Oro Gold Resources Ltd. (“Oro Gold”) (TSX.V: OGR) has signed an agreement with Mazorro Resources Inc. (“Mazorro”) whereby Mazorro can acquire a 60% interest in the Cimarron property from Oro Gold by spending US$2.5 million on the property and issuing one million common shares of Mazorro to Oro Gold over a four year period.

The transaction is subject to Mazorro completing a public offering and being listed on the TSX Venture Exchange. Mazorro is required to incur US$400,000 in property expenditures and issue 500,000 common shares to Oro Gold by the first year anniversary date.  Oro Gold will be the operator on the property and receive a 15% management fee, and will initially be advanced a non-refundable payment of US$135,000 by Mazorro to cover expenses related to the ongoing exploration program.

The 82 km2 Cimarron property is situated in southern Sinaloa state, Mexico, 50 km east of Mazatlan and 10 km northwest and on trend with the historic multi-million ounce past-producing Rosario gold and silver mine. Local infrastructure is well developed and property access is excellent.

Surface geochemical testing of the property has produced very encouraging results to date.  These include highly anomalous stream sediment gold values above 200 ppb and up to 2,324 ppb Au over a 20 km2 area, high-grade channel samples of up to 11 g/t Au over 3 metres, and grab samples of up to 128.4 g/t Au.  An extensive soil geochemical survey has identified 5 significant gold/copper surface anomalies up to 2.5 km2 in size with values greater than 100 ppb Au. High-priority drill targets have been identified at the Veteranos and Calerita prospects.

Mazorro’s work plan at Cimarron for the first year will include in-fill soil surveys, trenching, detailed mapping, an airborne magnetic and radiometric survey, and diamond drilling.  A National Instrument 43-101 report, entitled “Exploration Results for the Cimarron Gold Property, Sinaloa State, Mexico”, is available through the following link http://www.orogoldresources.com/_resources/cimarron_ni43-101.pdf, and includes reference maps of the targets identified. This report presents the technical work completed to date, results for eight prospects on the property, and recommendations for further work.

Michelle Robinson, MASc., P.Eng, is the qualified person as designated by National Instrument 43-101, who supervised the sampling and quality control program at Cimarron and reviewed the technical content of this news release.

Oro Gold is a gold exploration company with 13 active projects in Mexico and Panama. Located 40 km south-east of Mazatlan, Mexico, the company’s flagship “Rosario Gold Belt” property portfolio is subject of increased exploration throughout 2007.  Oro Gold’s goal in 2007 is to start developing a gold resource by drilling its priority targets within the belt.  Oro Gold also has plans to continue aggressive generative exploration activity to identify low-cost acquisition opportunities with high value-adding potential. In order to manage risk and obtain funding to advance projects, a joint venture strategy will be a fundamental part of Oro Gold’s growth.

 
 
 

Oro Gold Options Cimarron Project to Mazorro

May 23, 2007