Otis Reports Strong Metallurgy Results from its Kilgore Mine Ridge Deposit


VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 11, 2011) -Otis Gold Corp. ("Otis" or the "Company") (TSX VENTURE:OOO)(PINK SHEETS:OGLDF) is pleased to announce the receipt of additional positive gold recoveries from column leach tests performed on bulk samples from the Company's Kilgore Mine Ridge gold deposit, Clark County, Idaho. These results, in conjunction with historic column leach testing from the deposit, provide continuing support that the deposit is readily amenable to standard heap-leach process technology.

The column leach tests were run by McClelland Laboratories, Inc. of Sparks, Nevada, on composites of the three main host rock types collected throughout the deposit area. Column percolation tests demonstrate that three composites are amenable to simulated heap-leach cyanidation treatment at the 80% -1/2 inch feed size. The bulk of the Mine Ridge mineralization occurs in two rock types, felsic dikes and lithic tuff, which together comprise an estimated 93% of the deposit and exhibit column leach recoveries of 85.3% and 81.0% respectively. The tests performed indicate that up to 77% of the gold was recovered within 30 days.

Table 1. Results from Otis Gold's 2010 Column Leach Tests on ½ inch crushed material.
ROCK TYPE% Gold RecoveryRock Type as Percentage of Mine Ridge DepositCN Consumption1(lbs/ton ore)Lime Consumption (lbs/ton ore)
Felsic Dike85.3%28%3.153.00
Lithic Tuff81.0%65%3.363.36
Aspen Fm.69.8%7%3.913.91
Note 1: Commercial CN consumption in heaps is generally 25%-33% of NaCN consumption achieved from laboratory tests.

Craig Lindsay, the Company's president, commented, "We have achieved excellent metallurgical recovery rates at Kilgore which are a critical component in the overall economics of developing a profitable gold deposit. Further, the results confirm and expand on the favorable metallurgical tests that were historically performed by Echo Bay Mines."

The results Otis obtained confirm and expand upon the favorable metallurgical tests that were historically obtained by Echo Bay, which ranged from 64% to 94%, based on oxidation type. Otis geologists believe that it was advantageous to run tests based on host rock type in addition to oxidation type because oxidation state is related to dike emplacement, which are responsible for the introduction of the gold-bearing ore fluids. Recoveries based on rock type will feed directly into Otis' deposit modeling that is being performed this year.

Tests were conducted on between 93 and 123 kg composite samples from a variety of drill holes scattered throughout the deposit from split HQ-3 drill core. Each composite was stage crushed in its entirety to 80% -1/2" in size. Crushed composites were each thoroughly blended and split to obtain approximately 68 kg for a column leach test and each sample was blended and split to obtain 1 kg for triplicate head assays. Column tests were not optimized for sodium cyanide ("NaCN") consumption and used 3.1 to 3.9 lbs NaCN; however, projected NaCN consumption in production heaps is typically 25 to 33% of the NaCN consumption achieved in laboratory testing. McClelland reports, "Column test cyanide consumptions encountered during commercial production would probably not exceed 1.3 lbs NaCN/ton of ore." Lime additions of 2.0 to 4.5 lbs/ton were sufficient for maintaining protective alkalinity during leaching.

Otis plans on performing large diameter column leach tests, during its 2011 Kilgore program, on a coarser crush size conducting additional analytical and characterization work to better understand the leach parameters and to optimize leach results for use in designing full scale operations. Upon completion of these large diameter column tests, McClelland will be providing the Company with an independent certified report of the results.

John R. Carden, Ph.D., Lic. Geo., a Qualified Person as defined by National Instrument Policy 43-101, is responsible for the collection and preparation of the bulk samples tested and the technical information contained in this News Release.

About the Company

Otis is a resource company focused on the acquisition, exploration, and development of precious metal deposits in Idaho, USA. Otis is currently developing its flagship property, the Kilgore Gold Project, located in Clark County, Idaho.

ON BEHALF OF THE BOARD

Craig T. Lindsay, President and CEO

The forward-looking information contained in this press release is made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information:

Otis Gold Corp.
Craig Lindsay
604.683.2507
604.683.2506
craig@otisgold.com
www.otisgold.com