FG Falcon Gold Corp

Falcon Gold Corp. (TSX VENTURE:FG), ("Falcon" or the "Company") announces that
it has signed an option and joint venture agreement with Canyon Copper Corp.,
(TSX VENTURE:CNC), ("Canyon Copper") pursuant to Falcon earning up to an 80%
interest in the New York Canyon Property ("the Property") which hosts an
advanced-stage copper project, located in the Santa Fe Mining District, Mineral
county, Nevada. 


The New York Canyon Copper Property 

Canyon Copper acquired 100% of the property in 2004 (subject to a 2% net smelter
return) ("NSR") and has since undertaken three drill programs on both the
Longshot Ridge Zone and the Copper Queen Zone. 


The property is located in western Nevada and consists of 21-patented claims
covering 420 acres (170 hectares) and 190 unpatented claims covering an area of
approximately 3,800 acres (1,520 hectares). There is a history of mining and
exploration on the property dating back to the first discovery of copper in
1875. From 1906 to 1929, the Wall Street Copper Company mined an estimated 8.9
million pounds of copper from approximately 110,000 tons of ore with an average
grade of 5.5% Cu. To date, 181 drill holes totaling approximately 39,000 m
(128,000 ft) have been completed on the property. A majority of the work was
focused on the mineralized zones within 21 patented claims and much of the
drilling was directed at the copper oxide mineralization.


The Property lies within the central part of the Walker Lane Structural Belt
that reportedly extends northwest-southeast for more than 400 miles (670 km)
through western Nevada and into northern California. This belt hosts several
porphyry copper deposits and related skarn deposits in addition to several gold
mines and occurrences. Significant mines that are found within the Walker Lane
Belt include Yerington, Comstock, Goldfield, Rawhide, Tonopah-Hall and Dome
Hill.


A CIM-compliant resource estimate of the Longshot Ridge copper oxide zone is
detailed in an NI43-101 Technical Report filed on SEDAR on May 6th 2010 (1). A
summary of the historical resources follows: 




--  Indicated resources of 16,250,000 tons at an average grade of 0.43% Cu
    hosting 139,750,000 pounds of Cu, based on a Cu cut-off grade of 0.20%. 
--  Inferred resources of 2,900,000 tons at an average grade of 0.31% Cu
    hosting 18,210,000 pounds of Cu, based on a Cu cut-off grade of 0.20% 



Note (1) - Prepared by Chris Broili, C.P. Geo. & L.P. Geo., Mel Klohn, L.P. Geo.
BK Exploration Associates, and Gary Giroux, P. Eng., Giroux Consultants Ltd.,
dated April 6, 2010


The company is not relying on those historical resource estimates nor does it
treat them as current defined resources. Additional exploration work will be
undertaken prior to having them verified. Future exploration plans will be
designed to bring any historical resource into compliance with current
regulatory standards. 


This historical mineral resource estimate is based on 58 historical drill holes
and 38 drill holes completed by Canyon Copper during the period from 2004 to
2005, complemented with samples from 34 surface trenches and road cuts. The
historical mineral resource estimate did not incorporate a further 33 drill
holes (7 HQ diamond drill holes and 26 reverse circular holes) completed by
Canyon Copper in 2006.


The New York Canyon copper mineralization is hosted primarily within Triassic to
Jurassic-age limestone assemblages. Mineralization at both the Longshot Ridge
and Copper Queen Zones occurs in skarns adjacent to Cretaceous-age felsic
intrusive rocks. A zone between these areas called the Champion Prospect,
consists of both oxide and sulphide copper skarn mineralization. Other zones of
copper mineralization have been identified by drilling on the property but
require further work to define the extent of the mineralization. The above
mentioned Technical Report also refers to existing data that indicate the copper
sulphide skarn mineralization identified at depth at Copper Queen has no exposed
mineralization at surface, and appears from initial drill results, to be
underlain at even greater depth by a potential disseminated copper molybdenum
sulphide porphyry system. This sulphide zone has been intersected in diamond
drill core and appears to be a copper + molybdenum porphyry that Broili et al
report may represent a porphyry exploration target that potentially could be in
the range of 150 to 400 million tons (136 to 363 million tonnes). Further
exploratory drilling by the company will be required to define this
mineralization. 


