SOURCE: MGM Mineral Resources Inc.

August 22, 2006 10:00 ET

MGM Mineral Resources Receives Strong Support From Regional and Provincial Governments in Colombia

TORONTO -- (MARKET WIRE) -- August 22, 2006 -- Metro Gold Mines Mineral Resources Inc. (PINKSHEETS: MGMX), is a growing gold mining company engaged in the acquisition and development of production properties in South and Central America.

Mr. Jairo Giraldo, C.E.O. of the Company held meetings with members of local and provincial governments in relation to the future direction of Metro Gold Mines Mineral Resources.

"It is extremely important to have the government on your side when dealing with a large operation such as this," said Jairo Giraldo, C.E.O. of MGM Mineral Resources. "It was a privilege to receive an official written invitation from the local government in which they support our Company and future projects."

The Company has also been dealing with members of Provincial and Federal governments in order to establish MGM Mineral Resources nationally and internationally.

"We will post any letters we receive regarding government support and local news, as the Company continues to grow," said Jairo Giraldo. "Our website will become more interactive as we grow. It will become a center of ongoing information for our shareholders and will enable the world to view our progress."

The Company will post the recent letter from the local government on the website shortly.

About MGM Mineral Resources (PINKSHEETS: MGMX)

Metro Gold Mines Mineral Resources Inc. is a growing, expertly managed gold mining company focused on acquiring and producing an impressive portfolio of exploration and production properties in South and Central America. MGM Mineral Resources is working to establish itself as a world-class gold company, capitalizing on smart acquisitions, breakthrough technology, modernized operations, deep industry expertise and a strong gold market to cost-effectively produce high quality gold. The company has identified a significant opportunity to exploit proven but under-developed mineral resources in Colombia. MGM Mineral Resources was initially targeting the richest gold zone in Colombia, Segovia, but is now extending to other areas throughout the country. For more information please visit www.mgmmining.com

Forward-Looking Statements

Statements contained in this news release, which are not historical facts, are forward-looking statements within the meaning and pursuant to the Safe Harbor provisions of the Securities Litigation Reform Act of 1995 that involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things: volatility and sensitivity to market prices for gold; replacement of reserves; procurement of required capital equipment and operating parts and supplies; equipment failure; unexpected geological or hydrological conditions; political risks arising from operating in certain developing countries; imprecision in reserve estimates; success of future exploration and development initiatives; competition; operating performance of the facilities; environmental and safety risks including increased regulatory burdens; seismic activity, weather and other natural phenomena; failure to obtain necessary permits and approvals from government authorities; changes in government regulations and policies including tax and trade laws and policies; ability to maintain and further improve positive labor relations; and other development and operating risks. Although MGM Mineral Resources believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this report. The company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Contact Information

  • Contact:
    Mr. Kenneth Lamb
    President
    416-214-7847