Argonaut Gold Ltd. (TSX:AR) is pleased to announce initial results from its
ongoing reverse circulation drill program aimed at expanding gold resources at
the Company's 100% owned flagship open pit gold mine, El Castillo, located
approximately 100 km north of Durango, Mexico. The program was designed to
identify the extent of the El Castillo gold system as it projects to the south
and south-east of the existing open pit operation. To date, 109 drill holes,
totaling over 14,350 meters (m), have been completed.


The best drill intersection of this program was hole CA-295, which intersected
56.2 meters of 1.10 grams per tonne gold (g/t) from a depth of 51.7 meters to
107.9 meters. A summary highlighting some of the assay results are listed below
in Table 1. Results from this current program will be used to plan and
prioritize an aggressive follow-up drill program with the goal to bring these
areas into a resource category and ultimately part of the mine reserves.


Pete Dougherty, President and CEO for Argonaut noted, "The drill expansion
program has provided some very encouraging results at El Castillo. El Castillo
was acquired with the expectation that upside potential existed in both
exploration and production at the mine". He added: "This drill program is a key
initiative in realizing El Castillo's full exploration potential. Results so far
have verified our initial expectations. Once the 16,000 meter program is
completed, and these new zones of mineralization are drilled further, we
anticipate a new National Instrument 43-101 resource calculation for El Castillo
by year's end". 




Table 1
Summary Assay Results - El Castillo Mine Resource Expansion Drill Program

                                                                     Average
Hole                               Depth     From       To   Length    Grade
Number                          (meters) (meters) (meters) (meters)    (g/t)
                                                                            
----------------------------------------------------------------------------
CA-253                             166.0      0.0      9.1      9.1    0.602
----------------------------------------------------------------------------
including                                    15.2     62.3     47.1    0.227
----------------------------------------------------------------------------
CA-260                              92.7      0.0     33.5     33.5    0.487
----------------------------------------------------------------------------
CA-268                             139.8     22.8    139.8    117.0    0.254
----------------------------------------------------------------------------
CA-275                              95.8      0.0     66.9     66.9    0.238
----------------------------------------------------------------------------
CA-285                              51.7     19.8     50.7     31.9    0.786
----------------------------------------------------------------------------
CA-289                              91.2      0.0     35.0     35.0    0.477
----------------------------------------------------------------------------
CA-295                             173.3     51.7    107.9     56.2    1.100
----------------------------------------------------------------------------
CA-298                             103.4      0.0     68.4     68.4    0.341
----------------------------------------------------------------------------
CA-316                             120.1     18.2     57.7     39.5    0.531
----------------------------------------------------------------------------
including                                    74.5    111.0     36.5    0.562
----------------------------------------------------------------------------



(i)Note: Reported mineral widths have not been verified as true widths as more
drilling will be required to identify the orientation of the mineralization.


The Company's plans for further exploration of the mineral resources to the
south and south-east of the present designed El Castillo open pit are:




1.  To conclude drilling on a 100 meter spacing program, release full
    results and analyze the results to identify the extent of the El
    Castillo gold system as it projects to the south and south east of the
    open pit mining operation. 

2.  Identify priority target areas for 50 meter drill pattern based on
    results from the 100 meter space drilling. 

3.  Complete several core holes within the ore body to obtain metallurgical
    samples of the Transition and Sulphide zones that underlie the known
    oxide-ore zone. The Transition Zone is a layer of varied thickness of
    mineralized rock that has undergone partial oxidation and lies above the
    deeper sulfide zone. Further metallurgical studies are necessary to
    better understand how both the Transition and Sulfide ores will respond
    to heap leach gold recovery as this mineralization could add
    significantly to future mining reserves. (See Castle Gold Corporation
    press release May 7, 2009) 

4.  Bring key portions of the mineralized system into an indicated resource
    category via a new National Instrument 43-101 compliant technical report
    expected to be completed by the end of the year. 



Argonaut's Drill Program to date includes a total of approximately 14,350 meters
yielding 109 reverse circulation drill holes including 7 condemnation drill
holes. As of this press release, assay results have been received for 91 holes.
An additional 10 drill holes remain within the initial budgeted 16,000 meter
program. A complete table outlining all drill intercepts over five meters in
thickness and above a resource cut-off grade of 0.15 grams per tonne gold (used
to calculate the El Castillo mine gold resource and reserves) is available
online at the Company's website.


To view the attached map, please visit the following link:

http://media3.marketwire.com/docs/ar_re_drill_331b.pdf

About Argonaut Gold Ltd.

Argonaut is a Canadian gold company engaged in exploration, mine development and
production activities. Its primary assets being the production-stage El Castillo
Project and the exploration-stage La Fortuna Project, both located in the State
of Durango, Mexico. Argonaut is a new venture created by former executive
management team members of Meridian Gold Inc. aiming to create the next quality
mid-tier gold producer in the Americas.


Qualified Person Comments/Quality Control Procedures

This Press Release was reviewed and approved by Thomas Burkhart, B.Sc. in
Geology, Argonaut Gold's Vice President of Exploration. Mr. Burkhart is a
Qualified Person as defined in National Instrument 43-101. 


Mr. Burkhart reviewed the reverse circulation drill program and on-site sample
preparation procedures at El Castillo. All drill hole samples were composited at
site into 1.5 meter intervals and split with half the sample transported to
ALS-Chemex's sample preparation lab in Hermosillo, Mexico. Pulps are prepared in
Hermosillo and then sent to ALS-Chemex's Laboratories in Vancouver, Canada where
gold assays are completed using a fire assay procedure with an Atomic Absorption
Spectroscopy finish. The Company utilizes a system of check assays and sample
blanks consistent with industry standards. 


To be reported here there must be a minimum of 5 meters of material where each
sample interval is equal to or exceeds a .15 gram per tonne cutoff (which is
representative of the current AC Howe pit design).


Cautionary Note Regarding Forward-looking Statements

This news release contains forward-looking statements that involve risks and
uncertainties that could cause results to differ materially from management's
current expectations. Actual results may differ materially due to a number of
factors. Except as required by law, Argonaut Gold Ltd. assumes no obligation to
update the forward-looking information contained in this news release.
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