Minco Gold Corporation
TSX : MMM
FRANKFURT : MI5
NYSE Amex : MGH

Minco Gold Corporation

July 16, 2009 09:30 ET

Minco Gold Advises of Late Filing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 16, 2009) - Minco Gold Corporation (the "Company" or "Minco Gold") (TSX:MMM)(NYSE Amex:MGH)(FRANKFURT:MI5) advises that it is unable to file its annual report on Form 20-F for the year ended December 31, 2008 within the prescribed time limits as set out in Form 12b-25 (Notification of Late Filing) because the Form 20-F is still the process of review by the independent auditors. The Company is working diligently with the auditors and expected to be the position to file the Form 20-F no later than July 24, 2009.

PRELIMINARY FINANCIAL RESULTS

Minco Gold's financial results for the year ended December 31, 2008 and 2007 are as follows, detailed audited financial statements are located on www.sedar.com.



Consolidated Balance Sheets
(Expressed in Canadian Dollars)

December 31, December 31,
2008 2007

ASSETS

Current assets
Cash and cash equivalents 2,604,411 1,302,483
Short-term investments 922,559 6,149,044
Receivables 896,731 319,337
Due from Minco Silver 1,246,282 4,639,788
Due from Minco Base Metals 506,569 271,999
Prepaid expenses and deposits 129,113 103,672
Assets of discontinued operations - 5,838

6,305,665 12,792,161

Long-term rental deposit 51,523 51,277
Long-term marketable securities 12,600 -
Mineral interests - 358,500
Plant, property and equipment 513,521 499,710
Equity investment in Minco Silver 3,675,116 3,079,412
Assets of discontinued operations - 4,461
Total assets 10,558,425 16,785,521

LIABILITIES

Current liabilities
Accounts payable and accrued liabilities 5,671,434 889,863
Loan payable 2,881,237 -
Due to Minco Silver - 1,929,893
Tax payable 136,136 -
Liabilities of discontinued operations - 38,549

Total current liabilities 8,688,807 2,858,305

Non-controlling interest - 82,685

SHAREHOLDERS' EQUITY

Share capital 34,021,922 33,941,510

Contributed surplus 4,930,097 3,721,117

Deficit (37,082,401) (23,818,096)

Total shareholders' equity 1,869,618 13,844,531

Total liabilities and shareholders' equity 10,558,425 16,785,521


Consolidated Statements of Operations and Comprehensive Loss and Deficit
(Expressed in Canadian Dollars)

Year ended Year ended
December 31, December 31,
2008 2007

Exploration permit 6,611,918 842,788
Exploration costs 3,934,589 2,078,346
10,546,507 2,921,134

Administrative expenses
Accounting and audit 184,294 122,020
Amortization 100,754 54,668
Consulting 284,006 76,368
Directors' fees 48,000 62,500
Foreign exchange loss 991,029 417,813
Investor relations 353,862 579,498
Legal 49,231 47,408
Regulatory and filing 105,838 91,948
Meals and entertainment 75,845 51,104
Office and miscellaneous 169,644 201,038
Property investigation 88,353 218,672
Rent 222,044 233,011
Salaries and benefits 562,138 693,436
Stock-based compensation 1,242,953 2,022,850
Telephone 28,165 16,322
Interest expense 211,402 -
Travel and transportation 109,691 127,380
4,827,249 5,016,036
Operating loss (15,373,756) (7,937,170)
Other income (loss)
Gain on sale of exploration permit 425,632 -
Share of loss from equity investment in Minco
Silver (948,750) (3,239,898)
Dilution gain 1,544,454 191,000
Write down of marketable securities (75,600) (232,546)
Gain on sale of Minco Silver shares - 2,978,034
Write down of mineral interests (358,500) -
Gain on sale of commercial notes 3,790 -
Rental income 68,109 58,761
Sundry income 150,000 -
Interest income 138,250 248,010
Loss for the year before discontinued operations,
non-controlling interest and tax expenses (14,426,371) (7,933,809)
Tax expenses (85,349) -
Loss for the year before discontinued operations
and non-controlling interest (14,511,720) (7,933,809)
Non-controlling interest 82,685 429,442
Loss for the year from continuing operations (14,429,035) (7,504,367)
Earnings (loss) for the year from discontinued
operations 1,164,730 (75,864)
Loss and comprehensive loss for the year (13,264,305) (7,580,231)

