SOURCE: Focus Gold Corp.

Focus Gold Corp.

December 14, 2011 08:30 ET

Focus Gold Corp. Extends Option Start Date With Victoria Gold Corp. on Timmins Gold Properties; as Well as Announces Non-Brokered Flow-Through Private Placement for up to $500,000

RENO, NV--(Marketwire - Dec 14, 2011) - Focus Gold Corp. (or "Focus") (OTCQB: FGLD) (OTCBB: FGLD) is pleased to announce the extension of the option start date on the previously optioned gold properties in the prolific gold district of Timmins, Ontario, based upon the recent successful renewal of exploration leases by Victoria Gold.

In connection with the Timmins gold project, Focus is also pleased to announce a non-brokered flow-through financing of up to $500,000 priced at $0.15/share, with an attached one half warrant exercisable at $0.25 which expires after two years. The financing is with a group of accredited Investors and is set to close within one business week.

All of the previously released details of the option agreement will remain the same with the exception of the dates at which Focus must complete the necessary work to honor the agreement, which has effectively been extended more than one year (original PR here). The optioned properties include: The Watabeag and the Russell Creek property which consists of 259 Hectares located 60 kilometers east of Timmins, Ontario, home to one of the world's most lucrative mining belts having produced roughly 50 Million Oz (~$75 Billion value).

Focus felt it was a prudent decision to wait for the Government of Ontario to renew the gold exploration licenses for the concessions before expending exploration dollars, and now that all of the appropriate approvals are in place, Focus can now expend the first year's spending obligation of $375,000 which will, if successful, point the exploration team towards high priority drill targets. The spending obligation, as outlined in the agreement with Victoria Gold, aligns with the flow-through funds raised by the company as they must be spent on Canadian projects, and exceed the initial budget set forth in the suggested work outlined by Victoria's Senior Geologists.

Focus' CEO Grant White commented: "Now that we know we have these properties locked up we can put our exploration team in place to develop drill targets on these properties." Mr. White went on to say: "Canada also qualifies for a tax advantaged type of financing called flow-through, which we are closing here in the coming days, just in time for the spring exploration season."

About Focus Gold Corporation:

Focus Gold acquires and develops gold mining projects around the world. Focus Gold's current projects include: multiple Nayarit, Mexico claims with a copper-gold porphyry system through the company's wholly owned subsidiary Focus Gold Mexico Corp.; two properties in the Timmins Mining District in Canada through an option agreement with Victoria Gold; and the recently closed acquisition of Metallum Resources PLC, holder of exploration licenses in Northern Ireland, Republic of Ireland and Scotland through the company's wholly owned subsidiary, Focus Celtic Gold Corp.. For further information please visit www.focusgoldcorp.com.

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