TSX-V Trading Symbol: FMG

VANCOUVER, July 17, 2014 /CNW/ - First Mexican Gold Corp. (the `Company` or `FMG`) (TSX-V: FMG, Frankfurt: 21M) would like to update its shareholders on activities at the Guadalupe property exploration site.

Corex Gold Corp, whose property is contiguous to Guadalupe, announced on June 23, 2014, that it has entered into a letter of agreement with H. Morgan & Co. to provide financing of up to $1.65-million, and to provide operational and management services in regard to the Company's Santana exploration property, with the intent of moving the company into production. Subsequently, First Mexican Gold has granted verbal permission to a third party to allow sampling of its Diana zone. The Diana zone is located 2 kilometres east of the Nicho zone of Corex and is interpreted to be up to 1500 meters long and on strike, with a mineralized zone located on its northern face.

FMG is currently in the final stages of obtaining a grant from SGM ( Mexican Ministry of Mines) to be used to drill the Diana zone should an interested third party decide to independently confirm mineralization in this area..

The FMG claims are located along a trend of producing mines in the Sierra Madre Occidental, including the Mulatos mine of Alamos Gold Inc., the Dolores mine of Pan American Silver Corp and the Ocampo mine of Minera Frisco, S.A.B. de C.V.

FMG is concurrently looking for financing to fund an engineering study of the viability of putting the Karen zone into production via an open cut mining method and heap leach recovery pad. The high grade Karen mineralized zone occurs at or near surface and is amenable to an open cut technique allowing extraction of the rock and processing on a leach pad that would be situated on-site. The initial overview of this possibility is encouraging.