October 07, 2009 09:46 ET

Firstgold Files FY 2010 Q1 and Q2 Financials

TORONTO--(Marketwire - October 7, 2009) - Firstgold Corp. (TSX: FGD) (PINKSHEETS: FGOC) ("Firstgold" or the "Company") announced today that it has filed both Form 10-Qs for the fiscal quarters ended April 30, 2009 and July 31, 2009. With these filings, Firstgold is once again current in its reporting obligations under the Securities Exchange Act of 1934 and with the TSX.

"Firstgold, as previously announced, has been working diligently on completing its restructuring program, which includes bringing its financial reporting up to date. On September 25, 2009 the Ontario Securities Commission issued a temporary cease trade order against Firstgold pending filing of its quarterly financial statements for Fiscal Year Q1 and Q2, resulting in our stock being halted on TSX.

"In bringing our financial filings up to date, we have taken another step forward. It is expected that as a result of completing these filings that the temporary Cease Trade Order and previously issued Management Cease Trade Order will expire on October 10, 2009 and the company expects its stock to commence trading on the TSX on the next business day," commented Terry Lynch, Firstgold CEO. Mr Lynch also offered an additional update,

"Firstgold has had adequate but limited capital to complete the restructuring process and as a result has been operating with a very lean management team. It was a less than perfect situation, however with this filing we feel we have satisfied a major prerequisite to the restructuring process. The next event in our restructuring will, we believe, be notification that CFIUS has reviewed the proposed transaction and has decided it does not present a security threat to the United States. CFIUS is an agency that enables the United States to formally review acquisitions of USA companies with respect to certain national security matters. The review is ongoing and we would expect by late October or early November that this approval will be obtained. With this approval in place we would expect to close the loan portion of the investment forthwith and the share investment on approval of Firstgold shareholders later in November."

Over the last 24 months Firstgold has spent $16 million developing a processing facility at Relief Canyon, located outside Lovelock, Nevada, on the site of the previously producing Pegasus Gold Mine. Additional information about Firstgold Corp. and the proposed restructuring can be found by visiting its web site at www.firstgoldcorp.com

Safe Harbor Statement

The matters discussed in this release contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended that involve risks and uncertainties. Although Firstgold Corp. believes that the expectations reflected in such forward-looking statements are reasonable, the forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those projected. Firstgold Corp. cautions investors that any forward-looking statements made by Firstgold Corp. are not guarantees of future performance and that actual results may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those reflected in forward-looking statements include, but are not limited to, risks and uncertainties regarding the actual mineralization of Firstgold Corp.'s mining properties, the unproven nature of and potential changes to Firstgold Corp.'s business model, the risk that the capital and other resources that Firstgold Corp. will need to exploit its business model will not be available, and the risks discussed in Firstgold Corp.'s Form 10-K and in Firstgold Corp.'s 10-Qs and in Firstgold Corp.'s other filings with the Securities and Exchange Commission.

Cautionary Note to U.S. Investors -The United States Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms on this website (or press releases), such as "measured," "indicated," and "inferred" "resources," which the SEC guidelines strictly prohibit U.S. registered companies from including in their filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our reports filed with the SEC which may be secured from the SEC, or from their website at http://www.sec.gov/

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