ValGold Resources Ltd.
TSX VENTURE : VAL
FRANKFURT : VR2

ValGold Resources Ltd.

February 01, 2011 09:00 ET

ValGold Reports Further Drill Results of Garrison Gold Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 1, 2011) - ValGold Resources Ltd. ("ValGold") (TSX VENTURE:VAL)(FRANKFURT:VR2) is pleased to announce assay results for four 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. ("Northern Gold") (TSX VENTURE:NGM) 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-10-25 with 182.0m grading 0.52 g/t Au within which is 5.0m of 5.36 g/t Au
  • GAR-10-26 with 187.0m grading 0.72 g/t Au of which the last 6.0m of core returned 6.31 g/t Au

Drill Hole Descriptions

In its news release dated February 1st 2011, Northern Gold reported that the 2010/2011 drill program is adding additional areas of mineralization to support the belief that the Garrcon is a potential open pit deposit. In addition, the infill and definition drilling will be utilized in the pending updated NI43-101 resource calculation due to be completed in the first quarter of 2011. 

The significant intersections for the four reported holes are listed in the table below. Both of holes GAR-10-25 and GAR-10-26 are in-fill holes and have long core length intervals with average grades at and above resource grades with significant intervals of greater than 1 g/t gold. GAR-10-27 and GAR-10-28 are shorter holes that focused on defining the southern edge of mineralization along Section 13+00W to 13+50W.

GAR-10-25 was collared approximately on Section line 13+25W. It was drilled at an inclination of minus 45° and a true azimuth of 162 degrees. Total depth of the hole was 354.0m. The hole experienced little deviation as it stayed within 12.5m of the section line for its entire length of 354.0m. The hole is 25m north of GAR-09-04 in the area between the North and Shaft Zones. The intersected geology is very similar to GAR-09-05 which is located approximately 25m directly to the east.

GAR-10-26 was collared approximately 13m west of section line 13+25W and was drilled at an inclination of minus 44° to on a true azimuth of 157 degrees. Total depth of the hole was 273m and little deviation was experienced in the hole, with the bottom of the hole on Section line 13+25W. The hole is located between GAR-10-17 to the south and GAR-09-04 to the north.

GAR-10-27 was collared approximately on section line 13+75W and was drilled at an inclination of minus 49° and a true azimuth of 337 Degrees. Total depth of hole was 177m with 157m of core recovered below the overburden. Deviation was minor with the hole staying within 5m of the section line. This hole was designed to delineate the southern boundary of the deposit. Additional drilling is required in this area to reduce the current wide spaced intercepts and will be completed in 2011.

GAR-10-28 was collared approximately midway between Section lines 13+00W and 13+25W and was drilled at an inclination of minus 58° and a true azimuth of 165 degrees. Total depth was 150m with 141m of core recovered below the overburden. Deviation was very minor. This hole tested the existence and continuity of the Garrcon mineralization along the southern margin of the deposit. However, additional drilling is required.

Table of significant assay results from diamond drill holes; GAR-10-25, GAR-10-26, GAR-10-27 and GAR-10-28

DDH Hole From (m) To (m) Interval (m) Au Grade (g/t) Un-Cut
GAR-10-25 44.0 226.0 182.0 0.52
  including 86.0 96.0 10.0 1.58
  and 93.5 96.0 2.5 3.46
  including 202.0 207.0 5.0 5.36
  and 202.0 203.0 1.0 20.86
  and 206.0 207.0 1.0 5.42
GAR-10-26 20.0 207.0 187.0 0.72
  including 20.0 21.0 1.0 5.73
  including 54.0 55.0 1.0 4.42
  including 182.0 185.0 3.0 2.07
  including 201.0 207.0 6.0 6.31
GAR-10-27 19.7 40.0 20.3 0.65
  114.0 117.0 3.0 1.53
GAR-10-28 13.0 39.0 26.0 0.58

The Garrison Gold Property

In July 2005, ValGold purchased a 100% interest in the Garrison Gold Property. The 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). Northern Gold optioned the Property in September 2009 and has been working toward earning an 80% interest.

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.

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.

SEC 12g3-2(b): 82-3339

Neither the 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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