Unigold Inc.
TSX VENTURE : UGD

Unigold Inc.

June 24, 2011 08:30 ET

Unigold Announces Initiation of IP Survey and the Acquisition of a Strategic Concession in the Dominican Republic

TORONTO, ONTARIO--(Marketwire - June 24, 2011) -Unigold Inc. (TSX VENTURE:UGD) is pleased to announce that its exploration programs on the Neita Concession have moved into a phase of geophysical prioritization. Unigold has recently mobilized an Induced Polarization ("IP") crew to its Neita concession. Over the course of 2010 and early 2011, Unigold field crews completed geochemical sampling, ground based magnetic surveys, geologic mapping and grab sampling over the complete Neita Concession. As a result of this intense field work, over 10 high priority areas have been identified for gold mineralization within the concession. Unigold has planned over 150 line-kilometers of IP survey to prioritize at least 10 areas for follow-up drilling later this year.

Initial results from the Candelones area have identified high chargeability and low resistivity anomalies associated with known intermediate to high-sulphidation epithermal gold mineralization at both Candelones and the Candelones extension to the east. Furthermore, the chargeability anomalies are more extensive than the drilled areas and suggest that mineralization is much more extensive in these areas than previously thought or indicated by the shallow drilling. Geophysical surveying is on-going in this area and full results will be released when the entire 5 kilometer wide grid has been surveyed.

Daniel Danis, CEO of Unigold commented "The geophysical survey has provided a deeper look at the mineralization at Candelones and has shown us that the mineralization likely extends into areas with little surface expression. This is very encouraging for future drilling. We will use the IP results to design and execute a larger drill program later in 2011."

In addition, Unigold announces the acquisition of the El Carrizal Concession in the Dominican Republic. The 16,376 hectare El Carrizal Concession lies between the western Neita Concession and the eastern Sabaneta Concession and is contiguous with both. This strategic acquisition creates one of the most extensive and contiguous land packages in the Cretaceous mineral belt of north-western Dominican Republic.

"This acquisition complements our land package in the Dominican Republic and provides Unigold with an unprecedented strike length of favourable stratigraphy in this prospective area of the country" commented Daniel Danis. "Unigold now controls over 108,000 Hectares of exploration ground and most importantly has secured over 50 kilometers of favourable strike length."

Under the terms of the Option agreement, Unigold may acquire 100% of the rights to the concession in exchange for $100 payable to the vendors at any time in the next six years. In consideration of granting the option, Unigold has agreed to pay the vendors US$120,000 and 400,000 Unigold common shares subject to TSX-V approval. The transaction is expected to close prior to the end of June 2011.

About Unigold Inc.

Unigold Inc. is exploring to find and develop gold deposits on its 100-per-cent-owned 226 km² Neita Property located in the Dominican Republic. Having the largest land package in the Dominican Republic, the goal is to target bulk tonnage, open pittable, oxide gold deposits within a very similar geological setting to the world class Pueblo Viejo gold project located 150 kilometres to the southeast. Unigold benefits from a 13-year tax holiday on all corporate, sales taxes and import duties in the Dominican Republic. The economics of any discovery will be significantly improved by the tax holiday.

Certain statements contained in this document, including statements regarding events and financial trends that may affect our future operating results, financial position and cash flows, may constitute forward-looking statements within the meaning of the federal securities laws. These statements are based on our assumptions and estimates and are subject to risk and uncertainties. You can identify these forward-looking statements by the use of words like "strategy", "expects", "plans", "believes", "will", "estimates", "intends", "projects", "goals", "targets", and other words of similar meaning. You can also identify them by the fact that they do not relate strictly to historical or current facts. We wish to caution you that such statements contained are just predictions or opinions and that actual events or results may differ materially. The forward-looking statements contained in this document are made as of the date hereof and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ materially from those projected in the forward-looking statements. Where applicable, we claim the protection of the safe harbour for forward-looking statements provided by the (United States) Private Securities Litigation Reform Act of 1995.

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