Oro Gold Resources Ltd.
TSX VENTURE : OGR

Oro Gold Resources Ltd.

January 16, 2008 09:00 ET

Oro Gold Reports 2007 Highlights And 2008 Plans

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 16, 2008) - Oro Gold Resources Ltd. ("Oro Gold") (TSX VENTURE:OGR) is pleased to provide a summary of its 2007 exploration highlights, along with details of its 2008 exploration plans.

2007 Highlights:

- Over 4,000 metres drilled at San Isidro and Trinidad

- New discovery at San Isidro; drill results of 10.8 g/t Au over 5.7 m

- Title obtained to 651 km2 Trinidad property; low-cost acquisition by staking

- Trinidad resource expansion potential confirmed; drill results of 3.0 g/t Au over 14.1 m & 13.0 g/t Au over 3.1 m

- Initial Trinidad resource estimate (NI 43-101 compliant) of 91,915 ounces Au (1,624,400 tonnes at 1.76 g/t Au, using a 0.5 g/t Au cut-off grade)

- 4 properties optioned to joint venture partners

- Spin-out of Oro Silver Resources Ltd. completed; ownership of new venture transferred directly to Oro Gold shareholders

- Oro Silver trading commenced on TSX Venture exchange under symbol: OSR

- Value of shares owned in joint venture partners and Oro Silver increased over $1-million

"I am pleased to report that Oro Gold has successfully executed its 2007 plans," stated Darren Bahrey, President and Chief Executive Officer. "Two significant milestones were realized; the spin out of Oro Silver which created significant value for Oro Gold and its shareholders, and the completion of the company's first resource estimate. The top goal for 2008 is to aggressively define gold resources sufficient to attract mid-tier and senior gold-producing companies."

2008 Plans:

Oro Gold plans to complete a minimum of 8,000 metres of drilling its Rosario Gold Belt property portfolio located in Sinaloa, Mexico. The priority targets to be drilled early in the year are located on the Trinidad property with 5,000 metres planned to expand the gold resource and test new targets. Additional drilling will be directed at its other properties in the belt and funded by joint venture partners. Oro Gold's focus continues to be to increase the current gold resource base at its 100-per-cent-owned flagship Trinidad property. The company has restarted drilling with a reverse circulation (RC) drill rig. To date, 10 core and 10 RC holes have been completed, totaling 3,000 m. Assays are pending for 15 of the 20 holes, and expected this month.

Resource estimation activity will be completed as drill results are received and models are updated predominantly for the Trinidad and Cimarron properties. The company is on schedule to complete an updated Trinidad resource estimate during the first quarter of 2008 and expects to report results early in the second quarter. The company also plans to complete a resource estimate on the Cimarron property, following the completion of its first drill campaign, which will be funded by a joint venture partner. A National Instrument 43-101 compliant resource estimate for Cimarron is planned to be completed by the end of the second quarter of 2008.

The company initiated a review of the past mining operation by Eldorado Gold Corp. at Trinidad, and has solicited recommendations from external sources on completing an economic evaluation of the abandoned heap leach pad and low-grade stockpiles. Based on this, a forward strategy will be determined to create the most value for Oro Gold.

Oro Gold's top goal in 2008 is to increase its gold resource base and maintain a resource acquisition and discovery cost rate of less than $10 per Au ounce.

Total costs in 2007 amounted to approximately $3-million, of which over $2-million was directed towards project and generative exploration in Mexico and Panama. Oro Gold plans to spend over $4.5-million in 2008, including $1-million to be funded by joint venture partners.

About Oro Gold

Oro Gold is a gold exploration company with 12 properties located in Mexico and Panama, with 5 of its properties optioned to joint venture partners. The district-scale Trinidad property continues to be the company's top priority project and the main focus of exploration and resource definition efforts. Ongoing generative activity and a joint venture strategy will continue to be a fundamental part of Oro Gold's growth. The company's mission is to build shareholder value by making discoveries and developing low-cost gold resources through aggressive early and advanced stage exploration.

ON BEHALF OF THE BOARD OF DIRECTORS

Darren Bahrey, President and CEO

Some statements in this release may contain forward-looking information. These statements include, but are not limited to, statements with respect to future exploration, development and production activities and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the time and success of future exploration, development and production activities and the timing and amount of expenditures.

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

Contact Information

  • Oro Gold Resources Ltd.
    Darren Bahrey
    President and CEO
    (604) 646-1580
    (604) 642-2411 (FAX)
    Website: www.orogoldresources.com