VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 25, 2007) - Molycor Gold Corp. (the "Company") (TSX VENTURE:MOR)(FRANKFURT:M1V)(PINK SHEET:MLYFF) is pleased to announce that, further to its news release dated May 7, 2007, the Company has completed its non-brokered private placement (the "Offering") of 2,000,000 flow-through units (each, a "FT" Unit") of the Company at a price of $0.25 per FT Unit to the MineralFields Group for aggregate proceeds of $500,000.<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />

Each FT Unit consists of one flow-through common share (a "FT Share") of the Company and one-half of one non-flow-through common share purchase warrant (each whole non-flow-through common share purchase warrant, a "Warrant") of the Company. Each Warrant entitles the holder thereof to purchase one non-flow-through common share (a "NFT Share") of the Company at a price of $0.30 per NFT Share at any time and from time to time until 5 p.m. (Vancouver time) on May 24, 2009.

The Company paid to First Canadian Securities, a division of Limited Market Dealer Inc. (the "Finder"), a cash commission of $25,000 equal to 5% of the aggregate proceeds from the Offering. In addition, the Company issued to the Finder, 140,000 finder options (each, a "Finder Option") of the Company equal to 7% of the number of Units placed pursuant to the Offering. Each Finder Option entitles the holder thereof to purchase one finder unit (a "Finder Unit") of the Company at a price of $0.25 per Finder Unit at any time and from time to time until 5 p.m. (Vancouver time) on May 24, 2009. Each Finder Unit consists of one NFT Share and one-half of a Warrant (each whole Warrant, a "Finder Unit Warrant") of the Company. Each Finder Unit Warrant entitles the holder thereof to purchase one additional NFT Share at a price of $0.30 per NFT Share at any time and from time to time until 5 p.m. (Vancouver time) on May 24, 2009.

The Company also paid to the Finder a due diligence fee of $10,000 equal to 2% of the aggregate proceeds from the Offering.

The total of 2,000,000 FT Shares, 1,000,000 Warrants and 140,000 Finder Options issued pursuant to the Offering are subject to a hold period expiring August 25, 2007.

The proceeds of this Offering will be used to fund 50% of the exploration program on the Crow-Rea Moly Project and a 50/50 joint venture with Goldrea Resources Corp.

As regards the Offering, Larry R. Reaugh, Chairman, CEO and a director of the Company said, "We are very pleased to be entering into this relationship with MineralFields Group. This is an important milestone in the growth of Molycor Gold Corp. and we look forward to working with MineralFields Group as we develop our share holdings in the Ontario regions."

About MineralFields, Pathway and First Canadian Securities(R)

MineralFields Group (a division of Pathway Asset Management) is a Toronto-based mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada during most of the calendar year, as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds. Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities(R), a division of Limited Market Dealer Inc., is active in leading resource financings (both flow-through and hard dollar) on competitive, effective and service-friendly terms, with investors both within, and outside of MineralFields Group.

On Behalf of Management

Edward Lee, President and Director

This news release may contain certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the TSX-Venture Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.

FOR FURTHER INFORMATION PLEASE CONTACT:

Molycor Gold Corp.

Edward Lee

President and Director

(604) 531-9639

(604) 531-9634 (FAX)

Email: info@molycor.com

Website: www.molycor.com

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