Grandview Gold Inc.
OTC Bulletin Board : GVGDF
TSX : GVX

Grandview Gold Inc.

September 24, 2007 15:39 ET

Grandview Gold President Issues Third Quarter Update to Shareholders

TORONTO, ONTARIO--(Marketwire - Sept. 24, 2007) - Grandview Gold Inc. (TSX:GVX)(OTCBB:GVGDF) ("Grandview" or the "Company") is pleased to release the following Third Quarter Update to Shareholders from Grandview President and CEO Paul Sarjeant, B.Sc., P.Geo, CFP. The Update can be found in its entirety on the Grandview Gold Inc website at www.grandviewgold.com.



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September 14, 2007


Dear Shareholders:

Some six months have passed since I issued my first Shareholder Update as President and CEO of Grandview Gold Inc. And while it feels as though those months have flown by, when I consider what has transpired since March of this year, I am struck by the scope of progress made by the Company.

The confidence I have in the talented and enthusiastic managers and geologists I work alongside everyday has developed into a new understanding of how a group of uniquely qualified and committed individuals can work as a team to grow an idea through to successful execution.

As a geologist, the implied real estate value of this Company is immediately apparent to me by virtue of the location of exploration properties in established gold districts in North America. As the Company's President and CEO however, its potential true net asset value reveals itself exponentially with each new development and with each passing day.

When I joined the Company, I assumed management of a junior exploration company whose infancy was spent building a property portfolio of merit on which to focus future exploration, but not necessarily on building a corporate structure. I knew at the time that the extended program for Grandview management and its board of directors was to build that solid structure and along with it, shareholder confidence in more than just potential.

I am extremely pleased to report that we are where we hoped to be by the end of this quarter. The Company has arrived at a place where our foundation is solid, our property positions and fundamental exploration programs are well defined, and we have a stellar (albeit slight) board of directors plus over 250 years of cumulative geological experience spanning three generations. The Company is well funded and we have no debt.

Before we began the exploration season this spring we had some of the best minds in the industry fine-tuning geochemical and geophysical models to shed more focused light on identified target areas at our properties. The intensity of that focus remained for as long as the drills turned and the exploration programs continued. It continues today in Nevada and in Manitoba, and will continue through the winter in Ontario.

Already, we are seeing the benefits of such focus in areas like the 30 million ounce ($21 billion(i) USD) Red Lake Gold District in Ontario, where team geology and excellent science jointly enabled the discovery of previously undiscovered quartz vein systems with considerable visible gold on the Company's Dixie Lake Gold Project. Recently returned assay results indicate gold grades and widths similar to Goldcorp's 11 million ounce ($8 billion(i)) Red Lake Mine, one of the richest, lowest cost production gold mines in the world.

I cannot say with certainty what will come next, but I do know that our Red Lake success is just the beginning for the Company and for its shareholders.

Six Month Review:

Corporate

- As phase one of a plan to complete a $5 million financing to fund exploration, the Company completed a $1.46 million tranch. Dilution clauses imposed by the Toronto Stock Exchange mandated shareholder approval to proceed with the balance of financing.

- The Company received shareholder approval to raise an additional $3.45 million financing to fund exploration through 2007 and into 2008.

- The Company undertook a week-long program of introduction to Canadian institutional investors, with the dual goal of introducing new management and to showcase our commitment to the application of advanced geology, geochemistry and geophysics.

- Mr. Alex Korboukh, M.Sc., P.Geo (Russia, Israel) joined the Company as Exploration Manager for Canada. Alex has been instrumental in our efforts to re-build a technical group to carry out the important work of organizing and advancing our Canadian exploration projects and has contributed greatly to the success of the Dixie Lake drilling program this season.

- The Company added two extremely qualified geologists to its Canadian exploration team; Mr. Martin Tuchsherer, M.Sc., who is completing his Ph.D. at the University of Witwatersrand, South Africa (richest gold district in the world), and Mr. Peter MacDonald, B.Sc., who is in the final stages of completing his Masters degree at Laurentian University. Both geologists bring strong academic and field experience to the Company and were instrumental to the success of the Dixie Lake program.

- Dr. Peter Born, P.Geo joined the Grandview board of directors. Dr. Born brings a wealth of experience and expertise to the board. Peter was thrice awarded Canada's prestigious National Science and Engineering Research Council (NSERC) Post-Graduate Scholarship (1991,92,93), and has truly impressive field experience of direct relevance to Grandview exploration projects.

- The Company has improved its corporate profile considerably. With the re-organizing of the corporate structure and review of all eight properties in three gold districts, came the opportunity to communicate this information more completely to individual and institutional shareholders, the greater investment community and to our joint venture partners. The communications process has only begun, but already the Company is enjoying the positive results of a higher, more widely reaching profile, and a greater global understanding of the Company and its potential.

- More than 75 new pages of project information and regional activity maps have been added to the corporate website - www.grandviewgold.com.

- A more organized corporate structure delivers more finely-tuned financial controls which, while not immediately apparent to shareholders, result in better reporting procedures and facilitate the Company's ability to govern exploration programs and flow-thru commitments, and act quickly when property acquisition or joint venture opportunities present themselves.

