White Tiger Gold Ltd.
TSX : WTG

White Tiger Gold Ltd.

November 08, 2011 12:17 ET

White Tiger Secures $15 Million Shareholders' Loan to Ramp Up Production at Lamaque

ROAD TOWN, TORTOLA, BRITISH VIRGIN ISLANDS--(Marketwire - Nov. 8, 2011) - White Tiger Gold Ltd. ("White Tiger") (TSX:WTG) announced today the Company has received Shareholders' loans led by Chairman Maxim Finskiy for a total of US$15 million. The funds are allocated for the continued ramp-up production of the Lamaque project in Val d'Or, Quebec.

"With recent key management appointments and an improved financial position, we can focus on accelerating the development and ramp up of the Lamaque mine. We expect to achieve a production rate of 2,000 tpd in the first Quarter 2012," said Daniel Major, CEO of White Tiger Gold.

Lamaque Project Improvements

In the Lamaque Flats the focus is on miner and supervisor training, and development to increase the number of available stopes in order to improve flexibility and productivity, and hence grade and tonnage. The target for ore production from the Lamaque Flats is a steady 800 tpd, but in the shorter term a higher production rate is planned in order to achieve the 2,000 tpd total ore feed target.

In the North Wall, CMAC-THYSSEN Mining Group ("CMAC") are performing well and developing at over 30 feet per day as they set up dyke stopes for mining, with dyke ore feed planned to provide a long term steady state rate of 800 tpd, and is planned to be at this rate from late January 2012. To compliment these actions the Company has purchased and is staffing up two diamond drill crews for continuous production reserve definition in the North Wall and Lamaque Flats, as well as looking to contract a diamond drilling company for the Sigma West (Bedard Dyke) zone.

Initial diamond drilling is targeted towards improved definition on nine Flat stopes to the east and southwest, potentially representing at least 6 months of Flats production. North Wall drilling will be focused on defining dykes and shears on east side of property between surface and 1,000 feet, potentially representing two years of planned North Wall production.

Diamond drilling in Sigma West is focused on the definition of Main Dyke ore stopes as this zone is over 750 feet in strike and open to depth. Within the first 1000ft this represents over three years of ore production at planned rate of 400 tpd, a target the Company is planning to achieve by June 2012.

The loans to White Tiger are for a term of 6 months and carry interest of 15% per year. The loans are unsecured.

About White Tiger Gold

White Tiger Gold Ltd. is a TSX-listed mining and exploration company, focused on the development of mineral resources in Canada, the Russian Federation and Peru.

Caution Concerning Forward-Looking Information

This news release contains forward looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of applicable Canadian securities laws including with respect to the entering into of a definitive loan facility agreement with VTB and the completion of the business combination between White Tiger Gold and CMC. Words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology are used to identify forward-looking statements and forward-looking information. Such statements and information are based on assumptions, estimates, opinions and analysis made by the management of White Tiger Gold in light of their experience, current conditions and their expectations of future developments as well as other factors which they believe to be reasonable and relevant. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements and information. Risks and uncertainties that may cause actual results to vary include but are not limited to: the conditional nature of the agreement between VTB and White Tiger Gold, including the completion of satisfactory due diligence by VTB on White Tiger Gold and CMC; the conditional nature of the business combination between White Tiger Gold and CMC, including the requirement for approval of the business combination by the shareholders of each of CMC and White Tiger Gold, the TSX, the TSX Venture Exchange, the Ontario Superior Court of Justice as well as any required approval under the Investment Canada Act; any exercise by White Tiger Gold of its rights of termination under the arrangement agreement between White Tiger Gold and CMC (together, the "Companies") dated as of March 11, 2011, as amended June 16, 2011; changes in equity and debt markets; fluctuations in gold and other commodity prices; as well as other risks and uncertainties which are more fully described in White Tiger Gold's Annual Information Form dated March 30, 2011 and annual and quarterly Management's Discussion and Analysis and in other filings made by White Tiger Gold with Canadian securities regulatory authorities and available at www.sedar.com.

Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable laws, White Tiger Gold disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although White Tiger Gold believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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