Skygold Reports 19.30 g/t Gold Over 1.5 Metres at Thunder Ridge (Spanish Creek)

VANCOUVER, BRITISH COLUMBIA--(Marketwire - 01/12/10) - Skygold Ventures Ltd. ("Skygold" or the "Company") (TSX-V:SKV - News) is pleased to announce results from drilling at Thunder Ridge on its wholly-owned Spanish Creek project. A total of 1825.76 metres was completed in six holes in October 2009.

Highlights:

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-  Hole SC019 intersected 19.30 g/t gold over 1.5 metres and a second zone
   of 0.67 g/t over 21.40 metres including 0.87 g/t over 14.50 metres.
-  Hole SC021 intersected 1.42 g/t gold over 14.75 metres including 4.54
   g/t over 3.80 metres and a separate intersection of 705 g/t silver over
   1.25 metres.
-  Hole SC022 intersected 0.61 g/t gold over 21.50 metres.
-  Hole SC023 intersected 0.80 g/t gold over 38.30 metres including 1.03 g/t
   over 26.0 metres also including 5.33 g/t over 1.50 metres.

Significant results are presented in Table 1. The location of drill holes are presented in Map 1 that is located www.skygold.ca under "Exploration Projects - Spanish Creek".

Gold mineralization at Thunder Ridge occurs at the intersection of southwest and northeast trending structures and vein systems. Gold mineralization encountered within holes SC019 and SC023 occurs within one of these vein/structure systems. The holes are located 400 metres apart. Mineralized zones remain open in all directions.

Gold mineralization has now been encountered over a strike length of at least 800 metres. All drilling to date was targeted within a larger gold geochemical anomaly which extends for over 1.5 kilometres. The Company believes that there is good potential to expand the extent of the currently defined mineralized corridor.

The Spanish Creek Project is located approximately 50 kilometres northeast of the town of 100 Mile House in central British Columbia. The property is underlain by a sequence of Triassic black phyllite similar to the rocks that underlie the Main Zone at the Spanish Mountain Property. Gold mineralization is associated with silica flooding and quartz veining within northeast trending structures.

The Company is planning for further drilling in 2010 to follow up these results and to test geophysical targets generated from an airborne geophysical survey completed in the fall of 2009.

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Table 1

Hole                   From (m)   To (m)   Width(i)   Au (g/t)
-------------------------------------------------------------
SC019                    62.00    63.50       1.50      19.30
-------------------------------------------------------------
SC019   Including       116.00   121.00       5.00       0.55
-------------------------------------------------------------
SC019                   191.50   212.90      21.40       0.67
-------------------------------------------------------------
SC019   Including       197.00   211.50      14.50       0.87
-------------------------------------------------------------
SC019   Including       197.00   205.50       8.50       1.05
-------------------------------------------------------------
SC020   anomalous
-------------------------------------------------------------
SC021                   176.75   191.50      14.75       1.42
-------------------------------------------------------------
SC021   Including       176.75   180.55       3.80       4.54
-------------------------------------------------------------
SC021   And             239.88   246.50       6.62       0.55
-------------------------------------------------------------
SC022                   204.00   224.00      20.00       0.64
-------------------------------------------------------------
SC022   Including       210.00   214.50       4.50       1.47
-------------------------------------------------------------
SC022   and including   221.00   224.00       3.00       1.37
-------------------------------------------------------------
SC023                   251.50   276.00      24.50       1.08
-------------------------------------------------------------
SC023   and including   264.03   265.50       1.47       3.54
-------------------------------------------------------------
SC023   and including   268.50   274.30       5.80       2.29
-------------------------------------------------------------
SC023   and including   268.50   270.00       1.50       5.33
-------------------------------------------------------------

(i) core length - does not represent true width

Project Quality Control / Quality Assurance

NQ core samples were logged and cut with a diamond saw on site. Recoveries were generally better than 90%. Samples were shipped directly to Eco Tech Labs, Stewart Group. Eco Tech Laboratories Ltd. of Kamloops BC, a BC accredited laboratory which is independent of the Company, is conducting the sample preparation and analyses of samples. Skygold routinely submits standards, blanks and duplicates into the sample stream to maintain quality control. All gold analyses will utilize standard screen metallic assay techniques. Robert Darney, P.Geo. and R. Bob Singh P.Geo are the qualified persons (as defined in NI 43-101) who have reviewed this news release.

On Behalf of the Board,

SKYGOLD VENTURES LTD.

Brian Groves, President

Forward-Looking Information

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Skygold Ventures Ltd. expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Companies believe the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include the conditions of the letter agreement not being satisfied. 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. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required under applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

 
Contacts:
Skygold Ventures Ltd.
Tim Mikula
(604) 484-6317
(604) 684-0279 (FAX)
www.skygold.ca
B&D Capital Partners
Kris Davenport
(604) 685-6465