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July 6,
2010
Description
News Release
ENTR�E
GOLD RECEIVES NEW COAL MINING LICENCE, MONGOLIA
Vancouver,
B.C., Tuesday, July 6, 2010 - Entr�e Gold Inc. (TSX:ETG; NYSE AMEX:EGI;
Frankfurt:EKA � �Entr�e� or the �Company�) has received a mining licence
covering its Nomkhon Bohr coal discovery, outlined through exploration efforts
in 2008-2009. The new mining licence comprises approximately 14,030
hectares and covers the northwest corner of the former Togoot exploration
licence. The portion of the property included in the mining licence is mainly
underlain by Permian sediments which are known to host rich coal deposits in
this part of the Gobi Desert.
"We have worked closely with our Mongolian resource consultants and
the Minerals Council over the last several months to meet the criteria for a
mining licence over our Nomkhon Bohr coal discovery. Our 100%-ownership of
the property and 30 year initial term of the licence gives us many strategic
options," said Greg Crowe, President and CEO of Entr�e.
The Nomkhon Bohr thermal coal occurrences lie within Permian sedimentary
rocks thought to be of similar age to those hosting the multi-billion tonne
Tavan Tolgoi thermal and metallurgical coal deposits. Tavan Tolgoi is located
approximately 80 kilometres to the northwest. Two groups are currently mining
and trucking coal to China along an improved dirt road that passes
immediately north of Nomkhon Bohr. This road is in the process of being
paved. A railway, which will follow a similar route to the current road, is
planned to service both Tavan Tolgoi and Oyu Tolgoi and provide greater access
to markets in China.
The outline of the Togoot mining licence can be viewed at www.entreegold.com.
ABOUT ENTR�E GOLD INC.
Entr�e Gold Inc. is a Canadian mineral exploration company focused on the
worldwide exploration and development of copper and gold prospects. The
Company�s flagship Lookout Hill property in Mongolia completely surrounds the
8,500-hectare Oyu Tolgoi project of Ivanhoe Mines. A portion of the Lookout
Hill property is subject to a joint venture with Ivanhoe Mines, through its
subsidiary Oyu Tolgoi LLC. The joint venture property hosts the Hugo North
Extension copper-gold deposit and the Heruga copper-gold-molybdenum deposit.
Excellent exploration potential remains on the joint venture property for the
discovery of additional mineralized zones.
Under the terms of the joint venture, Entr�e is carried through to
production, at its election, by debt financing from Ivanhoe Mines with
interest accruing at Ivanhoe Mines� actual cost of capital or prime +2%,
whichever is less, at the date of the advance. Debt repayment may be made in
whole or in part from (and only from) 90% of monthly available cash flow
arising from its sale of product. Such amounts will be applied first to
payment of accrued interest and then to repayment of principal. Available
cash flow means all net proceeds of sale of Entr�e�s share of products in a
month less Entr�e�s share of costs of operations for the month.
The Company continues to explore its landholdings in Mongolia while also
evaluating new opportunities throughout eastern Asia. Entr�e is exploring the
Huaixi copper project in Zhejiang Province in China, under the terms of an
agreement with the No. 11 Geological Brigade.
In North America, the Company is exploring for porphyry-related copper
systems in Arizona and New Mexico under two agreements with Empirical
Discovery LLC. In further pursuit of projects in prospective jurisdictions,
Entr�e optioned two contiguous properties, Blackjack and Roulette, in the
Yerington porphyry copper district of Nevada through option agreements with
HoneyBadger Exploration Ltd. and Bronco Creek Exploration Inc. The properties
are contiguous with the Ann Mason property, recently acquired through the
acquisition of PacMag Metals Limited.
In British Columbia, Entr�e has the right to earn 100% interest in the
early stage copper-molybdenum Crystal property through an agreement with
Taiga Consultants Ltd.
The Company is also seeking additional opportunities to utilize its
expertise in exploring for deep and/or concealed ore deposits. With a
treasury of approximately C$32 million, the Company is well-funded for future
activities.
Rio Tinto and Ivanhoe Mines are major shareholders of Entr�e, holding
approximately 13% and 12% of issued and outstanding shares, respectively.
FURTHER INFORMATION
Monica Hamm - Manager, Investor Relations
Entr�e Gold Inc.
Tel: 604-687-4777
Fax: 604-687-4770
Toll Free: 866-368-7330
E-mail: mhamm@entr�egold.com
This News Release
contains forward-looking statements. Forward-looking statements are
statements which relate to future events. In some cases, you can identify
forward-looking statements by terminology such as �may�, �should�, �expects�,
�plans�, �anticipates�, �believes�, �estimates�, �predicts�, �potential� or
�continue� or the negative of these terms or other comparable terminology.
These include, but are not limited to: the ability of the company to make
economic discoveries and advance its projects to development or production,
the impact of amendments to the laws of countries in which Entr�e carries on
business; and other statements that are not historical facts. These statements
are only predictions and involve known and unknown risks, uncertainties and
other factors that may cause our or our industry�s actual results, levels of
activity, performance or achievements to be materially different from any
future results, levels of activity, performance or achievements expressed or
implied by these forward-looking statements.
While these forward-looking statements, and any assumptions upon which
they are based, are made in good faith and reflect our current judgment
regarding the direction of our business, actual results will almost always
vary, sometimes materially, from any estimates, predictions, projections,
assumptions or other future performance suggested herein. Except as required
by applicable law, including the securities laws of the United States, the
Company does not intend to update any of the forward-looking statements to
conform these statements to actual results. Readers are referred to the
sections entitled �Risk Factors� in the Company�s periodic filings with the
British Columbia Securities Commission, which can be viewed at www.SEDAR.com,
and with the United States Securities and Exchange Commission, which can be
viewed at www.SEC.gov.
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Entr�e Gold Inc.
1201 - 1166 Alberni Street
Vancouver, BC
Canada V6E 3Z3
Telephone: (604) 687-4777
Facsimile: (604) 687-4770
Toll-free: 866-368-7330
info@entreegold.com
(TSX: ETG)
(NYSE Amex: EGI)
(Frankfurt: EKA)
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