The company notes that the potential quantity of this target is entirely
conceptual in nature and remains solely a target on which the company will focus
future exploration. At the current stage, there has been insufficient
exploration results received to define a mineral resource and there is no
certainty that further exploration will result in this target being delineated
as a mineral resource. 


Upon closing of this transaction, Falcon's immediate objectives will be to drill
test this potential porphyry target to update and expand the historical mineral
resource estimate, and to ultimately determine the economics of possible near
term production.


Access to the Property from the town of Hawthorne is via highway US-95
travelling east for 25 miles (40 km) to the town of Luning, then continue east
for 5 miles (8 km) along an all-weather gravel road. The claims are situated
within basin and range terrain at the south end of the Gabbs Valley Range with
part of the property extending westward into Soda Spring Valley. The topography
consists of steep rugged hills up to heights of 7,000 feet (2,135 m) and on the
western side of the property grades down to a broad valley that ranges from
4,600 to 5,500 feet (1402 to 1676 m) in elevation. 


The Agreement 

The option and joint venture agreement is subject to a 60 day due diligence
period being undertaken by Falcon, as well as regulatory approval. 


Under the option agreement, Falcon may earn an initial 60% interest over a four
year term by:




--  expending $2,000,000 on exploration and maintenance of the Property; 
--  issuing to Canyon Copper a total of 1.5 million Falcon common shares; 
--  making cash payments to Canyon Copper totaling $150,000; and, 
--  granting to Canyon Copper 500,000 share purchase warrants exercisable at
    $0.10 for a 2 year period. 



To increase its interest to 80%, Falcon has agreed to issue to Canyon Copper an
additional 1.0 million common shares and complete a Preliminary Economic
Assessment ("PEA"). The PEA report is to assess, in a preliminary manner, the
potential of placing all or any part of the Property into Commercial Production
in such form and detail as set out in National Instrument 43-101. A Finders' Fee
will be payable in connection with the acquisition of the Property. The finder's
fee is payable to two arms-length individuals, and will be payable in common
shares of Falcon valued at 10% of the deemed value of the acquisition over the
first 12 months, subject to regulatory approval.


Qualified Person and NI 43-101 Disclosure 

Mr. Bruce E. Goad, P.Geo, B. Sc. (Hon.), M. Sc. has reviewed and approved the
technical contents of this news release. 


Non-Brokered Private Placement Financing 

Falcon Gold Corp also announces that it is arranging a non-brokered private
placement of up to 10,000,000 Units priced at $0.05 for total gross proceeds of
up to $500,000. Each Unit will consist of one common share and one warrant. Each
warrant will be exercisable for one common share at $0.10 for a period of two
years following the closing and will be subject to a four month hold period.
Proceeds from this financing shall be used to complete its due diligence on the
New York Canyon copper project, continued exploration activities on its
Washington silver project, and general corporate purposes. The financing is
subject to the approval of the TSX Venture Exchange and finders' fees may be
paid. 


About Falcon Gold Corp. 

Falcon Gold Corp. is a Canadian mineral exploration company focused on
generating, acquiring, and exploring opportunities in the Americas. Falcon holds
a 100% interest in the Washington Silver project located in the Republic Mining
District, northeastern Washington, USA. Falcon's 2012 drill results demonstrate
the high grade potential of this silver project with an intersection of 167
grams per tonne (g/t) Ag over 36.5 m including a high grade intercept of 511.57
g/t Ag and 0.83 g/t Au over 9.14 m. 


Falcon's Burton Gold Property is located in the Swayze Greenstone Belt,
Northeastern Ontario, and is approximately 38 kms northwest of IAMGOLD
Corporation's Cote Gold Deposit. Drilling completed by Falcon during 2011
included 3.74 g/t Au over an intersection length of 9.96 m (including 10.98 g/t
Au over 2.17 m) and 3.25 g/t Au over an intersection length of 10.35 m
(including 5.65 g/t Au over 2.85 m). IAMGOLD Corporation has earned a 51%
interest in the Burton Property pursuant to an Option agreement with Falcon. 


On Behalf of the Board of Directors

FALCON GOLD CORP. 

David Tafel,Director

This news release may contain forward looking statements including but not
limited to comments regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, etc. Forward looking
statements address future events and conditions and therefor, involve inherent
risks and uncertainties. Actual results may differ materially from those
currently anticipated in such statements. Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Falcon Gold Corp.
David Tafel
Director
604-683-1991
info@falcongold.ca
www.falcongold.ca

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