Oro Gold Resources Ltd.

Oro Gold Resources Ltd.

June 01, 2006 09:00 ET

Oro Gold Commences Drill Program at Ixtapan Gold Property

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 1, 2006) - Oro Gold Resources Ltd. ("Oro Gold") (TSX VENTURE:OGR) is pleased to announce that it has initiated a first phase drill program, funded by joint venture partner Rockgate Capital Corp., on Oro Gold's 100% owned Ixtapan gold property, located approximately 120 kilometres west of Mexico City.

This represents a milestone for Oro Gold, as the Company's first drill program following a year spent building a strong technical team, growing a strategic land package, and developing drill targets. Eric Grill, Oro Gold's VP Exploration stated: "We are very excited to get started with the Company's first drill program, and we plan to keep the momentum going with drilling throughout the year testing other priority targets at Oro's projects located elsewhere in Mexico."

The Ixtapan targets to be drill-tested are gold-bearing vein structures located predominantly below historic underground workings. The structures are characterized by zones up to eight metres wide cut by quartz veins up to one metre wide and stockwork veins. Individual veins can be followed up to 750 metres in length and are open along strike and at depth. The Ixtapan structural trend can be traced along strike for up to seven kilometres.

The drill program will include the completion of up to 1,500 metres of core drilling in 10 to 12 holes to test the grade and width potential of the gold-bearing veins at depth below the historical workings and other known occurrences of high-grade gold mineralization. The proposed drilling will test the potential over a 750-metre-long by 200-metre-wide section of the mineralized corridor at approximately 100-metre intervals along strike.

The two main veins to be drill tested are the 350-metre-long Ernestina vein and the 750-metre-long Santa Francisca vein. While these are the principal drill targets, other subsidiary vein structures will also be tested. The drilling is designed to intersect the target vein structures within the basement phyllites at depths of between 50 and 150 metres below surface.

The Ixtapan property was previously explored by the Mexican government during the early 1980s which included channel sampling from underground workings. Government documents report grades up to 15.25 grams per tonne Au over 3.5 metres, and an average grade of 6.62 g/t Au over 1.31 metres of average width for 132 samples over a composite strike length of 215 metres (not NI 43-101 compliant). Oro Gold completed a geochemical survey over this area which resulted in the definition of a surface gold anomaly over 800 metres long by 300 metres wide, and trenching confirmed the existence of high-grade gold values. The best trench results returned 16.2 g/t Au over 5 metres, and included 62.4 g/t over 1.2 metres.

Rockgate completed its qualifying transaction on April 26, 2006, consisting of an option to earn up to a 65% undivided interest in the Ixtapan gold project. Under the terms of the option agreement, Oro Gold was issued 100,000 common shares of Rockgate and a $20,000 (U.S.) management fee, and will be the operator during the first year. Rockgate can acquire an initial 51% interest in the gold project by incurring $200,000 (U.S.) in expenditures on the project within one year, and has two further options to acquire an additional 14% interest by incurring an additional $800,000 (U.S.) on the project over a two-year period and issuing an additional 250,000 shares to Oro Gold.


Darren Bahrey

This news release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements. Oro Gold disclaims any intention or obligation to revise or update such statements.

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

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