GOLCONDA RESOURCES LTD.
TSX VENTURE : GA

GOLCONDA RESOURCES LTD.

August 27, 2007 08:00 ET

Golconda Resources Acquires Stake in Uranium Prospect

CALGARY, ALBERTA--(Marketwire - Aug. 27, 2007) - Golconda Resources Ltd. (TSX VENTURE:GA) and Lyncorp International Inc. have each acquired a 50% interest in ten uranium claims (200 acres) in Western Montana. The companies made an initial total payment of US $10,000.00 and will make payments of US $3000.00 semi-annually as long as they keep an interest in the property. The claims carry a 2% NSR which can be bought out for US $500,000.00

Fracture-controlled uranium occurs in weakly metamorphosed Precambrian siltstone. Four samples were taken during the initial property visit. Assay results ranged from 0.067% to 0.190 % U3O8 with an average of 0.141% U3O8 (2.82 lbs U3O8 per ton).

An initial program of sampling and mapping to determine the size and tenor of the mineralization at surface will be carried out soon.

Nevada Update

Golconda is waiting for a drill rig to become available in the near future to drill the Merger and RV Properties.

The Merger property, in which Golconda can earn a 35 % interest, is mainly a silver prospect, although gold values over 1 oz Au/ton have been obtained from surface sampling in narrow zones. Other gold values are low.

A hole drilled by Keradamex in 1981 intersected 10 feet of 7.94 oz Ag/ton at 295 ft. depth. At 395 ft it entered into a zone of stockwerk fractures, narrow quartz veins and breccias that averaged 1oz Ag/ton for the next 361 ft, down to a depth of 756 ft (the end of the hole).

Golconda believes that this zone is the top of a boiling horizon, indicating the potential for higher grades to occur in the next 300 ft below. Drill holes are planned to reach a depth of up to 1200 ft.

At the Ralston Valley prospect Golconda first intends to re-drill hole RV -14 which became stuck at 530 ft depth. The last 30 ft assayed very high in metals accompanying gold mineralization. Carlin-type gold mineralization has been encountered by Golconda in drilling on the adjacent BX claims at the beginning of 2007.

Guenter Liedtke is the designated qualified person for this press release under NI 43-101; uranium assays were carried out by Loring Laboratories of Calgary.

On behalf of Golconda Resources Ltd.,

Guenter J. Liedtke, President

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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