CB Gold Inc.

CB Gold Inc.

May 31, 2011 10:03 ET

CB Gold Inc. Reports Additional High Grade Intercepts Including 9.28 Metres at 11.62 g/t Gold and Positive Geophysics Survey Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 31, 2011) - CB Gold Inc. (TSX VENTURE:CBJ) ("CB Gold" or the "Company") is pleased to provide summary results from its drilling and geophysics program at its Vetas Gold Project, District of Santander, Colombia ("Vetas Gold Project"), located 10km South of the La Bodega and La Mascota deposits formerly owned by Ventana Gold. Drilling of the epithermal vein targets continues to intercept multiple high-grade veins of mineable thickness, including the following four high-grade veins at the Real Minera Vein System:

AuEq calculated using the 12 month trailing average for Au and Ag through March 1, 2011 (US$1268/oz Au and US$22.28/oz Ag). Using ratio of US$Au:US$Ag (56.9), assuming 100% recovery of both metals and no NSR the AuEq formula is: AuEq = Au g/t + (Ag g/t / 56.9).

These drillholes have extended the known distribution of high-grade veins to an area measuring 500 metres by 650 metres on the margins of a porphyritic intrusion in the eastern portion of the Vetas Gold Project (Drillhole location map at www.cbgoldinc.com). Several intercepts contained cm-scale aggregates of visible gold. The zone of high-grade veins remains open to the west, north and south with the vertical extent tested to a depth of only 250m.

Drilling results to date (see previous releases and above for holes 15-17) have repeatedly confirmed and delineated the presence of multiple high-grade veins, as well as strongly mineralized stockwork zones and porphyry dikes. Results are still pending for an additional 14 holes, which contain comparably encouraging visual indications of mineralization. The Company expects to drill up to an additional 20,000m this year and is adding a third drill rig to the programme.

Further drilling will focus on extending the known high grade veins further west, as well as adding to the north and south extensions of the El Dorado Vein System. Four holes have now been completed from the first platform at El Dorado, all intercepting the main vein as well as additional veins and alteration zones above and below it, and extending the depth to 350m.

Geophysical Survey Results

The Company has received the final results of the Induced Polarisation (IP) geophysical survey undertaken at the Vetas Gold Project in March and April 2011. Combined with exploration work to date including known drill results and underground sampling, the following interpretations have been used in assessing the results:

  • Chargeability highs indicate the presence of sulphide mineralization, such as pyrite, which is associated with precious metals in the Vetas Gold Project; and
  • Resistivity lows also indicate the potential for precious metals, being associated with known areas of high-grade precious metal veins

Plan sections at 130m, 200m and 300m depth (Results for the chargeability, resistivity and magnetic responses are shown in the series of slides at www.cbgoldinc.com), and confirm the above interpretations - there are numerous anomalies showing chargeability highs and resistivity lows in which high grade mineralisation has been intercepted by drilling and underground mapping. A significant anomaly of combined intense chargeability high and resistivity low is present in the central properties of the Vetas Gold Project (all 100% owned by the Company) and another similar significant anomaly has been discovered in the south in an area for which the company has already signed an acquisition agreement.

The geophysics results clearly support the case for the extension of the El Dorado Veins Zone and the east-west extension of the Real Minera Vein Zone, plus several additional targets including a new and potentially significant target to the south. The geophysics interpretation is well supported by the existing results and geological understanding and gives the Company good confidence in selecting its next phase of drill targets.

Interpretation of the geophysics results was conducted by ARCE Geofisicos, the survey contractor and CB Gold's geological staff.

Fabio Capponi, Chief Executive Officer, noted, "We are very pleased that the geophysical survey is confirming our geological model and helping us target new areas of high potential – in particular the discovery of another significant anomaly in the south of the Project and with the potential to be a similar size to the known area of high grade mineralisation. The results also confirm and clarify our existing targets, and has indicated several areas for drilling which had previously been lower priority targets. The success of this survey and our on-going drilling results also confirms our decision to ramp up our exploration program with a third drill rig."

Vetas Gold Project - Geochemistry:

All the samples taken by CB Gold at its Vetas Gold Project were analyzed by ALS Chemex in Lima, Peru. The Company has a standard QA/QC program which includes blank, certified reference material and duplicate samples. The QA/QC program has been reviewed by Cumbrex Exploraciones SAC, an independent consultant specialising in QA/QC work.

The scientific and technical information on which this news release has been based was reviewed by Ms. Dorinda Bair CPG Senior Geologist of SRK Consulting and a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

About CB Gold Inc.

CB Gold is a mineral exploration company headquartered in Vancouver, British Columbia. CB Gold, through its wholly-owned subsidiary, Leyhat Colombia Sucursal, is actively pursuing the exploration and development of mineral properties in the Republic of Colombia. The Vetas Gold Project consists of a number of existing mines (operations currently suspended) and exploration concessions, and its exploration and development activities are not affected by the proposed Regional Natural Park Paramo de Santurban.

The securities of CB Gold described herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

Neither the 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 news release.

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