Q-Gold Resources Ltd.

Q-Gold Resources Ltd.

October 20, 2006 09:00 ET

Q-Gold Resources Ltd. Updates Gold Exploration Program in Mine Centre, Ontario

FORT FRANCES, ONTARIO--(CCNMatthews - Oct. 20, 2006) - Q-Gold Resources Ltd. (TSX VENTURE:QAU)(Frankfurt:QX9) announced today it has completed the final stripping phase of its program to trench and sample additional surface quartz veins in the Foley and Golden Star Gold Mine Complexes on its 100% owned 26,840 acres of mining claims, Crown Leases and Patented Claims at Mine Centre in Northwestern Ontario.

The final phase has uncovered 1,455 metres of total strike length from eleven surface veins to be added to Q-Gold's inventory of prospective gold-bearing veins at Mine Centre. Three of the individual veins exceed 300 metres in strike length.

Bruce Carruthers, President and CEO, said, "I am happy to report that these results, when added to the Company's stripping and trenching activities reported on October 5, 2006 and the 2005 program, mean that we have uncovered a total of 4,022 metres (13,192 feet) of additional potential gold-bearing surface quartz veins on our holdings at Mine Centre for further exploration and sampling. Most of these veins were previously known but never fully exposed because of erosion since the Pre-Cambrian (2.6 million years) and widespread Pleistocene (recent) glacial cover. Trenching and channel sampling at 10metre intervals across the uncovered veins is currently in progress, with an extensive series of 'pulp metallic' assay results expected shortly."

As disclosed in the Company's NI 43-101 Technical Report, over 100 quartz veins on Q-Gold's Mine Centre properties have recorded gold values. The veins uncovered in both the 2005 and 2006 programs are contained in an area encompassing 22.5 square kilometres (5,560 acres). They comprise a very large and relatively unexplored gold/quartz vein complex within a large Archean felsic intrusive body, which also contains the past producing Foley and Golden Star Mines. Numerous other veins with known gold values on the properties remain to be stripped and trenched.

During the current program, a series of ore samples from mine dumps associated with development activities in 1925-28 at the Foley Mine, were also collected and sent for assaying. Although 3 shafts and over 2.5 kilometres of drifting were achieved over 7 levels to 850 feet and a mill was under construction, no ore was produced, as funding ran out as a result of the Great Depression.

As previously announced, the Corporation is awaiting the results of a report being prepared by Northwestern Mineral Development Services of Kenora, Ontario, evaluating the feasibility of de-watering the Foley Mine and opening it up to underground exploration to confirm historical reports of Foley gold resources/reserves (non NI-43-101 compliant).

In the past, a highly-fragmented land position prevented modern exploration efforts at Mine Centre, until Q-Gold was able to acquire its current cohesive land position, which was assembled beginning in 1997. An extensive modern exploration program on the Company's Mine Centre properties is now in progress, comprised of ground and airborne geophysical surveys and diamond drilling. The Company is currently evaluating the results obtained from these recent activities in preparation for an additional Fall drilling program.

This release may contain forward looking statements implying an assessment that the resources described can be produced profitably in the future. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated.

SEC 12g 3-2(b) Exemption # 82-4931

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

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