Dynasty Gaming Inc.
OTC Bulletin Board : DNYFF

Dynasty Gaming Inc.

August 21, 2007 18:12 ET

Dynasty Gaming Updates Shareholders

MONTREAL, QUEBEC--(Marketwire - Aug. 21, 2007) - Dynasty Gaming Inc. (TSX VENTURE:DNY)(OTCBB:DNYFF) is pleased to provide its shareholders with a further update.

Since our last shareholder update on July 9, the price of Dynasty Gaming's common shares has continued to decline. The company believes this trend is, in part, attributable to the longer-than-anticipated timeframe required to achieve current objectives. Dynasty's management is sensitive to these delays but is also confident that the work required to give effect to various transactions is progressing very well.

"Our relationship with leading channel partners in China is stronger than ever," stated Dynasty chief executive Albert Barbusci. Through Beijing Junnet Science & Technology Company Limited ("Junnet") we are poised for the onset of revenue in the fourth quarter of this year, flowing from the distribution and sale of prepaid cards in many of Junnet's over 75,000 Internet cafes to potentially millions of game players. We expect also to complete the development and testing of our new online tournament software by end-September and we are working closely with our partner, Emphasis Services Limited ("ESL") to complete arrangements and final licenses for the previously announced Mahjong World Tour Open Championships in Macau."

"Good progress is being made on the 3Q1 due diligence process and we are excited by the prospects of working closely with this organization," said Barbusci. 3Q1, an online mahjong game developer and operator with offices in Shanghai and Guangzhou, now provides a mahjong product, which has quickly attracted an impressive following. The owners of 3Q1 recognize that revenue potential could be greatly enhanced if the game could be offered on a number of China's leading entertainment websites.

By virtue of the many significant relationships Dynasty has established with major channel partners in China, such as Sohu, Sun Media and Shanda, this may hold the key to providing 3Q1 with access to the additional entertainment websites it is seeking.

During the due diligence period the 3Q1 LOI has been amended to provide Dynasty with an opportunity to invest in 3Q1's parent company, Smartgo International Ltd. ("Smartgo"), to facilitate the further development of 3Q1's game and the sought-after expansion of licensing opportunities for the game on other sites. The amended LOI includes a provision that Dynasty will have a voice in how the new funding is expended. Overtime, Dynasty will have the right to acquire up to 25% of Smartgo.

Virtually all North American companies have discovered that doing business in China is time intensive. "I would like to assure our investors that we are doing all that can be done to expedite our agreements with our various partners," stated Barbusci. "We are making progress on all of our initiatives and we are continually securing our position in China by solidifying relationships with our partners."

Forward-looking Statements

This press release contains certain forward-looking statements with respect to the Corporation. These forward-looking statements, by their nature, involve risks and uncertainties that could cause actual results to differ materially from those contemplated. We consider the assumptions on which these forward-looking statements are based to be reasonable, but caution the reader that these assumptions regarding future events, many of which are beyond our control, may ultimately prove to be incorrect.

About Dynasty Gaming Inc.

Dynasty Gaming's 92.3 million common shares, issued and outstanding, are widely held by Canadian and U.S. investors. Full information on Dynasty Gaming can be found at www.dynastygaming.com and at SEDAR (www.sedar.com) under Dynasty Gaming Inc.

About AGORACOM Investor Relations

Investors are asked to visit http://www.agoracom.com/IR/DynastyGaming, the Dynasty Gaming IR Hub, 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 DNY@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.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this news release.

Contact Information