Q-Gold Resources Ltd.

Q-Gold Resources Ltd.

August 27, 2007 09:00 ET

Q-Gold Updates Foley Gold Mine Rehabilitation Project

FORT FRANCES, ONTARIO--(Marketwire - Aug. 27, 2007) - Q-Gold Resources Ltd. (TSX VENTURE:QAU)(FRANKFURT:QX9) (http://www.qgoldresources.com) announced today that Paul Whelan Mining Contractors ("Whelan") have completed the reconstruction of the Foley Gold Mine's North Shaft collar and attendant support buildings and infrastructure near Mine Centre, Ontario. Whelan is currently installing a submersible pump and permanent steel piping to the 400' level in the mine, as a prelude to pumping out water that has flooded the mine since 1930, in order to conduct underground exploration. The Foley Mine produced over 5,000 ounces of gold in the late 1890's before fire destroyed the mine and mill structures.

The Corporation also announced that it has engaged Trow Associates Inc. of Thunder Bay, Ontario to provide engineering and environmental consulting services in connection with the current de-watering of the Foley Mine.

Also, Q-Gold announced that it has initiated exploration activities on its large, new Rainy River District tract with a view toward conducting reverse circulation drilling this Fall in the glacial till to identify potential gold-bearing drill targets in underlying volcanic bedrock.

The Corporation has granted 775,000 incentive stock options to Officers, Directors and an Employee of the Corporation, pursuant to the Corporation's Stock Option Plan (approved by shareholders in June 2006). The incentive stock options will be exercisable for a period of five years from the date of the grant at a price of $0.13 per share.

For all future Q-Gold investor relations needs, investors are asked to visit the Q-Gold IR Hub at http://www.agoracom.com/IR/Q-Gold where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to QAU@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

About Q-Gold Resources Ltd.

Q-Gold is a Canadian-based mineral exploration company currently exploring for precious and base metals and platinum group elements on its extensive Ontario holdings in the historic Gold Camp at Mine Centre of over 33,000 acres and over 7,500 acres in the Rainy River greenstone belt.

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

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

The TSX Venture Exchange has not reviewed this press release and neither approved nor disapproved the information contained in this press release.

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