True Gold Mining Inc.
TSX VENTURE : TGM

True Gold Mining Inc.

May 28, 2013 07:00 ET

True Gold Intersects 1.07 g/t Gold Over 110.0 Metres at Northern Karma Target

Wide Intersections of Gold Mineralization at Watinoma Highlight Strong Regional Potential at Karma Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 28, 2013) - True Gold Mining Inc. (TSX VENTURE:TGM) ("True Gold" or the "Company") is pleased to announce that the Company's first drill holes designed to test an area of near-surface gold mineralization in northern Karma returned long intervals of continuous gold mineralization from surface to depths of 130 metres. Results from the Watinoma target include one of the longest intersections of mineralization ever recorded at the Karma Gold Project ("Karma Project"), and attest to the project's strong regional growth potential.

"The focus of the project-wide reverse circulation ("RC") drill program currently underway is to identify additional near-surface oxide gold mineralization at the Karma Project," said Ian Cunningham-Dunlop, Senior VP Exploration, True Gold. "We are very excited about the recent drill results and encouraged that our targeted exploration strategy proved immediately successful at Watinoma, hitting extensive, continuous gold mineralization on the first holes we drilled."

Drilling at Watinoma intersected gold mineralization in six of nine holes over a distance of 550 metres, with mineralization open in all directions. Drill results include:

  • 1.07 g/t Au over 110.0 metres, including 2.06 g/t Au over 32.0 metres, in RNG-13-RC-001
  • 10.00 g/t Au over 2.0 metres, in RNG-13-RC-003
  • 1.23 g/t Au over 36.0 metres, in RNG-13-RC-005
  • 2.63 g/t Au over 8.0 metres, in RNG-13-RC-006
  • 0.64 g/t Au over 8.0 metres, in RNG-13-RC-007
  • 1.73 g/t Au over 6.0 metres, in RNG-13-RC-009

True Gold will invest another $300,000 in ground geophysical surveying and 1,500 metres of diamond core drilling in June 2013 to further assess this target's potential.

To see a drill map for Watinoma, please click here: http://www.truegoldmining.com/sites/default/files/Map1318.pdf.

For a full table of results related to gold mineralization, please click on this link: http://www.truegoldmining.com/sites/default/files/DrillResults1318.pdf.

True Gold completed 1,407 metres of RC drilling at Watinoma after the Company's 2012 regional rotary air blast ("RAB") campaign returned positive results, highlighted by 2.15 g/t Au over 30.0 metres in hole RAB-414 (see the Company's press release dated January 29, 2013). Gold mineralization at Watinoma is associated with multiple quartz vein sets and stockworking hosted within a sheared sequence of metavolcanics and metasediments.

True Gold is following the same exploration strategy used to identify the Watinoma target throughout the Karma Project. The Company has identified dozens of anomalies it is now following up through the current project-wide RC drill campaign, including new targets west of Rambo and north of Kao.

The 856-square-kilometre Karma Project is located in Burkina Faso, West Africa, and includes five closely spaced deposits - Rambo, Nami, Kao, Goulagou I and Goulagou II - with a proposed central processing facility. The Karma Project is currently undergoing a feasibility study, which entails the development of a fully engineered construction and operating plan. It will include considerations for social management planning, environment, geotechnical engineering, hydro-geology, water management, metallurgical testing, process design, and mine planning.

The Company has not made a production decision and the Company's strategic plan to develop a stand-alone heap leach operation at the Karma Project is subject to the results of its feasibility study, which is currently underway. Further, if and when the Company makes any production decision, it will disclose the basis of such decision in accordance with the requirements of NI 43-101. See True Gold news release dated March 27, 2013 titled, "Karma Project Update: Activities Related to Feasibility Study Progressing".

Ian Cunningham-Dunlop, P. Eng., is the Company's Senior Vice President Exploration and designated Qualified Person for this news release within the meaning of NI 43-101 and has reviewed and verified that the information contained in this release is accurate and approves of the written disclosure of same.

Holes were drilled at azimuths of 210 to 300 degrees, with dips ranging from -50 to -75 degrees, and to depths of 98 to 200 metres. True widths have not yet been determined. Samples were assayed by ALS Chemex in Ouagadougou, Burkina Faso, West Africa. Assays were by Fire Assay with AAS finish and repeats of all AAS assays over 5.0 g/t by Fire Assay with gravimetric finish. Control samples (accredited standards, blanks and duplicate samples at the preparation stage) were inserted on a regular basis every 10 samples. Results were monitored on receipt of assays.

About True Gold

True Gold Mining Inc. is where gold comes to life. We are committed to growing a successful gold exploration, development and production company, by focusing on projects with low costs, low technical risks and solid economics. The Company's board, management and technical teams have proven track records in gold exploration, development, operations and production worldwide.

Additional information about the Company and its activities may be found on the Company's website at www.truegoldmining.com and under the Company's profile at www.sedar.com.

ON BEHALF OF THE BOARD

Dwayne Melrose, President & CEO

Certain statements made and information contained in this news release and elsewhere constitutes "forward-looking information" within the meaning of Canadian securities legislation. Such forward-looking statements are based on certain assumptions and are subject to risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, with respect to statements regarding the regional growth potential of the Karma Project, the assumptions set forth in this news release and in the Company's news release of January 29, 2013, March 27, 2013, and risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources, the geology, grade and continuity of mineral deposits, the possibility that future exploration and development results or the results of the Feasibility Study on the Karma Project will not be consistent with the Company's expectations, accidents, equipment breakdowns, risk of undiscovered, title defects and surface access, labour disputes, the potential for delays in exploration and permitting activities, the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, political risk and other risks and uncertainties, including those described under Risk Factors in each management discussion and analysis and in the Company's annual information form which are available under the Company's profile at www.sedar.com. Forward-looking information is based on various assumptions including, without limitation, the expectations and beliefs of management, the assumed long term price of gold, that the Company will receive required permits and access to surface rights, that the Company can access financing, appropriate equipment and sufficient labour and that the political environment within Burkina Faso will continue to support the development of environmentally safe mining projects. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements.

Neither 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.

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