NOLAN

Silverado Gold Mines announced recent findings indicating a potential bulk minable resource at the Nolan Creek gold and antimony property in Alaska, USA. Silverado has received drill core assay results from diamond drill core holes 09SH19 and 09SH20 that were drilled into the west portion of the 500 ft wide Solomon Shear Zone along the south side of Pringle Bench. Both drill holes intercepted a network of gold-bearing quartz-carbonate veins in addition to the “A” vein gold-antimony zone, and the samples assayed between 0.01 and 1.69 oz/t of gold.

Silverado Gold Mines amended the pre-feasibility study at its Nolan project located in Alaska, USA. In the Base Cash Flow case study, assuming an antimony (Sb) price of US$2.25 per pound and a gold (Au) price at US$700 per ounce, a seasonally operated 125 tons per day concentrating plant could ship stibnite concentrates during a five year mine development period. The net present value (NPV), using a 4.0% interest on investment, amounts to US$7,589,441. An NPV, using a 6.0 interest rate on investment, is US$6,478,071. The internal rate of return (IRR) is calculated to be 31.2%.

Silverado Gold Mines announced that the preliminary feasibility study on its Workman’s Bench gold and antimony lode gold deposit at its Nolan Creek property in Alaska has been completed. The study was commissioned in September 2008. The study concluded that the Workman’s Bench project is economically viable and also supports a mineral reserve calculation and updated mineral resource estimate on the property. The conceptual work plan would involve the selective underground extraction of high quality vein mineralization. Assuming an antimony price of $2.25/lb and a gold price at $700/ounce, and process recovery rates of 85% for antimony and 90% for gold, a seasonally operated 125 tpd concentrating plant could ship stibnite concentrates during a five year period and make a profit of about $27 million over the life of the operation. The mine would pay back capital costs in the third or fourth quarter of the third year of development.