Molycor Gold Corp.
TSX VENTURE : MOR
PINK SHEETS : MLYFF
FRANKFURT : M1V

Molycor Gold Corp.

September 29, 2010 06:00 ET

Molycor Gold Corp.: Surface Sampling Extends the Magnesium Zone an Additional 1000 Meters

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 29, 2010) - Larry W. Reaugh, Chairman and Chief Executive Officer of Molycor Gold Corp. (TSX VENTURE:MOR)(PINK SHEETS:MLYFF)(FRANKFURT:M1V) ("Molycor" or the "Company") reports rock chip and outcrop sample assays up to 13% Mg were received from this summer's geological surface mapping and rock sampling program on the Tami-Mosi Magnesium property, located 6.5 miles east of Ely, Nevada.

The program consisted of sampling the identified dolomite blocks to determine the surface dimensions. To date the area of the Tami-Mosi dolomites have been interpreted to cover 126.45 Ha with an average thickness of 144 meters and a strike length over 4130 meters.

51 samples were tested within the property and are listed below:

Sample # Mg% Sample # Mg% Sample # Mg%
PM602 10.40 PM630 2.56 PM650 11.50
PM603 10.85 PM631 11.85 PM651 10.40
PM604 10.10 PM632 12.35 PM652 10.30
PM605 10.20 PM633 12.15 PM653 11.40
PM606 11.45 PM634 12.25 PM654 11.70
PM607 9.53 PM635 8.62 PM655 11.20
PM612 10.40 PM636 8.25 PM656 12.60
PM613 10.90 PM637 9.56 PM657 12.45
PM614 9.05 PM638 12.35 PM658 12.85
PM615 12.05 PM639 12.80 PM659 12.55
PM616 10.35 PM640 13.05 PM660 12.65
PM617 10.00 PM641 11.95 PM661 12.35
PM619 7.71 PM642 12.65 PM662 12.30
PM622 9.19 PM643 12.10 PM663 12.55
PM623 10.05 PM644 10.55 PM664 11.00
PM624 11.20 PM645 11.90    
PM628 11.85 PM646 11.85    
PM629 12.70 PM649 10.75    

The dolomite block is of as high a purity as those past producers of magnesium from dolomite and near identical to the National Institute of Standards & Technology Standard Reference Material 88b. (See news releases dated Jan 20, 2009, July 07, 2009 and Sept 15, 2010).

Management is currently in discussions with consultants with the expertise and knowledge of the global magnesium market and operations. The Company will be seeking the funding to facilitate the completion of a Preliminary Economic Assessment in order to advance the project to its next level of development.

Assays were performed by ALS Chemex Laboratories, located in Vancouver, British Columbia.

About Magnesium:

Although magnesium is found in over 60 minerals, only dolomite, magnesite, brucite, carnallite and olivine are of commercial importance. Magnesium and other magnesium compounds are also produced from seawater, well and lake brines and bitterns. Magnesium metal's principal use is as an alloying addition to aluminum, and these aluminum-magnesium alloys are used mainly for beverage cans; another major use of Magnesium is as an alloy in the structural components of automobiles and machinery. Magnesium also is used to remove sulphur from iron and steel.

In 2009, magnesium was produced by only one company in the USA at a plant in Utah by an electrolytic process that recovered magnesium from brines from the Great Salt Lake. China produces approximately 80% of the world's magnesium and enjoys market dominance. The American government has placed countervailing duties against Chinese imports.

About Molycor Gold Corp:

Molycor is a diversified precious, speciality and base metal exploration and development company focusing on magnesium, molybdenum and gold exploration and development in North America.

This release was reviewed by Norm Tribe, P.Eng., a qualified person recognized under National Instrument 43-101.

On Behalf of Management

Larry W. Reaugh, Chief Executive Officer

For all Molycor Gold Corp. investor relations needs, investors are asked to visit the Molycor Gold Corp. website at www.molycor.com.

This news release may contain certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the TSX-Venture Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.

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

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