Midway Gold Corp.

Midway Gold Corp.

August 20, 2007 08:01 ET

Midway Identifies Twelve Bonanza Gold Veins at Midway Project, Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 20, 2007) - Midway Gold Corp. (the "Company") (TSX VENTURE:MDW) is pleased to announce the identification of 12 "Bonanza" gold veins in the Discovery Zone at the Midway Project, Nevada. They include the Midway vein with a weighted average grade of 4.387 opt (ounces per ton) gold over an average true width of 5.9 feet, and the Rochefort vein with a weighted average grade of 1.296 opt gold over an average true width of 4.0 feet. To view accompanying map and section, click on the following link: http://www.ccnmatthews.com/docs/MDW_MapANDSection.pdf. Bonanza gold veins have assays greater than 0.15 opt gold.

A three-dimensional analysis of 132 holes in the Discovery Zone found most high grade intercepts were in narrow vertical veins. There were sufficient intercepts in 12 veins to estimate an average grade and true width. See the table below. Another 10 high-grade veins are identified and need additional drilling to fully delineate. An additional 55 high grade gold intercepts, representing discrete high-grade gold veins have been identified in the more distal portions of the deposits that require further definition drilling.

The veins occur in a sub-parallel clusters, 10-20 feet apart, with an average width of 6 feet. In a portion of the Dauntless Foot Wall vein, the maximum width is 22 feet. High grade gold occurs where the veins cross an unconformity between underlying argillite and overlying volcanics. Veins hosted in the argillite are well-defined veins and breccias. Where they pass upward into the volcanics, veins splay out to form numerous thinner sub-parallel veins in a braided stockwork zone. Visible gold is common in these veins.

Veins in the Discovery Zone
% Inter-
Wtd Avg cepts
Grade greater Avg Strike
Discovery Zone (opt # than 1 Width Vertical Length
Vein - Map label gold(1)) Intercepts opt gold (ft) (ft) (ft)
Midway Vein - 1 4.387 18 16.7% 5.9 280 370
Rochefort - 2 1.296 12 8.3% 4.0 324 422
McCluskey - 3 0.798 12 8.3% 5.9 388 185
Dauntless East 0.772 6 16.7% 4.6 349 443
Dauntless HW 0.991 6 16.7% 8.6 231 150
Dauntless FW 0.478 5 0.0% 12.4 198 152
Gallaher - 4 0.570 4 25.0% 5.9 371 252
Massey - 5 0.408 9 11.1% 7.3 177 158
Lindsie - 6 0.143 7 0.0% 4.0 372 235
Naldron - 7 0.239 7 0.0% 9.5 249 177
Nimitz - 8 0.245 9 0.0% 4.6 324 539
Spruance - 9 0.202 12 0.0% 2.6 335 308
(1) Weighted average uses the true thickness of the vein at the intercept.

Alan Branham, President and CEO of Midway Gold Corp., said, "The re-analysis of the Midway veins has greatly improved our understanding of the gold system. We now recognize a boiling horizon and the structural control of gold shows that many past drill holes missed the key gold horizon along the veins. This gives us an opportunity to significantly expand the gold resource on the project. We modeled the gold to 400 feet, but there is limited testing below that level so gold could extend deeper. Our next step in developing the resource will be to drive an underground decline into the Discovery Zone. This will create an exploration and mining platform from which to take a bulk sample of the better defined high grade veins and to drill and convert the sparsely drilled veins to reserve." Midway is currently conducting a 1,200 foot geotechnical core drilling program to be used in the underground design.

The Midway project is located at the intersection of the well-known Round Mountain/Goldfield trend and the northern edge of the Walker Lane. It is a low-sulfide epithermal gold system with near-vertical quartz-adularia-gold veins. Bonanza gold veins occur in a series of en echelon vein clusters along a 1.5 mile northwest-trending band of mineralization. The best previously reported gold intercept was 2.5 feet of 119 opt gold in 17 feet that averaged 34.7 opt gold in core hole MW210 from the Midway vein.

Significant gold intercepts have been encountered outside of the Discovery Zone in additional gold targets. Examples of previously reported drill intercepts include:

121 Zone MW 214: 25.0 ft of 1.01 opt gold
MW 211: 72.5 ft of 0.125 opt gold
63-77 MW 77: 55.0 ft of 0.211 opt gold
Nautilus MW 123: 20.0 ft of 0.15 opt gold
SP MWM-17: 15.0 ft of 0.295 opt gold

In other Nevada exploration projects:

The Company is currently exploring the Spring Valley project (Nevada) with five drill rigs. Drilling is also continuing on the Pan project (Nevada).

Midway Gold Corp. is a precious metals exploration company listed as a Tier 1 issuer on the TSX Venture Exchange under the symbol "MDW". Midway focuses on the creation of value for shareholders by aggressively exploring and developing quality precious metal resources in stable mining areas. Details of Midway Gold's projects are available on the Company's website at www.midwaygold.com.

This release has been reviewed and approved by Alan Branham (M.Sc. and CPG), a "qualified person" as that term is defined in National Instrument 43-101.


Alan Branham, President and CEO

This press release contains "forward-looking information" which may include, but is not limited to, statements with respect to the timing of our exploration and drilling programs; timing of the preparation of our preliminary economic assessment, geological models, mine plan and definitive feasibility study; expectations related to enhancing resource grades; financing plans and the availability of future financing for our projects; anticipated results of our exploration, and other plans, projections, estimates and expectations. Such forward-looking statements reflect our current views with respect to future events and are subject to certain risks, uncertainties and assumptions, including, the risks and uncertainties. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, believed, estimated or expected. We do not undertake to update forward-looking statements.

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

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