News

December 3, 2009

Amarillo Options More Ground at Lavras do Sul and Provides Drilling Update on Butia Gold Prospect

Amarillo Gold Corp. (TSX-V: AGC) (“Amarillo”) Highlights:

Amarillo has entered into an option-agreement with Maria Ildara Correa Carvalho, ("Maria Ildara") a Brazilian national who has a 100% right to an exploration permit that covers 8655 hectares in the SW of the Lavras do Sul project. (All currency in Brazil Reals).
The option requires a series of annual cash payments and a R$300,000 exploration commitment. Amarillo may opt out of the agreement at any time after making the exploration commitment. Amarillo can earn a 100% interest in the exploration property subject to Maria Ildara retaining a 1% Royalty (NSR).
The Maria Ildara ground is strategically located south of the Butia prospect, the current focus of Amarillo’s drilling.
Amarillo has started the fourth drill hole of the current >5000m drilling program. A total of 1080m of drilling has been completed to date. All drill holes to date have intersected alteration similar to that which has hosted gold in the past. Visible gold has been logged in a small zone in one of the holes. Historically, Amarillo has completed 6976m of drilling at Butia defining a significant gold system. Material gold intercepts have included 232m @ 1.95 g/t Au and 120m @ 3.23 g/t Au.
Material from three of the holes has been set to Acme Laboratories, and results should start arriving soon. The company will release these results in batches of 3-5 holes or when otherwise appropriate.

October 14, 2009

Amarillo Starts Drilling on the Butia Gold Discovery, Lavras do Sul Project, Southern Brazil

Highlights:

Drilling has commenced on our prime prospect, “Butia” within the larger Lavras do Sul project.
Amarillo has historically completed 6976m of drilling at Butia generating significant gold intercepts such as 232m @ 1.95 g/t Au and 120m @ 3.23 g/t Au .
The new drilling program (minimum 5000m) will define and attempt to further expand the known 250m by 230m mineralized gold zone and explore the 1400m by 500m alteration zone in the target-area.
Assay results from the new drilling program are expected within the next 6 weeks.
Butia is just one part of a larger mineralization system hosted by the 100km2 Lavras do Sul intrusive complex. With and adjacent to this complex there are at least. 19 separate prospects/targets. To date we have drill tested 5 prospects (Butia being just one), 4 return significant gold intercepts and that require further follow-up. Future work will focus on systematically exploring these other gold prospects/targets as the exploration program on the property advances.

October 6, 2009

Amarillo provides exploration update on Lavras do Sul Project

Amarillo Gold Corp. (TSX-V: AGC) (“Amarillo”) is pleased to provide an update on its recent exploration activities at its Lavras do Sul gold project in the southern Brazilian state of Rio Grande do Sul. Since the beginning of the year Amarillo has been exploring primarily on the ground optioned from IAMgold in 2008 (the Property) -see NR 23 May 2008. The IAMgold option covers about one third of the Lavras do Sul granite intrusion complex and some of the surrounding volcanic rocks. It includes several areas of historic workings which are listed below:

Valdo Teixeira, on the SE edge of the Lavras do Sul intrusion, consists of at least three parallel E-W siliceous veins with alteration selvedges extending 10’s of metres into the intrusive with some extending into the surrounding volcanic rocks. Previous workers stripped soil near the veins and developed one adit into the central vein when working for gold.
Cerro Rico is hosted in the Hilario volcanics which surround the intrusive complex to the east. There are at least 24 old workings developed into the veins. The workings - which supplied a centralized plant built in the early 1900’s - are quite extensive with shafts galleries and adits developed within 50m of the surface.
Dourada is an area of alteration hosted within the intrusion with several pits and adits.
Mato Feio, is another separate area of alteration hosted within the intrusion with several historic surface workings.
Sao Jose is a 3km linear belt of alteration and workings closer to the centre of the intrusion with sheeted quartz veins and intense alkaline alteration, (episyenite). San Jose was the site of a second processing plant.
Virginia is a 1km zone of sporadic alteration which occurs at the western end of the San Jose zone.
A new area of high interest found using soil sampling and geophysics has been named Sao Domingos. Sao Domingos occurs south and west of the Valdo Teixeira prospect. It consists of a 1.3km zone of geochemi cally anomalous soils.

September 2, 2009

Amarillo Commissions Metallurgical Testing at Posse

Vancouver, B.C., - Amarillo Gold Corp. (TSX-V: AGC) (“Amarillo” or the “Company”) is pleased to announce that Testwork Desenvolvimento de Processo Ltda (“Testwork”) has been contracted to carry out a comprehensive metallurgical testing program on approximately 200 kilograms of core samples from the Posse gold resource at the Mara Rosa project in Goias State, central Brazil. The Posse deposit has a 43-101 compliant resource of 643,000 indicated and 538,000 inferred gold ounces *.