Exploration

- In March, the Company concluded agreements with McKeena Gold to acquire 100% interest in the Angelina and Banksian properties in Manitoba's emerging Rice Lake Gold District, southeast of the 1.4 million ounce Rice Lake Gold Complex (formerly San Antonio Mine) in southeastern Manitoba. The Company firmly believes the Rice Lake District has many of the same attributes as the Red Lake Gold District in Ontario.

Rice Lake and Red Lake are separated only by the Ontario-Manitoba border and exploration histories. In spite of its similarities to Red Lake, Rice Lake remains virtually un-explored, having produced about 10% of the gold produced by the Red Lake District (30 million ounces), and almost all of that production happened pre WWII and the advent of modern exploration techniques. Grandview will begin diamond drilling on the Angelina property in October of 2007.

- In May, we commenced drilling on the Dixie Lake Project in the Red Lake Gold District of Ontario. The program was designed to follow-up on untested targets and determine the extent of mineralized shoots on the 88-04, Main and South Zones. Our project geologists and I were very pleased, though not entirely surprised by results that indicate those zones remain open at depth along strike length in at least one direction. Of even more importance was the discovery of some previously un-discovered quartz vein systems with visible gold. Recently received assay results indicate gold grades and widths similar to those at Goldcorp's Red Lake Mine, which again is one of the richest, lowest cost production gold mines in the world.

- We advantaged an opportunity to extend the Company's option agreement on the Sanshaw-Bonanza property in the Red Lake Gold District, until August 2008. The extension affords us the opportunity to explore the property during the winter when the lake is frozen and drill from a more advantageous and much more cost-effective position right over-top of the target.

- It is important to note that, the Company's Sanshaw-Bonanza project is located along the western boundary of the Goldcorp/Premier Gold Mines Rahill-Bonanza joint venture property. We are encouraged by the results reported by PG, most particularly as they relate to the continuation of the Follansbee/Bonanza (CP) Zones. A Red Lake Gold District regional activity map, showing neighbouring mines, gold deposits and exploration activity can now be found on our website at http://www.grandviewgold.com/Gold_Properties/Red_Lake_Gold_District/

- Company geologists spent a great amount of time compiling information, reviewing historical reports and working with consulting geologists in an effort to better understand and prepare the 2007 Nevada drilling program for our +28 square-mile Pony Creek project. The addition of new geologists, new information and advanced science benefited the program considerably and we are confident that our efforts will be rewarded by excellent results this year. I am supremely confident that our geological staff and consultants have a firm grasp on Pony Creek geology and we will be able to take full advantage of our considerable land position in the richest gold district in the western hemisphere.

- We have completed 'first pass prospecting' for much of our Manitoba interests and are currently analyzing the data, compiling information and building preliminary targets. Concurrently we are preparing to mobilize the diamond drill and the Canadian exploration team to our Angelina property in the emerging Rice Lake Gold District, to test targets this October. While our Manitoba projects are more-or-less all grass roots in nature, we are very confident that Rice Lake's similarities to Red Lake are of fundamental importance.

All in all it has been an extraordinarily busy year for Grandview Gold, and at that we are just getting started. This is a very busy and exciting time with drills turning, results coming in and the beginnings of a flood of ideas about what to do next.

Now that we have re-built our corporate structure and put the people and mechanisms in place to help us realize the top-shelf junior exploration company status we aspire to, we will endeavour to keep you, our valued shareholders even more informed every step of the way.

I know that I speak for all Grandview management and our board of directors when I communicate my anticipation of and confidence in the results of winter drilling at Sanshaw-Bonanza and also the late summer results from Pony Creek. The best, I believe, is yet to come.

In closing, I thank my colleagues at Grandview for affording me the opportunity to help shape the Company's future. Most particularly I thank you, our shareholder for the confidence and commitment you have shown to a truly great company, and for the patience you have shown through some difficult times and what can only be described as a disinterested precious metals market.

I trust that your patience and confidence will be rewarded as we enter an exciting new era for the Company. And how timely that we do so at the beginning of what appears to be a very 'interested' gold market. It will be my pleasure to keep you posted as our exploration season unfolds.

Sincerely,



Paul Sarjeant, B.Sc., P.Geo,
President and Chief Executive Officer
Grandview Gold Inc.

(i)calculated using today's gold price of $708 USD


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Grandview Gold Inc is a gold exploration company focused on creating value for shareholders by applying advanced geology, geochemical and geophysical science to reduce exploration and development costs at numerous high-grade gold properties in major gold camps of North America.

This document may contain forward-looking statements, relating to the Company's operations or to the environment in which it operates, which are based on Grandview Gold Inc.'s operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or beyond Grandview Gold Inc.'s control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place undue reliance on such forward-looking statements. Grandview Gold Inc. disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events of otherwise.

Contact Information

  • Grandview Gold Inc.
    Paul Sarjeant
    (416) 486-3444
    or
    Grandview Gold Inc.
    Dr. Michael Hitch
    (647) 283-0825
    Website: www.grandviewgold.com