US Gold Intersects Impressive High-Grade

TORONTO, ON - US Gold Corporation reported a successful conclusion to its first year in Mexico and a bright outlook for 2009! Drilling from two projects within the Magistral District, located in Sinaloa State continues to intersect exciting high-grade results.
• El Gallo - Results show excellent potential: 2.0 ounces per ton (opt) gold, 5.3 opt silver over 5 feet (ft) (70.1 grams per tonne (gpt) gold, 180.0 gpt silver over 1.5 meters (m)), within 15.0 ft of 0.76 opt gold, 3.3 opt silver (25.9 gpt gold, 112.1 gpt silver over 4.6 m).
• El Gallo - Strike length of initial discovery area extended to 425.0 ft (130.0 m): 10.4 opt silver over 45.0 ft (355.8 gpt silver over 13.7 m), including 27.3 opt silver over 5.0 ft (937.0 gpt silver over 1.5 m).
• Palmarito - Southwest Zone expands as grades get richer: 10.6 opt silver over 75.0 ft (363.3 gpt silver over 22.9 m), including 33.0 opt silver over 5 ft (1130.0 gpt silver over 1.5 m).
El Gallo is a recent discovery located 3mi (4.8km) north of the Magistral Mine. US Gold believes the project has excellent potential based on the early results and strong alteration that has been found over a broad area. Results issued on November 26th, 2008 returned significant mineralization: 43.6 opt silver and 0.45 opt gold over 55.0 ft (1494.7 gpt silver, 15.3 gpt gold over 16.8 m), including 104.1 opt silver and 1.0 opt over 20.0 ft. (3570.0 gpt silver, 34.6 gpt gold over 6.1 m).
Subsequent exploration was designed to 1) define and delineate the high-grade mineralization 2) connect the two initial discovery areas and 3) expand the known mineralization.
Exploration was designed to establish the orientation of the high grade silver-gold mineralization located in the east portion of the project, in order to guide future drilling. Early interpretations suggest that the favorable mineral horizon is trending to the north.
The company's address is 99 George St. 3rd Floor, Toronto, ON M5A 2N4.