Great West Gold, Inc. - Acquisition of Substantial Copper Interests.

NEW YORK -- Great West Gold, Inc. (OTCBB:GWGO) confirms that it has acquired the "Copper Mountain" Copper Mining Project in Yavapai County, Arizona as well as additional eight lode claims know as the "Hake" claims.

The Company is determined to exploit the huge surge in the price and demand for Copper in the last year and to focus its attention on the further exploration and possible production of these substantial Copper Mining Projects.

BRIEF SYNOPSIS OF PROJECTS:-

The Copper Mountain Project (the "Project") is comprised of four groups of mining claims (approximately 2,400 acres) along five miles of a north / south Precambrian geological trend. The northernmost claim block (AF claims) is located less than 20 miles south of the United Verde mine in Jerome. The United Verde and the United Verde Extension were the major Arizona historic pre Cambrian producers of copper and by-product precious metals. The Iron King mine, located within 5 miles of the Project, was the principal Arizona pre Cambrina zinc and lead producer. Most of the Copper Mountain claims span or are adjacent to the 70 kilometer-long "Shylock Zone," a north-south-trending Precambrian structure marked by unusual stretching and ductility during the deformation events that transformed the Precambrian volcanic country rock into greenstone schist.

The Project includes portions of two mining districts (Big Bug and Agua Fria), which have had significant past production of copper, zinc, lead, gold and silver. During the 1970's Amselco staked out over 30 miles of this trend (also called the Black Canyon Schist Belt), all the way from Black Canyon City in the south to the outskirts of Jerome in the north. As Amselco dropped various portions of these claims, other exploration companies jumped in, including Billiton, Long Lac, Newmont, Rayrock, Redco, Royal Gold and, most recently, American Copper and Nickel ("ACNC"), an Inco subsidiary. Past drilling by these companies has considerably narrowed the field, and recent exploration efforts have been concentrated in the central portion of the schist belt in the vicinity of Copper Mountain.

Several geologists, including past consultants for Amselco and Rayrock, have been of the view that the most likely place to find another big Precambrian deposit may instead be in the Copper Mountain Project area to the south of Jerome. The reasons are stated as follows:

"Despite the relatively small size of the known Agua Fria deposits, they bear a strong resemblance to the 'Jerome type' of massive sulfide ores. Both camps show copper-rich and zinc-poor ores, hosted on large flow complexes. The district should have good exploration potential. The greatest future mineral potential may lie in the discovery of concealed volcanogenic massive sulfide and associated gold deposits. Most massive sulfide mining districts throughout the world contained a loosely defined 'family' of deposits. Typically the family contains at least one large deposit, several intermediate-sized satellite bodies, and a host of smaller prospects. Districts such as the Big Bug and Agua Fria contain ore bodies in the small to intermediate size range, and perhaps the 'largest member' deposits still await discovery."

1. AF Claims These claims are to the west of the Binghampton and Copper Queen mines, which produced substantial copper early in the 20th century. Past sampling by Royal Gold discovered gold values in the "marker rhyolite,"and this is presently McIntyre's top priority gold exploration target for the Project. It is typical in volcanogenic deposits to have gold deposits located distally or up-sequence from a copper massive sulfide body such as the Binghampton / Copper Queen ore body. One of the best - known examples was the "Gold Stope" at the United Verde Extension, which was located some distance from the main copper ore body.

2. Main Copper Mountain Claim Block These claims are immediately west (up-sequence) and southeast (along strike) of the Stoddard Mine, another historic copper massive sulfide producer. The claims continue for over 1.5 miles to the SSE along the "Stoddard Trend," as indicated by anomalies found during geochemical sampling. There are numerous copper oxide outcrops throughout the claim block. This is presently thought to be the most promising place for copper massive sulfide exploration. Past drilling by Newmont and Rayrock was concentrated in the immediate vicinity of the Stoddard mine workings and to the east, in the vicinity of the Big Bug and Old Miner mines. The Big Bug / Old Miner horizon is now thought, because of its intense chloritization, to be a vent feeder zone, so that the most likely place for a major deposit would be up-sequence and to the west, which would be in the Main Copper Mountain Claim Block.

3. Big Bug / Old Miner Claim Block As stated above, there is heavy chloritization of the schist throughout this horizon. There was historic copper and gold production from the Big Bug and Old Miner mines, located in the NW portion of this claim block. There are also several very visible outcrops of copper oxide in the southeast part of this claim block, over a large anomaly discovered as a result of geochemical sampling. The potential of this area should not be minimized despite the present geological interpretation as a vent feeder zone. It may very well be worth mining. Looking to Jerome, the analogous deposit is the Verde Central, which is presently thought to be in the feeder zone for the United Verde deposit. The Verde Central mine, located south of Jerome and at the foot of the volcanic pile (Cleopatra formation) on which the United Verde deposit rests, produced 139,000 tons of high grade (2.7%) copper ore, which also contained 0.4 oz/T silver.

