Lago Dourado Discovers New Gold Zone: Intercepts 13 Metres of 4.00g/t Gold and 57 Metres of 1.52g/t Gold From Surface at Mauro, Juruena Project, Brazil

TORONTO, ONTARIO--(Marketwire - Aug. 28, 2012) - Lago Dourado Minerals Ltd. (TSX VENTURE:LDM) (the "Company") has discovered a new mineralized zone from its ongoing reconnaissance-style RC drill campaign at its flagship, 100%-owned Juruena Project located in Mato Grosso, Brazil. The discovery of the Mauro Zone is particularly encouraging due to the presence near-surface of higher grade mineralization within a lower grade halo. The Mauro Zone is located adjacent to the new major porphyry target identified in the recently completed IP survey and is proximal to the Uiliam zone, where Hole JRND046 intercepted 216 metres of 0.55g/t gold (see Figure A). Assay highlights from this zone include:

• Hole JRNRC014 intercepted 57 metres of 1.52 g/t gold from surface including 1 metre of 60.70 g/t gold;
  
  
• Hole JRNRC010 intercepted 13 metres of 4.00 g/t gold including 2 metres of 20.90 g/t gold;
  
  
• Hole JRNRC011 intercepted 22 metres of 1.11g/t gold from surface including 1 metre of 16.30g/t gold.
  
  

"The existence of higher grade mineralization close to surface has positive implications for the resource potential of the Mauro Zone and also adds another zone to the potential resource base being systematically compiled by our exploration team. We look forward to receiving additional RC results of the main porphyry targets as well as to the deeper testing of these targets with the recommencement of diamond drilling in September," commented Forbes Gemmell, CEO.

High-grade near-surface mineralization at Mauro is predominantly associated with supergene enrichment but also includes primary mineralization within the host rock. The mineralized zone at Mauro has been identified over an area of 300 metres by 150 metres with ten of the 11 holes drilled at this zone intersecting gold mineralization and with three holes ending in mineralization (see Figure B). The zone remains largely untested and there is excellent exploration potential given the gold-in-soil anomaly that led to the identification of the Mauro Zone continues approximately 500 metres to the north and 500 metres to the south.

Arrastro Target

Drill hole JRNRC007 at Arrastro Sul, a new and previously untested zone adjacent to the south of the Arrastro Hills Porphyry complex, intercepted 65 metres of 0.21g/t gold near-surface and 22 metres of 0.46g/t gold at the bottom of the hole. The hole was mineralized throughout. Its close proximity to the Arrastro Hills porphyry system indicates that this large system (5km by 2.5km) is highly likely to contain multiple mineralized bodies. Arrastro Sul consists of a large Au-Mo-Cu soil anomaly that corresponds with an ovoid magnetic feature (+600m) which is intersected by the main Juruena Fault. Mineralization consists of finely disseminated sulfides within a moderately altered, fine grained mafic intrusive rock with an intensely altered, fine grained felsic intrusive unit encountered towards the bottom of the hole where higher gold grades were reported.

Five RC holes were drilled at the Arrastro SE porphyry target with only JRNRC004 intercepting gold mineralization (3 metres of 0.75g/t gold and 1 metre of 3.61g/t gold). All holes were drilled prior to the completion of the IP survey and were drilled outside the zone that demonstrated the strongest chargeability anomaly. Hole JRNRC004 was the closest hole to the IP anomaly (100m away) and gold mineralization in the hole was associated with sulfide veinlets, a positive indicator that the IP anomaly lies on mineralization. Follow up RC holes have been designed to test the four main IP anomalies at Arrastro Hills and will be completed in the coming weeks.

Table 1 - Juruena Assay Result Summary:
Hole Number		Zone		From (m)		To (m)		Length (m)		Au (g/t)		Ag (g/t)		Hole ended in mineralization
JRNRC001		Arrastro Sul		0		25		25		0.16		0.08
JRNRC002		Arrastro SE		No significant mineralization
JRNRC003		Arrastro SE		No significant mineralization
JRNRC004		Arrastro SE		28		31		3		0.75		0.26
				46		47		1		3.61		1.40
JRNRC005		Arrastro SE		No significant mineralization
JRNRC006		Arrastro SE		No significant mineralization
JRNRC007		Arrastro Sul		4		69		65		0.21		0.34		Y
				94		116		22		0.45		0.60
JRNRC008		Mauro		0		19		19		0.48		0.27		Y
				40		44		4		1.18		5.89
JRNRC009		Mauro		0		8		8		0.36		nsm		Y
				33		37		4		0.39		0.65
JRNRC010		Mauro		0		14		14		1.07		0.58
				43		56		13		4.00		0.52
including				43		45		2		20.90		2.29
JRNRC011		Mauro		0		22		22		1.11		0.57
including				12		13		1		16.30		3.65
JRNRC012		Mauro		14		19		5		0.70		nsm
JRNRC013		Mauro		34		40		6		0.27		nsm		Y
JRNRC014		Mauro		0		57		57		1.52		0.28
including				10		11		1		60.70		5.17
JRNRC015		Mauro		0		21		21		0.27		nsm
JRNRC016		Mauro		20		21		1		2.49		0.47
				29		31		2		0.88		0.21
JRNRC017		Mauro		33		36		3		0.86		0.44
JRNRC018		Mauro		45		47		2		1.00		0.29
Note - Intervals are based on a bottom cut-off of 0.15g/t gold and do not necessarily indicate true widths.

Qualified Person

Murray Paterson, P.Geo, Vice President Exploration and Development for Lago Dourado Minerals Ltd, is the Qualified Person, within the meaning of NI 43-101,who reviewed the technical data in this news release. Samples were fire assayed by Acme Analytical Laboratories S.A. in Santiago, Chile.

About the Company:

Lago Dourado Minerals Ltd. is a Canadian mineral exploration company focused on advancing its 100%-owned Juruena gold project in the state of Mato Grosso, Brazil. Extensive gold mineralization has been identified over 15 square kilometres of the property, and at least 450,000 oz of gold has been mined from surface workings. The Company has conducted systematic exploration programs over portions of the property and priority target areas will be drill tested with a Phase 2 drill campaign that is expected to be ongoing through 2012.

For further information about the company, please visit www.lagodourado.com or www.sedar.com.

Forward-Looking Statements

This news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of Canadian securities laws. All statements other than statements of historical fact are forward-looking statements. Undue reliance should not be placed on forward-looking statements, which are inherently uncertain, are based on estimates and assumptions, and are subject to known and unknown risks and uncertainties (both general and specific) that contribute to the possibility that the future events or circumstances contemplated by the forward-looking statements will not occur. Although Lago Dourado believes that the expectations reflected in the forward looking statements contained in this press release, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking statements included in this document, as there can be no assurance that the plans, intentions or expectations upon which the forward-looking statements are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause Lago Dourado's actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof and Lago Dourado does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, except as required by applicable law. The forward-looking statements contained herein are expressly qualified by this cautionary statement.

To view Figure A, please visit the following link: http://media3.marketwire.com/docs/LAGOFIGA.pdf.

To view Figure B, please visit the following link: http://media3.marketwire.com/docs/LAGOFIGB.pdf.