FEBRUARY 2, 2011 – LAVAL, QUEBEC – First Gold Exploration Inc. (TSX-V: EFG) (US OTCQX: FGEXF) (FSE: F12) has engaged GENIVAR Inc. (TSX: GNV) (“GENIVAR”), one of the largest engineering firms in Canada, to complete a pre-feasibility study which will be compliant with National Instrument 43-101 Standards of Disclosure for Mineral Projects for the Lake Rose Lithium and Tantalum deposit. The pre-feasibility study will consist in the evaluation of the mining and milling operations, as well as the metallurgical processing facility. It will also include all necessary infrastructure required for the development of the Lake Rose deposit. Project cost estimates and financial analysis should be completed by the fourth quarter of 2011.
The major areas to be covered by the pre-feasibility study include mine design, general infrastructure, as well as integration of additional areas to be assessed, including but not limited to metallurgy, environmental, market and transportation studies. It will also include capital and operating cost estimates, cash flow model and financial analysis, and a project implementation schedule. Finally, the environmental assessment portion of the study will provide First Gold with a baseline environmental survey for its Lake Rose property.
“We are extremely pleased with the rapid pace of discovery, evaluation and definition of the project and its move towards development,” said Jean-Sébastien Lavallée, President.
In line with its local approach, GENIVAR is proposing to involve the local Cree community during the field activities.
First Gold has also retained the services of Mr. Peter Tse, a world renowned metallurgist to support the pre-feasibility study. During the past few years, Mr. Tse has managed the testing and plant modifications at the Bernic Lake Mine for enhanced lithium and Tantalum recoveries as well as for the Aley Niobium project of Taseko Resources Ltd. He is currently managing the metallurgical studies for the Upper Fir Tantalum-Niobium project of Commerce Resources Inc.
Test work on Lake Rose material has started this week and is scheduled to be completed by the end of the second quarter of 2011. Mr. Tse will work closely with Mr. Michel Robert, Director of First Gold and metallurgist, who is experienced in Niobium and Tantalum metallurgy. Mr. Robert designed and managed the metallurgical operations at Iamgold´s Niobec Mine, Quebec, for the first three years of its operation.
Jean-Sebastien Lavallee (OGQ #773), geologist, shareholder, President and Chief Executive Officer of the Company and a Qualified Person under NI 43-101, has reviewed and approved the technical content of this release.