4. Pocahontas Claim Block These claims extend for over two miles SSW from the Main Copper Mountain Claim Block. There are copper oxide outcrops along the trend, and a prominent gossan in the vicinity of the Pocahontas gold mine, which is in the southern part of this claim block. Anomalous gold samples were also found by Royal Gold in the central portion of this claim block to the east of the prominent "Jagged Tooth" chert ridge.

The Company will be filing a very detailed Form 8-K in respect of this acquisition with all geological data and work carried out on this Project to date.

A detailed Report of this Project is being prepared by Geologists and will be available for download from the Great West Gold, Inc. web site in and during next week.

COST AND FUNDING OF THIS ACQUISITION:-

The Company has announced today that it has raised and additional US$20,000,000 in funding through the issue of Convertible Loan Notes. The amount of US$10,000,000 was raised from an Investment Group and the balance in the amount of US$10,000,000 was obtained from St James Capital Holdings, Inc. The Convertible Loan Notes bear interest at the rate at the rate of 6% per annum and are convertible into Restricted Common Stock of Great West Gold, Inc. in whole or in part at any time at the discretion of the Loan Note Holders. The Loan Note Holders have undertaken that upon any conversion of the loans into restricted Common Stock of the Company, they will accept restricted stock under Regulation 144 and that the Company will not file a Registration Statement to create "free trading" Stock. These Loan Note Holders are committed to the long term growth of the Company and will not be in a position to dispose of any Restricted Common Stock of Great West Gold, Inc. (should they convert these loans into Common Stock of the Company) for a period of not less than one year from the date of any issue of Common Stock of Great West Gold, Inc. to themselves. This amount of US$20,000,000 is immediately payable to the vendors.

Great West Gold, Inc. has issued a Promissory Note to the vendors of the Company in the amount of U$30,000,000. This Note carries an interest rate of 8% per annum and is redeemable on March 31, 2007. This Promissory Note has been guaranteed by St James Capital Holdings, Inc. and in the event of Great West Gold, Inc. defaulting on this Promissory Note, St James Capital Holdings, Inc. will be liable to the vendors in the amount of US$30,000,000 plus interest and would be forced to issue that amount in its Common Stock in St James Capital Holdings, Inc. to the vendors.

Great West Gold, Inc. will be issuing an amount of 15 billion restricted shares of its restricted Common Stock to the vendors immediately. The Vendors have undertaken that they will accept restricted stock under Regulation 144 and that Great West Gold, Inc. will not file a Registration Statement to create "free trading" Stock. These Vendors are committed to the long term growth of the Company and will not be in a position to dispose of any Restricted Common Stock of Great West Gold for a period of not less than one year from the date of this issue.

ST JAMES CAPITAL HOLDINGS, INC.:-

Great West Gold, Inc. is already indebted to St James Capital Holdings, Inc. in the amount of US$1,750,000. This Loan remains interest free, unsecured and with no fixed term of repayment. St James Capital Holdings, Inc. has undertaken that should it elect to convert this loans into restricted Common Stock of the Company, they will accept restricted stock under Regulation 144 and that Great West Gold, Inc. will not file a Registration Statement to create "free trading" Stock. St James Capital Holdings, Inc. remains committed to the long term growth of the Company and will not be in a position to dispose of any Restricted Common Stock of Great West Gold, Inc. (should they convert this loan into Common Stock of the Company) for a period of not less than one year from the date of any issue of Common Stock of Great West Gold, Inc. to themselves.

BENEFITS TO GREAT WEST GOLD, INC.:-

The bulk of Great West Gold, Inc. assets will now be in Copper Mining after having distributed its shares in its Gold Mining Exploration Companies to its shareholders in the form of Stock Dividends.

The massive revaluations of Copper in the recent times make these assets extremely valuable. A full Report being released to shareholders in and during next week will provide all the data on the Projects and their massive value to Great West Gold, Inc.

Statements contained in this press release, which are not historical facts, are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based largely on the Company's expectations and are subject to a number of risks and uncertainties beyond the company's control, including but not limited to economic, competitive and other factors affecting the Company's operations, management team effectiveness, expansion strategies, available financing, market prices and recovery costs, government regulations involving the Company, facts and events not known at the time of this release, and other factors discussed in the Company's filings with the Securities and Exchange Commission.

These statements are not guarantees of future performance and readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company undertakes no obligation to update publicly any forward-looking statements.