NEWS RELEASE

UNDERGROUND EXPLORATION DECLINE AND SURFACE DRILLING PROGRAM UNDERWAY AT
ATLANTA GOLD PROPERTY IN IDAHO

Toronto, Ontario – Atlanta Gold Inc. (TSX: ATG) announces that the excavation of the portal area on its Atlanta Gold property in Idaho has commenced between the 6700 and 6800 feet above sea level (approximately 700 vertical feet above the historical 900 Adit). Development of the decline will allow the Company to access, explore, develop and bulk sample gold mineralized zones. This decline is part of larger program encompassing underground and surface drilling to determine the optimum mining method and to test ore zones. The Company has appointed Idaho-based Evans Dewatering, Inc. as the underground development and surface drilling contractor for surface exploration and collaring and excavation of a 10 by 12 by 1,000-1,200 foot underground exploration decline at the east end of its Atlanta Gold property in Idaho. An exploration decline of this size can accommodate mine production of 800 tons-per-day of ore, expected to be processed by the pilot-scale plant.

 From 20 feet within the portal the 15% decline will be driven parallel to the Atlanta Shear Zone in the footwall. The objective of the footwall decline is to gain access for subsequent excavation of drill stations at 200 foot intervals, from which the Company will core drill to determine continuity of ore reserves at depth.   Crosscuts from the decline will allow the Company to test the structure for the optimum mining method. This parallel decline will facilitate all services for underground exploration and provide access to targets which will be drilled with short holes to determine continuity at depth. Underground infill drilling will commence when the length of the decline exceeds 800 feet.

 Existing roads have been upgraded sufficiently to allow equipment on site. Contractors and equipment have been mobilized, the Company’s Hagby 1000-3 core drill has been upgraded and retrofitted and surface drilling in the Monarch area will commence before the end of June. 

 A total of 16 employees will be comprised of two crews of four men working on core drilling and two crews of four men working on development of the decline. These teams will begin an aggressive program to explore and develop the Atlanta property. Additional personnel will be involved in construction of infrastructure on the site.

 We will regularly update our web site at www.atgoldinc.com with pictures of exploration and other activities as the Atlanta project advances.

 About the Company

Atlanta Gold Inc. (TSX: ATG) holds through its 100% owned subsidiary, Atlanta Gold Corporation, a 100% interest in the Atlanta property which comprises approximately 2,081 acres and is located 65 miles east of Boise, in Elmore County, Idaho. A long history of mining makes Atlanta very suitable for development of new mining projects. 

 The Company is focused on advancing its core asset, Atlanta, towards mine development and production and on acquiring, exploring and developing other attractive gold projects.

 Forward-Looking Information

This news release contains forward-looking information and forward-looking statements within the meaning of applicable securities laws. All statements, other than statements of historical fact, are forward-looking statements. We use words such as “may”, “will”, “should”, “anticipate”, “plan”, “expect”, “believe”, “estimate” and similar terminology to identify forward looking information and statements. Such are based upon assumptions, estimates, opinions and analysis made by management in light of its experience, current conditions and its expectations of future developments as well as other factors which it believes to be reasonable and relevant. Forward looking information and statements involve known and unknown risks, uncertainties and other factors that may cause our actual results to differ materially from those expressed or implied in the forward looking information and statements and accordingly, readers should not place undue reliance on those statements. Risks and uncertainties that may cause actual results to vary include, but are not limited to, the speculative nature of mineral exploration, development and mining (including with respect to size, grade and recoverability of mineral reserves and resources); operational and technical difficulties; risks and hazards associated with the business of mineral exploration, development and mining, including environmental hazards; government action or delays in the receipt of governmental approvals, permits and licenses; changes in resource prices and fluctuations in currency exchange rates; the Company’s limited financial resources and the availability of financing alternatives; contests to the title of Company property and changes in general economic conditions or conditions in the financial markets; as well as other risks and uncertainties which are more fully described in the Company’s annual Form 20-F, annual and quarterly Management’s Discussion and Analysis and in other Company filings with securities and regulatory authorities which are available at www.sedar.com.

 Readers are cautioned that the foregoing lists of risks, uncertainties and other factors are not exhaustive.  The forward-looking statements contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking information or statements contained herein or in any other documents filed with Canadian and U.S. securities regulatory authorities, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws. 

 For further information contact:

Bill Baird
President and CEO
Telephone: (416) 777-0013; Fax: (416) 777-0014
E-mail: info@atgoldinc.com