Lago Dourado Intercepts 1m of 30.7g/t and 1m of 22.6g/t Gold in Step-Out Hole, Increases Strike at Querosene Zone, Juruena Project, Brazil

TORONTO, ONTARIO--(Marketwire - Sept. 13, 2011) - Lago Dourado Minerals Ltd. (TSX VENTURE:LDM) (the "Company") announced that it has extended the known mineralisation at the recently discovered Querosene Zone at its Juruena Project, in Mato Grosso, Brazil. Hole JRND027 intercepted 1 metre of 30.7 g/t gold at a depth of 57 metres and 1 metre of 22.6 g/t gold at a depth of 66 metres in a step-out hole drilled 200 metres west of hole JRND022 which intercepted 2 metres of 47.1 g/t (see news release July 21, 2011). The strike length of the discrete, narrow, high-grade veins at the Querosene Zone now covers approximately 500 metres (see Figure A). Geophysical and gold soil geochemical anomalies continue 1.5 km to the west of hole JRND027 to the Crentes Zone and 2 km to the south of hole JRND018 to the Capixaba Zone that was drilled historically and returned similar narrow, high-grade intercepts including 3.7 m of 131.3 g/t gold.

Drill results received to date, which have been from zones on the edges of the giant geochemical footprint (the subcircular gold-in-soil anomaly at Juruena covers more than 10 sq km), have improved the geological understanding of the deposit. The metal association from multi-element analyses of drill core is Ag-Au to Au-Ag-Cu-Mo, with variable Bi, Te, Sb, Pb, Zn, suggesting a magmatic-hydrothermal system such as a porphyry to high-sulfidation mineral system or, potentially but less likely, an intrusion-related gold system. Variation in mineralization style from discrete high-grade Au-Ag quartz veins to zones of vein stockworks, disseminations, sheeted veins and breccias are consistent with this concept.

Drilling has now shifted away from the edges of the system and is focused more in the centre of the gold footprint with two rigs currently testing the Jacare's Field target (see Figure B). This target represents the largest and most consistent gold-in-soil anomaly (1 km x 1.4 km area averaging 180 ppb Au) outlined on the project to date. Further, this anomaly borders a major lithological contact zone, is coincident with a magnetic low, and is bounded by two magnetic highs.

"The positive drill results reported across multiple zones within the giant gold footprint at Juruena are very promising, particularly this early in the exploration program. We are optimistic that a better understanding of the geological model through the continuing Phase I drill program will lead us to the more mineralized zones in the system. We look forward to reporting further results as they are received," commented Forbes Gemmell, CEO.

Results for the remaining three of nine holes at Querosene are summarized below (results from the first six holes at Querosene are summarized in a press release issued July 21, 2011).

Table 1 – Assay Result Summary

*Intervals 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, and at least 0.5 million oz of gold has been mined from surface workings, over 10 square kilometres of the property. The Company has conducted systematic exploration programs over portions of the property and priority target areas are now being drill tested with a phase 1 drill campaign expected to continue through the fall of 2011. Large portions of the 70 sq. km property remain largely untested. The Company currently has 71.3 million shares outstanding.

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 the first figure associated with this press release, please visit the following link: http://media3.marketwire.com/docs/ldm0913figa.pdf.

To view the second figure associated with this press release, please visit the following link: http://media3.marketwire.com/docs/ldm0913figb.pdf.