Emgold Identifies Gold Target At Koegel Rawhide

VANCOUVER, BC - Emgold Mining Corporation has identified a large gold exploration target at its recently acquired Koegel Rawhide Property (the "Property") in Mineral County, Nevada. Emgold plans to proceed with a reconnaissance exploration program to further evaluate this target. The Koegel Rawhide property, leased and staked by Emgold earlier this year, consists of 36 unpatented lode mining claims totaling 720 acres.

Since acquiring the Property, Emgold has now completed grade contouring of the historic and Emgold surface sample data on the Property. This contouring indicates the presence of a mineralized zone with a strike length of up to 6,000 feet and average width of 200 feet. The dimensions of this zone are based on the presence of detectable gold at 50 ppb to over 2,000 ppb.

The Koegel Rawhide Property is located in the Koegel Hills approximately 40 miles southeast of Fallon in the Rawhide Mining District, and five miles southwest of the Rawhide Mine, which is operated by Rawhide Mining Company. Kennecott Minerals, the former owner of the mine, reported that the Rawhide Mine produced 1.47 million ounces of gold and 11.7 million ounces of silver from the years 1988 to 2005. The Property is also six miles south of the Regent Property being explored by Pilot Gold Corporation and four miles south of Emgold's Buckskin Rawhide Property.

The Koegel Rawhide Property is a volcanic-hosted, structurally controlled, epithermal gold-silver prospect in the Walker Lane gold belt of western Nevada. The Walker Lane is a regional shear zone and known gold trend that hosts large and small historic and currently operating gold-silver mines, including mines of the Comstock Lode, Tonopah District and Rawhide District. Koegel Rawhide geology and mineralization are associated with lithologic units and structures of the Rawhide volcanic center, as well as structures from the Walker Lane and Basin and Range. The geology and mineralization is similar to the nearby Rawhide Mine, Regent Property, and Buckskin Rawhide Property.

The location of the Koegel Rawhide Property in the vicinity of Rawhide Mine and other nearby exploration properties does not mean that a resource will be identified on the Property. However, the presence of similar geology and mineralized structures to those on the Buckskin Rawhide, Regent, and Rawhide properties and historic mine workings in the area are favorable indicators for the potential of discovery.

Geologic mapping and surface sampling by Charles P. Watson, a consulting geologist, was completed on the Koegel Rawhide Property in the years 1991-1992. It indicates the area is covered mostly by Tertiary (Pliocene) age intermediate volcanic rocks including andesitic tuff breccias, sills and dikes. Faults of several orientations occur on the Property with north, northwest and northeast trends. Hydrothermal alteration (clay and silica) is present and is associated with structures and mineralization.

A total of 464 historic chip and grab samples were taken by Mr. Watson and the results ranged from non-detectable to 1.99 ounce per ton gold. The sampling indicates the potential for both high grade vein and low grade bulk disseminated gold and silver mineralization. The T-10 Zone was identified as one of the potentially mineralized high grade vein structures. Historic sampling in the T-10 high grade area included 13 samples ranging in grades from 0.004 to 1.99 ounce per ton gold, with an average grade of 0.52 ounces per ton gold.