Falcon Gold Receives Assay Results Including 2,700 g/t Silver and 5.58 g/t Gold from Washington Silver Project

SUDBURY, ONTARIO -- (Marketwire - Aug. 23, 2012) - Falcon Gold Corp. ("Falcon Gold" or "the Company") (TSX VENTURE:FG) is pleased to announce that it has received assays from rock samples taken at its Washington Silver Project including one sample that assayed 2,700 grams per tonne (g/t) silver (Ag) and 5.58 g/t gold (Au).

The samples were taken and analyzed in conjunction with detailed geological mapping completed in, and proximal to, the Silver Bell open pit which is located on Falcon Gold's 100%-owned Washington Silver Property. A total of 43 grab samples of various rock types mapped in the pit and pit area, representing strongly mineralized veins and breccias to relatively unaltered volcanic rocks, were analyzed for Ag and Au. Of the 43 samples taken, 20 samples returned Ag assays greater than 100 g/t and had an average Ag grade of 651 g/t. Gold grades of the same 20 samples average 1.25 g/t. A very strong correlation between Ag and Au grades is noted in the assay data. The results of all samples taken are contained in the table below.

The Silver Bell mapping and sampling is part a larger exploration program currently being completed on the Washington Silver Property that includes geological mapping across the 80 acre Silver Bell Mining Lease and adjacent exploration claims (800 acres). The results of the Silver Bell pit work completed to date form the basis for the planning and design of a 1,000 metre diamond drill program.


The Washington Silver Project

The Washington Silver property encompasses approximately 880 acres and is located in the Ferry and Okanogan Counties in north central Washington State, approximately 14 kilometres (km) northwest of the town of Republic and 50 km south of the Canada-USA border.

The district has been an active precious metal mining region for over 100 years. A number of past producing silver and gold mines collectively represent an Epithermal Ag-Au district which extends from Northern Washington into British Columbia. Hecla Mining operated the Knob Hill Mine near Republic, which produced an estimated 2.4 million ounces of gold before closing, and current projects in the region include Midway Gold's Golden Eagle deposit (discovered by Hecla Mining in 1988) and Kinross Gold Corporation's Buckhorn Gold deposit and K1/K2 deposit. Kinross' 1,800 tpd capacity Kettle River Mill is located approximately 8 km from the Washington Silver Property. Silver was first discovered in the area of the Washington Silver Property in 1897 and the property has had a sporadic production history including 1907, 1940, and 1980-1983. During the period 1980-1983 production came from the Silver Bell Open Pit located on the Silver Bell Mining Lease. The property contains a number of Au and Ag showings consisting of veins, vein stocks works, and siliceous breccias consistent with the district style of epithermal mineralization.


Qualified Person

Jamie Lavigne, P.Geo, Vice President Exploration and Director of Falcon Gold completed and supervised the geological mapping and sampling on the Washington Silver Property and has reviewed and approved the technical contents in this press release.


Analytical and QA/QC

Assays were completed at ALS Minerals in Reno, Nevada. All samples received are crushed to 70% of the sample less than 2mm diameter. A 1 kg split of the crushed sample is pulverized to 85% less than 75 microns. Gold is analyzed by Fire Assay on a 30 gram split of the pulverized sample with an AAS finish (ALS method Au-AA23). Silver is analyzed by a multi-acid digestion followed by hydrochloric acid leach and AAS analysis (ALS method Ag-AA61). Samples with Silver concentrations greater than 5 g/t were re-analyzed using fire assay on a 30 gram split followed by gravimetric finish (ALS method Ag-GRA21). QA and QC measures implemented by Falcon Gold include the use of Certified Reference Materials, sample blanks, and analyses at a check laboratory.


Washington Silver Project Rock Sample Results

SAMPLE NUMBER 	WEI-21 		Au 		Ag 	Ag
Rec'd Wt. 		Au-AA23 		Ag-AA61 	Ag-GRA21
kg 		ppm 		ppm 	ppm
SBP-01 	1.07 		5.58 		>100 	2700
SBP-02 	2.11 		1.655 		>100 	988
SBP-03 	2.09 		0.014 		6.8 	9
SBP-04 	2.21 		0.103 		87.5 	75
SBP-05 	1.91 		0.252 		>100 	205
SBP-06 	1.36 		1.22 		>100 	573
SBP-07 	2.95 		1.145 		>100 	697
SBP-08 	2.07 		0.029 		16.1 	17
SBP-09 	1.56 		0.023 		16.9 	15
SBP-11 	3.07 		0.291 		>100 	136
SBP-12 	2.68 		<0.005 		2.7 	
SBP-13 	2.81 		2.18 		>100 	801
SBP-14 	0.45 		0.012 		10.4 	9
SBP-15 	3.09 		0.02 		18.7 	19
SBP-16 	3.22 		<0.005 		2.8 	
SBP-17 	2.91 		0.131 		55.8 	82
SBP-18 	2.68 		0.005 		3.8 	
SBP-19 	3.42 		<0.005 		2.3 	
SBP-21 	2.28 		<0.005 		0.5 	
SBP-22 	2.54 		0.008 		5.3 	7
SBP-23 	3.91 		0.01 		2.9 	
SBP-24 	2.39 		0.007 		5.2 	7
SBP-25 	2.51 		0.245 		>100 	143
SBP-26 	2.34 		0.007 		4.1 	
SBP-27 	3.08 		<0.005 		26.6 	28
SBP-28 	2.4 		0.023 		10.3 	7
SBP-29 	2.47 		1.135 		>100 	642
SBP-31 	3.04 		0.203 		>100 	158
SBP-32 	2.13 		0.922 		>100 	555
SBP-33 	2.28 		0.506 		>100 	225
SBP-34 	3.28 		0.714 		>100 	235
SBP-35 	2.75 		4.03 		>100 	2110
SBP-36 	2.21 		0.604 		>100 	200
SBP-37 	2.25 		0.046 		>100 	129
SBP-38 	0.94 		0.008 		3.9 	
SBP-39 	2.35 		0.178 		96.2 	92
SBP-41 	2.81 		1.035 		>100 	680
SBP-42 	1.55 		1.685 		>100 	940
SBP-43 	0.94 		0.026 		7.9 	7
SBP-44 	0.52 		0.31 		>100 	173
SBP-45 	1.05 		1.34 		>100 	729
SBP-46 	1.75 		0.13 		60.4 	59
SBP-47 	1.67 		0.022 		30.5 	20

About Falcon Gold Corp.

Falcon Gold Corp. is a Canadian mineral exploration company focused on generating, acquiring, and exploring quality mining opportunities in the Americas.


On Behalf of the Board of Directors

FALCON GOLD CORP.
Edward Stringer, President, CEO and 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.



Contact

Falcon Gold Corp.
Timea CarlsenManager, Corporate Communications
Toronto Cell: 647-991-2473 (BIRD)
Vancouver Cell: 778-998-2473 (BIRD)
timea.carlsen@falcongold.ca
www.falcongold.ca