Plato Gold Corp.
TSX VENTURE : PGC

Plato Gold Corp.

July 31, 2008 16:41 ET

Plato Gold Announces Closing of Private Placement

TORONTO, ONTARIO--(Marketwire - July 31, 2008) -

NOT FOR DISTRIBUTION IN THE UNITED STATES.

Plato Gold Corp. (TSX VENTURE:PGC) ("Plato" or the "Company") an exploration company with a portfolio of properties in significant gold mining camps in Northern Ontario, Northern Quebec, and Santa Cruz, Argentina announced today the completion of the first closing of its non-brokered private placement offering (the "Offering") previously announced on June 19, 2008. Pursuant to the Offering, the Company issued 2,000,000 flow-through units (the "Flow-Through Units") consisting of one common share which qualifies as a "flow through share" for purposes of the Income Tax Act (Canada) and one non-flow through common share purchase warrant at a price of $0.10 per Flow-Through Unit for gross proceeds of $200,000 and 555,556 units (the "Units"), consisting of one non-flow through common share and one non-flow through common share purchase warrant, at a price of $0.09 per Unit for gross proceeds of $50,000.

The Company will pay a finder's fee consisting of an $8,000 cash commission and the issuance of compensation options to acquire 100,000 Units of the Company at $0.10 per Unit in connection with $100,000 of the gross proceeds raised pursuant to the Offering.

Each warrant partially comprising the Flow-Through Units and the Units shall be exercisable to acquire one non-flow through common share of the Company for a period of two years from the date of issuance thereof at an exercise price of $0.15 per share. The warrant terms provide that if the Company's shares close on the TSX Venture Exchange for 20 consecutive trading days at a price of $0.25 per share or higher during the exercise period, the Company may accelerate the expiry time of the warrants to 30 calendar days from the date upon which notice is provided by the Company to the holder thereof.

The proceeds from the sale of the Flow-Through Units will be used by the Company for exploration work on its properties in the Val d'Or area in Quebec. The proceeds from the sale of the Units will be used by the Company for general working capital purposes. Final approval of the Offering is subject to receipt of all required regulatory approvals, including approval of the TSX Venture Exchange. All of the securities issued pursuant to this Offering are subject to resale restrictions for a period expiring 4 months from the date hereof.

Mr. Anthony Cohen, President and CEO of Plato Gold, stated "Plato Gold is pleased to continue our exploration work in the Val d' Or region of Quebec. We are committed to our projects and are working to reach new milestones in our corporate growth."

About Plato Gold Corp.

Plato Gold Corp. is a Canadian junior gold exploration company listed on the TSX Venture Exchange. Plato has Canadian exploration projects in Northern Ontario, Northern Quebec and the Lolita Property in the province of Santa Cruz, Argentina. The Northern Ontario project includes 5 properties: Guibord, Harker, Harker-Garrison, Holloway and Marriott in the Harker/Holloway gold camp located east of Timmins, Ontario. The Northern Quebec project includes 7 properties: Nordeau Bateman, Vauquelin, Vauquelin Pershing, Vauquelin Horseshoe, Pershing Denain, Hop O'My Thumb and Once Upon a Time. All 7 properties are located near Val d'Or, Quebec and Plato is in the early stage of exploring these projects. In Argentina, the Lolita Property is comprised of 3 contiguous concessions and initial work has been started on this property. For additional company information, please visit: www.platogold.com.

For all Plato Gold Corp. investor relations needs, investors are asked to visit the Plato Gold Corp. IR Hub at http://www.agoracom.com/ir/platogold where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to pgc@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

Forward Looking Statements

This news release contains "forward-looking statements", within the meaning of applicable securities laws. These statements include, but are not limited to, statements concerning the business, operations and financial performance and condition of Plato. Forward-looking statements include, but are not limited to, statements with respect to the benefits of the offering transaction. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, use of proceeds, level of activity, performance or achievements of Plato to be materially different from those expressed or implied by such forward-looking statements, including but not limited to risks related to: raising less than the required amount; not realizing on the anticipated benefits from the offering transaction or not realizing on such anticipated benefits within the expected time frame; risks related to exploration; actual resource viability, and other risks of the mining industry . Although management of Plato has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Plato does not undertake to update any forward-looking statements that are incorporated by reference herein, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.

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

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