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Minco Gold has plans for 2009 and has a Corporate Update

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posted on Feb 03, 2009 06:04AM

Minco Gold Corporation (the "Company" or "Minco Gold") (TSX:MMM/NYSE
Alternext US:MGH/FSE:MI5) provides a corporate update on progress made
during 2008 and outlines the Company's plans for 2009. The Company
made significant progress on the Changkeng Gold project and the Longnan
Properties. Minco Gold also conducted a general review of its project
portfolio to enable a more focused approach on its core assets. A
summary of progress made during 2008 is summarized below:

Changkeng Gold Project

In early 2008, the Company received all required government approvals
to advance the Changkeng Gold project including a business licence
granted to Guangzhou Mingzhong Mining Co., Ltd. ("Mingzhong"), a
cooperative joint-venture to explore and develop the Changkeng Gold
property. A 100% interest in the exploration permit (the "Changkeng
Exploration Permit") was successfully transferred to Mingzhong and
approved by the Ministry of Land and Resources. Minco Gold holds a 51%
equity interest in Mingzhong.

In March, the Company reported an NI 43-101 resource estimate for the
Changkeng Gold project completed by P&E Mining Consultants Inc. of
Brampton, Ontario. The deposit contains an indicated resource of 2.1
million tonnes @ 5.61 g/t gold ("Au") for a total of 379,000 oz
contained gold and an inferred resource of 2.2 million tonnes @ 4.82
g/t Au for a total of 333,400 oz Au.

The Company conducted a comprehensive exploration program on the
project including approximately 12,000 metres of diamond drilling in 61
holes, preliminary metallurgical testing, and a hydrological &
geotechnical assessment on the project. All the field related works
were completed toward the 2008 year end.

Minco Gold will soon release the results from the drill program
completed on the Changkeng Gold project when check assays have been
received. The Company has also engaged P&E Engineering to complete an
updated resource estimation.

Longnan Gold Projects

Minco Gold owns a 100% interest in 12 exploration permits in the
Longnan region within the southwest Qinling gold field located in Gansu
Province, China. Although an earthquake severely impacted the region,
halting the exploration programs, the Company did resume field
activities within the three main areas when it was safe to so. A
trenching program on the Yangshanli property was completed in April and
returned encouraging results. A bedrock sourced gold anomalous area was
identified covering approximately 1.6 kilometres long by 300 metres
wide. The Company conducted an IP survey over the area and a number of
prospective drill targets were generated.

Other work carried out within the Longnan area included field mapping,
sampling and trenching the Xicheng East property in areas of previously
defined geochemical anomalies and mineralized areas that were
discovered in 2007. This resulted in mineralized structures and trends
being extended along strike with 0.5 or 1.0 metre wide channel sample
results ranging from 0.28 to 1.85 % Pb in one area and 1.67 g/t Au, 10
g/t Ag and 0.43 % Pb in another favourable target area. Regional field
sampling and mapping was carried out in the Yejiaba properties over
areas of geochemical anomalies and identified structural trends.
Individual grab samples from geologically favourable areas returned
values up to 4.29 g/t Au, 137 g/t Ag and 13% Sb.

Other Projects

The Company conducted exploration programs on its Gobi Gold project,
Gold Bull Mountain project, and Xiaoshan project during the first half
of 2008. Given severe downturn in the financial markets experienced
during the second half of 2008, the Company suspended exploration
programs on those projects after a detailed review of the exploration
data to save cash. The Company intends to dispose of the non-core
properties or revisit them when the market improves.

Minco Gold elected to sell the BYC project for RMB7.0 million
(approximately C$1.27 million) to recover all the historical
exploration expenditures on the property. Additionally, three small
areas in Longnan region were sold for RMB 2.95 million (approximately

2009 Plan

The current economic environment has prompted the Company to cut back
activities within Canada and China. Minco Gold has implemented a
focussed approach on its prime assets and stopped or suspended work on
non-core properties to preserve its treasury.

The main focus of the Company in 2009 will be on the permitting of the
Changkeng Gold project and further exploration on the Longnan projects
where field programs have been planned for the higher potential areas
and a drill program has been prepared for the Yangshanli property to
follow up on the discovery made during 2008. Field work will also be
conducted in the Yejiaba and Xicheng areas.

In January of 2009, Ms. Ellen Wei was appointed the Company's
Controller replacing Ms. Fiona Zhou. Ms. Wei's qualifications include
an AICPA designation in the United States and a CPA designation in
China. Ms. Wei has 10 years experience with a major Chinese auditing
firm and 3 years with Ernst & Young respectively. Ms. Wei has worked
with the Minco Group for 4 years in the capacity of CFO for Minco
Mining (China) Ltd. She was the former Controller of Dragon
Pharmaceuticals Inc., a listed company for 2.5 years.

Minco Gold would also like to announce that Mr. Garnet Clark has
resigned as Chief Financial Officer. The Company would like to thank
Mr. Clark and Mrs. Zhou for their valuable contributions and wishes
them well in their future endeavours.

Mr. Dwayne Melrose, P. Geo, Vice President Exploration for Minco Gold,
has reviewed this news release and is the Qualified Person responsible
for verification and quality assurance of the company's exploration
data and analytical results.

About Minco Gold

Minco Gold Corporation (TSX:MMM/NYSE Alternext US:MGH/FSE:MI5) is a
Canadian mining company involved in the direct acquisition and
development of high-grade, advanced stage gold properties. The Company
owns an exploration property portfolio covering more than 1,000 square
kilometres of mineral rights in China. For more information on Minco
Gold and its properties, please visit the website at www.mincomining.ca
or contact Ute Koessler at 1-888-288-8288 or (604)-688-8002
[email protected].

"Dr. Ken Z. Cai"
President & CEO

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