Allied Nevada Achieves Steady-state Production:

RENO, NV - Allied Nevada Gold reported that the Hycroft mine, located in Humboldt County, Nevada completed its first full year of operations in 2009. By the end of 2009, production reached steady-state capacity according to life of mine plans. The Company is seeking board approval to ramp up production to over 300,000 by 2013 at a cost of sales per ounces of gold sold of $425 - $450.

In addition, the Company continues to review further optimization opportunities for the mine including the possibility of improving recoveries and streamilining the operation. In 2010, the Hycroft mine expects to sell 100,000 ounces of gold at a cost of sales per gold ounce sold of $400-$450.

In addition to ramping up the oxide optimization plan, the company is preparing to complete a feasibility study for sulfide mineralization, with a goal of completing that report in 2011.

Preliminary assays have been received from a hole drilled 70 meters directly west of previously released hole 10-3659 in the Vortex Zone at Allied Nevada's wholly owned Hycroft. Hole 10-3266 intersected 130 meters of mineralization grading 0.45 g/t Au and 69 g/t Ag1 (1.73 g/t AuEq1,2) from a depth of approximately 420 meters. Included in the 130 meter intercept is an area of higher grade mineralization of 10 meters grading 1.07 g/t Au and 432 g/t Ag (9.05 g/t AuEq). Nearer surface, a highgrade intercept of 23 meters at grades of 0.43 g/t Au and 84 g/t Ag (1.99 g/t AuEq) was also encountered. As previously announced, hole 10?3659, drilled approximately 50 meters west of the Albert Fault in the northwest region of the Vortex Zone, intersected 172 meters of mineralization grading 1.1 g/t Au and 125 g/t Ag (3.4 g/t AuEq). These significant intercepts confirm that the mineralization extends westward from hole 10?3659 and that the Vortex Zone remains open to more development drilling. The intercepts also demonstrate the thickness and continuity of the Vortex Zone.

The reported intercept of 130 meters includes 5 meters for which assay data has not yet been completed and, as such, a zero grade has been assigned at this time.

Vortex mineralization is associated within a rhyolite hosted hydrothermal breccia and the silver mineralization is primarily contained within pyrargyrite. Drilling in the area has further confirmed the previously suspected feeder system to the west and at depth. High grade silver mineralization at Vortex has now been intersected along a strike length of 975 meters and laterally 900 meters. High grade mineralization is present at drill depths up to 600 meters, with continuous zones of mineralization up to 175 meters in length. Mineralization remains open along strike to the north and south, to the west and at depth.

Results of variability testing of 20 additional samples of sulphide mineralization confirm previously announced initial test results. The additional variability samples were taken from the Cut 5, Boneyard, Bay Area and Vortex areas of the Company's wholly owned Hycroft mine located near Winnemucca, Nevada. The previously announced initial results were based on testing of seven samples taken from the Vortex Zone, which formed the master composite. Rougher flotation of the initial seven samples indicated recoveries averaging approximately 88% for gold and 85% for silver. Rougher flotation recoveries for all 27 samples, including the initial seven samples, averaged 79.7% for gold and 71.7% for silver. On average, cyanidation of the combined tailings increased overall recoveries to approximately 88% for gold and 86% for silver. Sulphide content of the cleaner concentrate was approximately 25%.

No metallurgical optimization test work was completed for these variability tests. The ore types for the 27 samples ranged from highly silica based to highly clay bearing material; however, the clay bearing materials represent a very small percentage of the sulphide mineralization. Management believes that recoveries could be improved through optimization of the metallurgical testing processes used for each ore type.

The Company has also initiated testing of nine samples of oxide material taken from throughout the property to assess the potential benefits of a milling scenario. Additional samples are expected to be submitted as they become available through ongoing drilling. Results of this initial testing are expected in the third quarter of 2010 and should indicate whether progressing further with the project is warranted.

Allied also reported preliminary assay results from the initial core hole of a three core hole exploration program at its Hasbrouck Mountain project, located approximately five miles south of Tonopah, Nevada. Hole HSB10-001 intersected mineralization that outcrops at surface with 110 meters grading 1.45 g/t Au1. Included in the 110 meter intercept are higher grade intervals including 11 meters grading 2.09 g/t Au, 14 meters grading 1.69 g/t Au, 5 meters grading 5.09 g/t Au and 5 meters grading 7.12 g/t Au. Silver assays have not yet been completed for this hole. As per the NI 43 101 technical report dated August 14, 2006, silver indicated resource grades, at a cutoff grade of 0.34 g/t, average 10.97 g/t.

Two holes of the three core hole program, designed to confirm historical drilling and to explore mineralization at depth, have been completed while the third is in progress. These holes are being drilled at a large diameter to also provide samples for metallurgical testing. Historical column leach tests indicate that recoveries could be 54.1% for gold and 19.2% for silver at a crush size of 80% passing 3/8 inch and after 51 days of leaching.

The Hasbrouck Mountain project is an advanced stage exploration project where, historically, 151 holes totaling 22,433 meters have been drilled on the property by various predecessors including Cordex and Newmont. The property hosts an indicated resource of 18.4 million tonnes at an average grade of 0.79 g/t Au and 10.97 g/t Ag for 459,000 contained ounces of gold and 6.5 million contained ounces of silver, as reported in the NI 43?101 compliant technical report dated August 14, 2006.

Hasbrouck mineralization was deposited by an epithermal hot?spring system and is accompanied by pervasive silicification, with associated adularia and pyrite. The property is located approximately 50 miles south of the Round Mountain open pit mine, a joint venture between Kinross Gold and Barrick Gold.

*(1. g/t Au = grams per tonne gold; g/t Ag = grams per tonne silver; g/t AuEq = grams per tonne gold equivalent.)

**(2. Gold equivalent grades were calculated using a gold price of $650 and silver price of $12 for a silver to gold equivalent conversion factor of 54.1667 to 1.)

The company's address is 9790 Gateway Drive, Suite 200, Reno, NV 89521, (775) 358-4455, fax: (775) 358 4458, email: [email protected].