ValGold Resources Ltd.
TSX VENTURE : VAL
FRANKFURT : VR2

ValGold Resources Ltd.

December 09, 2010 09:30 ET

ValGold Reports 101 Meters of 1.07 g/t Gold at Garrison Gold Project, Ontario

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 9, 2010) - ValGold Resources Ltd. ("ValGold") (TSX VENTURE:VAL)(FRANKFURT:VR2) is pleased to announce assay results for three more diamond drill holes from the ongoing 30,000 meter ("m") drill program underway on the Garrcon Deposit at ValGold's 100% owned Garrison Gold Property. Northern Gold Mining Inc. (NGM-TSXV, -"Northern Gold") as project operator is in the second year of an option agreement to earn an interest in the Garrison gold property from ValGold. (See ValGold news release dated September 23, 2010).

Highlights of Drill Results

  • GAR-10-20 with 255.5m grading 0.31 g/t Au
  • GAR-10-23 with 101.0m grading 1.07 g/t Au within which 5.5m returned 4.35 g/t Au
  • GAR-10-24 with 38.0m grading 0.97 g/t Au within which 3.0m returned 10.88 g/t Au

Table 1 as reported by Northern Gold contains assays results of long core length intervals of gold mineralization within which are significant intersections of 1.0 to 2.5 g/t Au and occasionally higher-grade intervals.

Drill Hole Descriptions

GAR-10-20 was located on section line 11+00W and drilled in a westerly direction to test Shaft Zone mineralization with a drill hole oriented approximately at right angles to most of the holes in the deposit. The hole was collared at a True azimuth of 242° and an inclination of -45°. The total length of GAR-10-20 was 349.5m, ending on section 12+75W. Since the average gold grades appeared to be lower-grade than nearby north south holes, it is believed that a north south drilling direction is a more suitable orientation to outline the Garrcon deposit.

GAR-10-23 was collared approximately on section line 12+75W at a True azimuth of 160° and an inclination of -45°. The hole experienced little deviation as the down hole survey results indicate that the hole stayed within 12.5m of the section line for its entire length. The hole was stopped at a total length of 336.0m from which 329.3m of core were recovered below the casing. The gold mineralization is consistent averaging 0.51 g/t to a down hole depth of 330.0m with higher grade sections including 10.87 g/t over 1.0m.

GAR-10-24 was collared midway between section lines 12+75W and 13+00W at a True azimuth of 350° and an inclination of -45°. The hole experienced a slight deviation to the west. Total length is 120m with 115.8m of core recovered below the casing. This hole was designed to delineate the northern limit of the North Zone mineralization (described in NI 43-101 Technical Report filed on SEDAR by Northern Gold on Nov. 5, 2010). North Zone was intersected over a

38m core length from 29m to 67m and reported an average gold grade of 0.97 g/t Au, establishing the northern limits of the North Zone on section 13+00W. The limit is consistent with the Company's expectation.

Drill holes, GAR-10-20, 10-23 and 10-24 continue to confirm of the recently announced compliant resources of the Garrcon gold deposit and to reduce the drill hole spacing which will assist in upgrading the quality of existing resource categories. The project operator, Northern Gold, is continuing the ongoing 30,000m drill program with two diamond drills working through the winter.

The Garrison Gold Property

ValGold's Garrison Gold Property is located on the Golden Highway of NE Ontario and straddles the Porcupine-Destor Fault and the Munro Fault systems along the prolific Abitibi greenstone belt. The Property hosts several gold zones including the advanced stage Jonpol and Garrcon Deposits and the 903 gold mineralized area. Drilling has been carried out on these gold zones with the earliest work dating back to the 1930's. The Property has good infrastructure with producing gold mines and mills located in close proximity. The Jonpol Project contains an indicated resource of 253,100 tonnes @ 7.77 g/t containing 63,000 ounces of gold and an inferred resource of 1.6 million tonnes @ 4.93 g/t Au containing 247,000 ounces of gold. (See the NI 43-101 Technical Report filed by Northern Gold on SEDAR on 21 October 2009). The Garrcon Project has an initial indicated resource of 3.8 million tonnes @ 1.2g/t containing 144,000 ounces of gold and an initial inferred resource of 18.5M tonnes @ 0.9 g/t containing 530,000 ounces of gold. (See Valgold news release dated September 23 2010.)

For further information on ValGold's Canadian and international gold projects, visit our website www.valgold.com.

Stephen J. Wilkinson, President & Chief Executive Officer

Caution concerning forward-looking statements: The information in this release may contain forward-looking information under applicable securities laws. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied in the forward-looking information. Factors that may cause actual results to vary include, but are not limited to, inaccurate assumptions concerning the exploration for and development of mineral deposits, political instability, currency fluctuations, unanticipated operational or technical difficulties, changes in laws or regulations, the risks of obtaining necessary licenses and permits, changes in general economic condition or conditions in the financial markets and the inability to raise additional financing. Readers are cautioned to not place undue reliance on this forward-looking information. The Company does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events except as may be required under applicable securities laws. 

Table 1 – Assay results highlights from drill holes GAR-10-20, GAR-10-23 and GAR-10-24 as reported by Northern Gold in their news release dated December 9th 2010.

Hole ID From (m) Including (m) Including (m) Including (m) To (m) Interval (m) Au Grade (g/t)Un-Cut
GAR-10-20 1.5       257.0 255.5 0.31
    42.0     51.0 9.0 0.78
    154.0     165.0 11.0 1.01
    195.0     257.0 62.0 0.58
      195.0   196.0 1.0 5.09
      207.0   210.0 3.0 1.55
      227.0   257.0 30.0 0.62
GAR-10-23 6.7       330.0 323.3 0.51
    6.7     252.0 245.3 0.63
      117.0   218.0 101.0 1.07
        117.0 142.0 25.0 1.93
        126.0 137.5 11.5 2.86
        132.0 137.5 5.5 4.35
        135.0 136.0 1.0 10.87
        203.0 218.0 15.0 1.64
        203.0 205.0 2.0 3.52
GAR-10-24 4.2       120.0 115.8 0.36
    29.0     67.0 38.0 0.97
      64.0   67.0 3.0 10.88
        64.0 65.0 1.0 30.05
 
*As true widths are not known, all intervals are core length intervals and not true widths.

SEC 12g3-2(b) exemption 82-3339

No regulatory authority has approved or disapproved the information contained in this news release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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