Almas Gold Project Arroz Target Intercepts 

TORONTO, ON - Rio Novo Gold Inc. reported the first drill results of its 2011 campaign at its 100%-owned Almas Gold Project, located in the State of Tocantins, Brazil. The Company is also pleased to unveil its 2011 exploration program for the project, which will include 35,000 meters of drilling.

Newly assayed results of 35 holes totalling 4,500 metres from the north extension of Cata Funda target (Arroz north) have been received. The results have confirmed the presence of numerous narrow mineralized zones extending over 500 metres NNW from the Cata Funda known deposit, with all but 3 holes intercepting gold along the trend. Gold mineralization mostly begins at shallow depth and remains open in all directions. Following the results of the 2010 exploration program, which was oriented towards infill drilling of known deposits for the purposes of project development, Rio Novo has embarked on a generative exploration program prioritizing known targets within the Almas Greenstone Belt. This program, which comprises approximately 35,000 metres of diamond drilling, validation of the soil geochemistry work performed by Vale and IP ground geophysics, was approved by the Board of Directors. The initial stage of the program involves completion of the extensional drilling programs at North Paiol (6,000m on a 25 x 50m grid) and North Cata Funda in Arroz (7,000m on a 25 x 50m grid). Drilling is progressing in these areas with one diamond rig in North Cata Funda and 3 rigs in North Paiol. The company's is 155 University Avenue, Suite 1240, Toronto, ON M5H 3B7, 416-368-8288, email: [email protected]