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Australian Gold Price: 1375.47         Date: September 3, 2010

News

Northern Mineralization Drill Results - Burnakura, NOA2

September 11, 2009

ATW Gold Corp (ATW: TSX-V), (“ATW” or “the Company”), has received results from the NOA2 northern mineralization drilling program at Burnakura.

A 10m by 20m grid drill program was initiated to gather additional geological and structural information along the northern corridor between the NOA2 and NOA7/8 mines.  A total of 17 NQ core holes for 2,970.7m were drilledlogged, photographed and assayed.

Drilling intersected three different styles of mineralization within the dolerite host rock. These are:

  1. Sericite with quartz veining;
  2. Brecciated quartz veining;
  3. Quartz stockwork

These veins are all mineralized with gold and are associated with pyrite. The veins vary in width from 0.5m to several meters of thickness and coalesce near the NOA2 fault forming wide mineralized zones of up to 10m thickness.

Significant results from the northern area drilling to date are:

Hole

From (m)

To (m)

Width (m)

Au (g/t)

09NOADD0001

186.55

188.11

1.56

19.41

09NOADD0002

187.0

189.0

2.0

2.11

09NOADD0003

188.1

188.5

0.4

2.90

09NOADD0004

194.8

195.3

0.5

16.02

 

224.2

225.6

1.4

71.08

09NOADD0005

136.9

138.0

1.1

3.96

 

162.0

162.3

0.3

5.36

09NOADD0006

119.5

122.0

2.5

6.14

incl

120.4

121.0

0.6

18.91

 

135.3

139.0

3.7

5.90

incl

136.5

136.8

0.3

11.47

incl

137.5

137.9

0.4

20.40

09NOADD0007

136.4

137.4

1

7.36

 

142.0

143.0

1

7.59

09NOADD0008

113.0

113.5

0.5

9.22

09NOADD0009

117.7

127.9

10.2

2.74

incl

118.8

120.0

1.2

6.72

09NOADD0010

149.1

150.9

1.8

2.75

09NOADD0011

112.2

113.8

1.6

2.11

 

114.4

116.4

2

4.44

 

117.5

120.0

2.5

3.48

 

125.0

125.3

0.3

2.76

09NOADD0012

120.9

121.9

1

12.97

incl

121.7

121.9

0.2

37.87

 

123.6

128.7

5.1

8.41

incl

126.9

127.8

0.9

25.40

09NOADD0013

159.9

161.9

2

10.21

incl

159.9

160.4

0.5

49.88

09NOADD0014

122.0

122.7

0.72

7.14

09NOADD0015

158.9

159.3

0.38

14.56

09NOADD0016

136.2

136.4

0.21

9.93

09NOADD0017

138.0

138.9

0.9

2.90

 

As a result of the drill program, supplemented with recent underground mapping, multiple northeastern fault splays previously not recognized in earlier drilling were identified.  These splays have a profound effect in controlling mineralization and recent mining has encountered vein offsets of up to 15m.

This complexity is currently affecting the mining dilution which is negatively impacting the mill head grade.  This structural complexity affected the last two gold pours of August, returning only 1,865 fine ounces of gold for the month.  Production for September is forecast to be in the order of 2,100oz.

A new structural model is currently being developed to investigate the fault splays and their impact on future mining.  A new mineralized wireframe model will then be merged with the structural model, resulting in the development of a new block model.  Upon completion, new stope designs will be created along with a new mining plan.

Brent Butler, Chief Executive Officer and President, commented: "This drilling enhances our structural and geological understanding in the northern corridor. We are currently re-working the block model to incorporate the complexity of these faults offsets. This will be included in an update mining plan scheduled to be completed by the first week of October.”

Mineralized core is cut in half onsite and sampled. In addition, a half to full tray of non mineralized rock is cut and sampled on the hangingwall and footwall. Half core is sent to the minesite laboratory for analysis and the other half core is stored onsite. Samples are dried, crushed and pulverized with 85% of the sample achieving minus 75 micron. Gold Analysis is completed by 30 gram Aqua regia assay with a detection limit of 0.01 ppm. All assayed intervals that return a value above 0.1g/t are sent to Amdel Laboratory in Kalgoorlie as pulp samples. A pulp sample split is also retained onsite. At Amdel, the samples are dried, crushed and pulverized with 85% of the sample achieving minus 75 micron. Gold Analysis is completed by 50 gram fire assay with a detection limit of 0.01 ppm.

The Burnakura Gold Mine is located in the West Yilgarn goldfields of Western Australia on 58.8 square kilometers of mining leases and prospecting licenses. Infrastructure includes a fully permitted 160,000-tonne-per-year (450 tonnes per day) CIL gold plant, rolling stock, underground equipment, workshops, office space and a 90-man camp. The project covers 12 kilometers of prospective strike length along a major auriferous shear zone and mesothermal gold system. Historic production on the project focused on lower-grade surface oxides, which had been historically mined from 15 open pits stretching along the entire 12 kilometers of strike length.

Brent Butler, President and CEO of ATW Gold Corp. is the qualified person under National Instrument 43-101 and has reviewed the contents of this news release.

To find out more about ATW Gold Corp. please contact investor relations at 604-662-8184 or email investor@atwgold.com.  You may also visit our website at www.atwgold.com.

ATW Gold Corp.

 “Brent Butler”

Brent Butler
President & CEO

Neither the 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.”

“This news release may contain forward–looking statements.  Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties.  Actual results may differ materially from those currently anticipated in such statements.”

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