Emgold Mining Corporation
TSX VENTURE : EMR
OTC Bulletin Board : EGMCF
FRANKFURT : EML

Emgold Mining Corporation

December 19, 2011 09:00 ET

Emgold Announces Non-Brokered Flow-Through Private Placement of Up to Cdn $1 Million

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 19, 2011) -

THIS NEWS RELEASE IS INTENDED FOR DITRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO THE UNITED STATES NEWSWIRE SERVICES OR FOR DISSMINATION IN THE UNITED STATES.

Emgold Mining Corporation (the "Company" or "Emgold") (TSX VENTURE:EMR)(OTCBB:EGMCF)(FRANKFURT:EML) is pleased to announce that, subject to TSX Venture Exchange final approval, Emgold proposes to carry out a non-brokered flow- through private placement of up to 7,700,000 units ("Units") of the Company at CDN$0.13 per Unit to raise up to CDN$1,001,000. Each Unit will consist of common share of the Company issued on a "flow-through" basis, and one half share purchase warrant (each whole warrant, a "Warrant"). Each Warrant will entitle the holder to purchase, for a period of 18 months, one additional (non-flow-through) common share of the Company at a price of CDN$0.20. The shares and warrants issued in connection with this private placement are subject to a hold period of four months. Finder's fees may be payable in connection with some or all of the offering in accordance with TSX Venture Exchange policies. The offering is subject to all necessary regulatory approvals. The proceeds of the financing will be used for exploration activity on properties in British Columbia.

Information Regarding Emgold

Emgold is currently in the advanced stage of permitting the Idaho-Maryland Project, located in Grass Valley, CA. The Idaho-Maryland Mine was once the second largest underground gold mine in California and is reported to have produced 2.4 million ounces of gold at an average recovered grade of 0.43 ounce per ton. Emgold has a number of earlier stage exploration properties including the Buckskin Rawhide Property in Nevada, and the Stewart Property and Rozan Property in British Columbia. The Rozan Property is currently optioned to Valterra Resource Corporation. For more information about Emgold, the Idaho-Maryland Gold Project and the Buckskin Rawhide, Stewart, and Rozan Properties, please visit www.emgold.com. Company filings are available at www.sedar.com.

Note that scientific or technical information in this news release has been reviewed and approved by Mr. Robert Pease P.Geo., Chief Geologist of the Company as a Qualified Persons as defined in National Instrument 43-101.

On behalf of the Board of Directors

David G. Watkinson, P.Eng., President & CEO

This news release includes certain statements that are "forward-looking statements" within the meaning of applicable securities laws including statements regarding the proposed private placement and the use of proceeds thereof. Forward-looking statements are based on certain assumptions of the Company, including that it will complete the proposed private placement in a reasonable time frame or at all, that results of exploration on the B.C. properties are consistent with management's expectations. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include the inability of the Company to secure the funds required to complete the private placement, the inability to obtain TSX Venture Exchange approval for the private placement, exploration results that are different than those anticipated, inability to raise or otherwise secure capital, changes to metal prices and the price of the Company's shares. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. The Company does not intend to update or revise any forward-looking information whether as to a result of new information, future events or otherwise, except as required by law. For more information on the Company, investors should review the Company's filings that are available at www.sedar.com or the Company's website at www.emgold.com.

U.S. 20-F Registration: 000-51411

This release was prepared by the Company's management. Neither TSX Venture Exchange nor its Regulation Services Provider (as the 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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