Deficit, beginning of year (23,818,096) (16,231,366)
Share buy back cost in excess of book value - (6,499)
Deficit, end of year (37,082,401) (23,818,096)
Loss per share from continuing operations
- basic (0.34) (0.18)
Earnings per share from discontinued operations
- basic 0.03 -
Earnings per share from discontinued operations
- diluted 0.03 (0.00)

Loss per share - basic and diluted (0.30) (0.18)
Weighted average number of common shares
outstanding - basic and diluted 42,970,813 42,908,809


Consolidated Statement of Cash Flows
(Expressed in Canadian Dollars)

Year ended Year ended
December 31, December 31,
2008 2007

Cash flows (used in) operating activities
Net loss from continuing operations for the
year (14,429,035) (7,504,367)
Adjustment to reconcile net loss from
continuing operations to cash provided by
(used in) operating activities:
- amortization of equipment 100,754 54,668
- equity loss on investment in Minco Silver 948,750 3,239,898
- dilution gain (1,544,454) (191,000)
- stock-based compensation 1,242,953 2,022,850
- gain on sale of exploration permit (425,632) -
- foreign exchange loss 991,029 417,813
- non-controlling interest in loss (82,685) (429,442)
- write down of marketable securities 75,600 232,546
- write down of mineral interests 358,500 -
- gain on sale of Minco Silver shares - (2,978,034)
Change in non-cash working capital items:
- increase in receivables (87,111) (41,783)
- due from Minco Base Metals (234,570) (271,999)
- decrease (increase) in prepaid expenses and
deposits (25,687) 81,134
- increase in accounts payable and accrued
liabilities 1,693,433 483,224
- increase in tax payable 85,349 -
Cash used for operating activities of
continuing operations (11,332,806) (4,884,492)
Cash provided by operating activities of
discontinued operations 677,004 1,756
(10,655,802) (4,882,736)

Cash flows from (used in) financing activities
Proceeds from issuance of shares in Minco Gold 46,439 105,808
Movement in loan payable 2,881,237 -
Cost of share buyback - (44,451)
Non-controlling interest - 512,128
2,927,676 573,485

Cash from (used) in investing activities of
continuing operations
Acquisition of equipment (114,565) (245,978)
Decrease in short-term investments 5,138,285 4,745,616
Proceeds from sales of mineral interest 425,632 -
Proceeds from sale of Minco Silver shares - 3,248,416
(Increase) decrease in Due from Minco Silver 3,393,506 (1,903,602)
Cash from investing activities of continuing
operations 8,842,858 5,844,452
Cash from investing activities of discontinued
operations 4,461 -
8,847,319 5,844,452

Effect of exchange rate changes on cash and
cash equivalents 182,735 (417,814)
Increase in cash and cash equivalents 1,301,928 1,117,387
Cash and cash equivalents, beginning of period 1,302,483 185,096

Cash and cash equivalents, end of period 2,604,411 1,302,483
138,250 248,010


ABOUT MINCO GOLD

Minco Gold Corporation (TSX:MMM)(NYSE Amex:MGH)(FRANKFURT:MI5) is a Canadian mining company involved in the direct acquisition and development of high-grade, advanced stage gold properties. The Company owns an exploration property portfolio covering more than 1,000 square kilometres of mineral rights in China. For more information on Minco Gold and its properties, please visit the website at www.mincomining.ca.

ON BEHALF OF THE BOARD

Dr. Ken Z. Cai, President & CEO

The statements that are not historical facts are forward-looking statements involving known and unknown risks and uncertainties which could cause actual results to vary considerably from these statements. The risks and uncertainties include those described in Minco Gold's annual report on Form 20-F filed with the U.S. Securities and Exchange Commission. Forward Looking Statements: Statements in this news are forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward looking statements are statements that are not historical facts and that are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including risks related to the exploration stage of the company's projects; market fluctuations in prices for securities of exploration stage companies; uncertainties about the availability of additional financing; uncertainties related to fluctuations in gold prices; the possibility that Minco Gold Corporation may change its plans with respect to one or more properties; and other risks and uncertainties described in the company's annual report on Form 20-F and Reports on Form 6-K filed with or furnished to the U.S. Securities and Exchange Commission. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

The TSX has neither approved nor disapproved of the information contained herein.

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