SOURCE: Focus Gold Corp.

Focus Gold Corp.

February 29, 2012 08:00 ET

Focus Gold Corp's Wholly Owned Subsidiary Focus Celtic Gold Announces an Agreement to List on the TSX Venture Exchange

RENO, NV--(Marketwire - Feb 29, 2012) - Focus Gold Corp. (or "Focus") (OTCQB: FGLD) (OTCBB: FGLD) is pleased to announce a going public Reverse-Takeover-Transaction through a share exchange agreement (the "Agreement") for its wholly owned subsidiary Focus Celtic Gold (or "Celtic"). Under the terms of the Agreement, Pacific Orient Capital Inc. (or "POC") (AAQ.P on the TSX VENTURE) will acquire Celtic for 26.5 million shares of POC effectively listing Celtic's assets into a Focus Gold Corp. majority owned public vehicle on the TSX Venture Exchange. In addition, POC has committed to fund Celtic at closing with a minimum of $1 million in cash at $0.30 per share. This commitment may also be increased by CAD$1.0M-$2.0M as Focus has received expressions of interest from many high-profile Canadian Broker Dealers.

Focus has engaged OGM Reserves LLC to complete a 43-101 technical report on the Celtic assets which is a condition of listing on the TSX-V. The TSX-V is the world's largest mining focused stock exchange, having completed the most new listings in 2011 when compared to all other major global exchanges. TSX listed companies accounted for 90% of all mining equity financings in 2011, making up nearly 40% of all mining capital raised worldwide.

Subsequent to the closing of this transaction, expected to be completed in less than 2 months, Focus plans to immediately start work at all three core areas of its Celtic properties as follows:

1) Focus will immediately deploy drill rigs for a 4 - 8 drill hole program on their Scottish property, Fore Burn, having already identified drill targets from historical workings from major mining company Rio Tinto (RIO on the NYSE) showing values from drill holes up to 54.4 g/t Gold, 8.59% Copper.

2) On the company's Sperrins licenses in Northern Ireland, Management plans to immediately start field work to identify drill targets followed by an extensive drill program. Celtic's Northern Ireland exploration licenses are adjacent to Dalradian Resources (DNA on the TSX) 2.7M Oz gold deposit.

3) In Clogher Valley, Ireland the Company will continue to evaluate this prospective lead-zinc area by following up on recognized mineral occurrences and geochemical anomalies. The objective will be to confirm the prospectivity of this terrain and identify drill targets. The company expects that with some additional work, this area will be of interest to one of the major mining companies currently mining lead-zinc deposits in the area. Ireland is home to 3 of the largest Lead-Zinc deposits in the world.

Grant White, CEO of Focus, commented:

"This transaction marks one of the most positive developments in the company's history. We continue to feel that our share price on the OTCBB does not properly reflect the value of the assets we have created. The implied value of the public shares of Celtic owned by Focus in this transaction is approximately $8 million and is almost equal to the entire market capitalization of Focus at this time. We obviously continue to believe there is significant value in our Mexican assets and our Canadian asset which in aggregate is obviously not reflected in our current share price.

"This transaction allows us to finance one of our core subsidiaries on the world's leading mining exchange without diluting current shareholders at these prices. Going forward this transaction will allow us to fund future capital needs of Celtic either through financing of the TSX-V public company or at the Focus level depending on relative valuation. Furthermore, Focus will own publicly-listed shares of Celtic allowing for potential access to capital through disposition of shares if appropriate. It is important to point out that Focus will maintain a strong control position of both Management and the Board of Celtic.

"We will also continue to evaluate the listing of Focus on a major exchange such as the TSX-V as well as potentially similar transactions for our Mexican and Canadian subsidiaries if it makes sense for shareholders. Management and the Board feel the continued goal of improving our listing either with Focus or in similar transactions would be beneficial on many levels including: access to specialized capital, increased valuations, attraction of a more diverse shareholder base, and increased overall awareness."

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 Ontario, 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.

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