ValGold Resources Ltd.
TSX VENTURE : VAL
FRANKFURT : VR2

ValGold Resources Ltd.

May 11, 2011 12:32 ET

ValGold Reports Further Assay Results From the Tower Mountain Gold Property, NW Ontario

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 11, 2011) -ValGold Resources Ltd. (TSX VENTURE:VAL)(FRANKFURT:VR2) ("ValGold") is pleased to release assay results for an additional eight holes from the 2011 exploration program at the 100% owned Tower Mountain Gold Property. The first stage of the drill program included 2,100m of core drilling in a total of 13 holes. The results from the first five holes, released April 8, 2011 were highly encouraging with the best holes returning gold mineralization with a grade of 1.136 g/t Au over widths of up to 16.5 meters and 0.815 g/t Au over 73.5m (core lengths). Assay results from the additional eight holes announced today confirm and support the good results of the initial five holes.

Highlights of Drill Results

Highlights included significant intersections (See Table Two for full details):

  • TM-11-66 with 28.5m grading 0.779 g/t Au
  • TM-11-67 with 87.0m grading 0.982 g/t Au
  • TM-11-69 with 84.0m grading 0.535 g/t Au

Stephen Wilkinson, President and CEO of ValGold, commented, "The results from the additional eight holes meet or surpass our expectations and this reinforces our confidence in the potential of Tower Mountain as a gold project." ValGold will drill the next 2,500m in the second phase of the 2011 program immediately after breakup.

31-Bench Zone

The 31-Bench Zone comprises the former B-, C-, and D-Zones, located approximately 800m southeast of the UV Zone where ValGold reported an NI 43-101 compliant inferred resource of 151,000 ounces (SEDAR March 6, 2006). Previous drilling on the 31-Bench Zone by ValGold and earlier operators confirmed wide intersections of low grade gold mineralization over a large area but the holes were widely spaced and at diverse azimuths. The eight holes reported today, (TM-11-64 to 71) were drilled in parallel at approximately 60m spacing. A Drill hole Location Database is presented in Table One.

These drill holes provided good widths with encouraging values of 0.779 g/t Au over 28.5m, 0.982 g/t Au over 87.0m and 0.535 g/t Au over 84.0m. Intervals were calculated generally using a cutoff between 0.25 g/t to 0.30 g/t Au but may include short intervals of lesser grade. Table Two below has the other intersections of interest.

The 31-Bench Zone gold mineralization is hosted within a trachy-andesite fragmental rock unit and a syenodiorite intrusive. Pyrite mineralization ranging from 1% to 10% is common in the core along with potassic alteration which is typically a reddish hue. The syeno-diorite lithologies are interpreted as dykes emanating from the main Tower Mountain Intrusive Complex. The fragmental is slowly changing to a more mafic composition towards the south as indicated in the last few holes. True width calculations of the intersections will require more geological information. A program of quality control and quality assurance of the sampling was undertaken with the insertion of blanks and standards in the regular stream of assay samples submitted for analysis. A check of the values did not find any irregularities in the Certificate of Analysis from Accurassay Laboratories.

Table One: Drill hole Locations (NAD 83-Zone 16)

HoleUTM EUTM NELEVLENGTHAZIMUTHDIP
TM-11-643007925377612460167.5062-45
TM-11-653008175377573462107062-45
TM-11-663008285377526469170062-45
TM-11-673008735377451499107062-45
TM-11-683008865377382497190062-45
TM-11-693009145377341494122062-45
TM-11-703009755377276517110062-45
TM-11-713010005377243526110062-45

The Tower Mountain Project

The Tower Mountain Property (ValGold 100%) is located approximately 40km west of Thunder Bay, in North West Ontario. It is underlain by Archean-age volcanic and sedimentary rocks with a syenitic intrusive complex being an important focal point for the widespread gold (and copper) mineralization. The exploration targets are large low-grade bulk mineable deposits, several zones of interest being discovered in earlier drill campaigns. Thus far in 2011, ValGold has drilled the 04-36 Zone (1.136 g/t Au over 16.5m), the 04-9 Zone (0.54 g/t Au over 18.0m) and the UV Zone (0.815 g/t Au over 73.5m), the latter of which contains the NI 43-101 compliant inferred resource of 151,000 ounces within 7.15 million tonnes (see ValGold's Technical Report filed on SEDAR, March 6th 2006).

Robert Chataway, P.Geo, the qualified person for ValGold, has reviewed the accuracy of the technical portion of the news release.

For more information on ValGold's Canadian gold projects (Tower Mountain and Garrison) and its international projects, please visit our website at www.valgold.com.

Stephen J. Wilkinson, President and Chief Executive Officer

This news release includes "forward-looking information". All statements in this release, other than statements of historical facts, that address the private placement or mineral exploration programs contain forward-looking information and are based on a number of assumptions, including, but not limited to, that there will not be substantial changes to market conditions, regulatory requirements or costs associated with mineral exploration. Although the Company believes the expectations expressed in such forward-looking information are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking information. Factors that could cause actual results to differ materially from those in forward-looking information include changes the price of the company's shares, the costs of labor, equipment and other costs associated with exploration, exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements.

Table Two: Significant assay results from drill holes; TM-11-64, -65, -66, -67, -68, -69, -70, -71

Hole
Number
From
(m)
To
(m)
Length
(m)
Grade
(g/t Au)
TM-11-6433.545.512.00.397
51.580.028.50.321
87.593.56.00.533
104.0105.51.51.168
114.5125.010.50.956
TM-11-655.023.018.00.354
26.042.516.50.452
48.557.59.00.729
63.565.01.50.630
74.075.51.50.584
90.5101.010.50.515
TM-11-664.532.027.50.480
42.557.515.00.608
83.084.51.50.494
90.592.01.50.549
102.5105.53.00.677
110.0122.012.00.332
128.0131.03.00.453
141.5170.028.50.779
TM-11-6714.0101.087.00.982
TM-11-683.012.58.50.411
27.532.04.50.386
38.044.06.00.413
62.075.513.50.517
81.5120.539.00.476
168.5173.04.51.184
TM-11-6914.018.54.50.323
24.5108.584.00.535
TM-11-7039.554.515.00.554
66.572.56.00.381
TM-11-712.320.017.70.519
41.044.03.00.510
102.5104.01.50.842

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

Neither TSX Venture Exchange nor its Regulation Services Provider (as the 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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