleturo and Curiplaya Projects, respectively. The Molleturo Project is a high-grade polymetallic vein system, and the Curiplaya Project is a gold-copper porphyry system. Both projects have had historical exploration activity, including limited underground mining activity at Molleturo, which traced the vein system over a minimum strike length of approximately 200 metres and a vertical extent of 40 metres, and over 5,000 metres of drilling at Curiplaya.

The drill rig will be mobilized firstly at Molleturo and will be moved to Curiplaya when the Molleturo budgeted drilling program is completed or, if available, a second drill rig may be separately contracted for Curiplaya. In addition to the timing of the availability of the drill rig, the commencement of the Molleturo drilling program is also subject to the Company receiving all requisite permits, both at the Federal and local levels, to initiate the proposed exploration program. The Company's EIS reports for both the Molleturo and Curiplaya Projects have been completed and submitted to the Ministry of Energy and Mines in Ecuador.

EcuaGold Resources Ltd. is engaged in the acquisition, exploration and potential development of primarily precious metals properties in Ecuador. The Company presently controls, through wholly owned subsidiaries, a 100% interest in eleven concessions, and has an option to acquire a 100% interest in a twelfth concession, comprising eight distinct projects covering a total of 31,198.84 hectares. In addition, the Company has also made applications with the Ministry of Energy and Mines in Ecuador for seventeen additional concessions, associated with two existing exploration projects and one new exploration project, amounting to approximately 50,774 hectares. In total, the concessions granted to, or applied for by, the Company amount to 81,972.84 hectares (approximately 202,473 acres). The Company's principal properties are the Molleturo Project, a high-grade polymetallic vein system, and the Curiplaya Project, a gold-copper porphyry system. The majority of the Company's properties are located in southern Ecuador.

The statements contained in this news release that are not purely historical are forward-looking statements. Forward-looking statements may relate to the success of any of the Company's strategic initiatives, the Company's expectations, beliefs, growth and future prospects, and the Company's position in the market and future opportunities therein. Forward-looking statements may also include, without limitation, any express or implied statement relating to future events, industry performance, general business and economic conditions or circumstances, regulatory and legal requirements, and other matters, many of which are beyond the control of the Company. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. All forward-looking statements included in this news release are based upon information available to the Company as of the date hereof and the Company does not undertake any obligations to update forward-looking statements should circumstances or management's beliefs or opinions change.

On Behalf of the Board of Directors of ECUAGOLD RESOURCES LTD.

Anthony F. Ciali, President & CEO and Director


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