Vangold Resources Ltd.

Vangold Resources Ltd.

February 17, 2010 09:15 ET

Vangold Announces $6 Million Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 17, 2010) - Vangold Resources Ltd. ("Vangold" or the "Company") (TSX VENTURE:VAN) is pleased to announce a non-brokered private placement of up to 17,142,857 units at a price of $0.35 per unit for aggregate gross proceeds of up to $6,000,000.

Each unit will consist of one common share and one-half of a non-transferable warrant, with a whole warrant entitling the holder to purchase one common share at a price of $0.50 for a period of 18 months following the closing date. The warrants will be subject to accelerated expiry if, at any time after four months and a day after closing, Vangold's common shares close at or above $0.70 for 10 consecutive trading days on the TSX Venture Exchange (the "Exchange").

The securities issued pursuant to the private placement will be subject to a four month hold period from the closing date. The Company may pay finder's fees in connection with the private placement, subject to compliance with the policies of the Exchange. Completion of the private placement and the payment of any finder's fees remain subject to the receipt of all necessary regulatory approvals, including the approval of the Exchange.

The proceeds of the private placement will be used for the continued exploration and development of the Company's Papua New Guinea gold projects, primarily Mt Penck, and for general working capital purposes. Mt Penck is Vangold's flagship gold property in Papua New Guinea ("PNG"). PNG is part of the Pacific Rim of Fire and is host to some of the world's largest copper and gold deposits, including Ok Tedi, Frieda River, Porgera and Lihir. The Mt Penck property (102.6 square kilometers) is a volcano-hosted high-sulfidation epithermal gold system. Five prospects have been identified to date and cover an area 1km by 1.1km. Gold mineralization occurs from surface to depths of 130m. 2009 drill program returned encouraging results, including 0m to 69.5m at 1.82 g/t gold, 0m to 133m at 1.83 g/t gold and 16m at 3.72 g/t gold.

All technical information in this news release has been reviewed and approved by Danae A. Voormeij, M.Sc., P.Geo., VP Exploration for Vangold and a Qualified Person as defined by National Instrument 43-101.

On Behalf of the Board of VANGOLD RESOURCES LTD.

Dal Brynelsen, President and CEO

Disclaimer for Forward-Looking Information

Information in this news release respecting the transaction with NGG constitutes forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company.

Forward-looking statements and information are based on assumptions that financing and personnel will be available when required and on reasonable terms, and all necessary regulatory approvals and shareholder approval will be obtained, none of which are assured and are subject to a number of other risks and uncertainties.

There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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