TORONTO, ONTARIO--(Marketwire - Nov. 29, 2008) - Gold Corp. (TSX VENTURE:VIT) ("Victoria" or "the Company") is pleased to announce that, at a special meeting of the shareholders of Gateway Gold Corp. ("Gateway") held in Vancouver on November 28, 2008, more than the necessary two-thirds of the shareholders of Gateway present in person and by proxy voted in favour of the acquisition by Victoria (the "Acquisition") of 100% of the outstanding common shares of Gateway.
Victoria is distinguished by its advanced higher-grade gold properties in Nevada and its successful application of innovative exploration techniques which have resulted most recently in a gold discovery at the Helen Zone of its Cove project. The first hole, NW-1, drilled at the Helen Zone intercepted 38.5 metres containing 10.95 g/t of gold. Subsequent holes have confirmed these grades with NW-5 intercepting 61.9 metres of 12.57 g/t of gold and NW-9 intercepting 33.5 metres of 11.48 g/t gold.
Gateway has a suite of promising high calibre gold projects in Nevada including a 1.2 million ounce NI 43-101 compliant inferred resource at Big Springs as detailed in the technical report prepared for Gateway by Gustavson Associates LLC, dated March 14, 2006. Victoria is excited about the potential for further discoveries on the Gateway properties using its exploration methods for drill target selection.
Victoria and Gateway make for a powerful combination in the smaller capitalization gold space. Two of the five core properties in the combined portfolio are Gateway properties; Big Springs and Santa Fe. Both are high potential properties as exemplified by the wide gold intercepts at Santa Fe, released by Gateway on September 25, 2008, including, 105.1 metres grading 2.39 g/t of gold and 135 metres of 2.17 g/t of gold. The application of Victoria's fresh approach to gold exploration will increase the chances for further discoveries on these properties. Drill targets on the Gateway properties are near surface, which will allow for lower cost, faster paced drilling and increased news flow. Furthermore, the Gateway transaction moves Victoria closer to production with the acquisition of the existing resource at Big Springs.
"We are delighted with the outcome of the Gateway shareholder meeting today, in a market where very few mergers and acquisitions are being concluded. We believe that prudent acquisitions such as this one present an excellent opportunity to grow Victoria's gold assets. Victoria is securing an advantage for its shareholders in this market by consolidating and upgrading its project portfolio, moving closer to production and bringing a new exploration approach to Gateway's high potential properties," said Chad Williams President and CEO of Victoria. Victoria will focus on advancing its core gold properties while carefully evaluating other low risk, value-adding acquisition opportunities.
Further information about the Acquisition, which is expected to be completed in the second week of December following receipt of the requisite court approval, is provided in Gateway's Circular to Shareholders dated October 29, 2008, which is available on www.sedar.com. Additional information on Victoria is available at www.vitgoldcorp.com.
On Behalf of Victoria Gold Corp.
Chad Williams, P. Eng, CEO, President & Director
Cautionary Language and Forward-Looking Statements
This press release includes certain statements that may be deemed "forward-looking statements". All statements in this discussion, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include metal prices, exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Accordingly, readers should not place undue reliance on forward-looking statements.
This news release and the information contained herein does not constitute an offer of securities for sale in the United States and securities may not be offered or sold in the United States absent registration or exemption from registration.
FOR FURTHER INFORMATION PLEASE CONTACT:
Victoria Gold Corp.
President & CEO
(416) 866-8800 ext 230
Victoria Gold Corp.
Director Public & Corporate Affairs
(416) 866-8800 ext 226