Mr. Robert Hinchcliffe reports

GALWAY INTERSECTS 21.9 G/T GOLD OVER 6.7M, 82.4 G/T GOLD OVER 2.7M AND 9.7 G/T GOLD OVER 9.4M AT VETAS PROJECT IN COLOMBIA

Galway Resources Ltd. has received partial results for the first three holes drilled at its Vetas gold project, host of the El Volcan gold mine, located eight kilometres southeast of the company's California gold project in northeastern Colombia. Additional assays for GWY-V002 and GWY-V003 are pending. These are the first results from the first phase of Galway's 10,000-metre, 25-hole drill program that began in April, 2011. The El Volcan mine is the largest gold mine in the California-Vetas-Surata gold districts, with over 2,000 metres of accessible underground workings and with production dating back over 400 years. The focus of Galway's initial exploration efforts at Vetas is to test for a continuation of mineralization below the existing 500-metre-by-300-metre El Volcan mine. The next phase of exploration will continue to delineate a resource and will test for lateral extensions beyond the current limits of the existing mine.

"We are very encouraged by the strong initial drill results seen at Vetas. We have encountered far thicker zones than seen in the existing mine, which enhances the potential for bulk-tonnage underground mining. We have also already encountered several new veins not previously identified despite the fact that mining has occurred at El Volcan for over 400 years, including 25.1 grams per tonne gold over 1.5 metres. Bonanza-style mineralization was also seen in the 202.0-gram-per-tonne-gold, 69.1-gram-per-tonne-gold and 49.8-gram-per-tonne-gold intervals, with the 202.0-gram-per-tonne interval located more than 100 metres below the bottom level of the mine. This supports our view that significant exploration potential exists at depth. Having the second drill rig ramping up through its commissioning stage is also positive as results from two rigs, coupled with our earlier extensive channel sampling efforts, should allow us to delineate a robust resource in a relatively short amount of time," cites Robert Hinchcliffe, president and chief executive officer of Galway Resources.

Highlights from initial drill results at Vetas include the following:

• 82.4 grams per tonne gold and 39.1 grams per tonne silver over 2.7 metres, including 202.0 grams per tonne gold and 53.5 grams per tonne silver over 1.1 metres, in GWY-V003;
• 21.9 grams per tonne gold and 63.0 grams per tonne silver over 6.7 metres, including 69.1 grams per tonne gold and 81.6 grams per tonne silver over 1.5 metres, in GWY-V003;
• 25.1 grams per tonne gold over 1.5 metres in GWY-V003;
• 9.7 grams per tonne gold and 37.4 grams per tonne silver over 9.4 metres, including 15.5 grams per tonne gold and 25.6 grams per tonne silver, in GWY-V002;
• 9.2 grams per tonne gold and 31.1 grams per tonne silver over 2.61 metres, including 49.8 grams per tonne gold and 113.0 grams per tonne silver over 0.3 metre, in GWY-V002;
• 12.5 grams per tonne gold and 17.1 grams per tonne silver over 0.6 metre in GWY-V002;
• 6.6 grams per tonne gold and 43.7 grams per tonne silver over 1.2 metres in GWY-V002;
• 6.1 grams per tonne gold over 4.9 metres in GWY-V001;
• 13.4 grams per tonne gold and 28.2 grams per tonne silver over one metre in GWY-V001.

Of note in the results provided above is that one of the main structures in the El Volcan mine, the Corteros vein, was not targeted by the first drill rig. This occurred because the rig is collared in front of this structure. As such, the Corteros vein, as well as many other structures, will be targeted by the second drill rig that is currently being commissioned. Also of note is that hole GWY-V002 intersected four intervals greater than 6.5 grams per tonne, including 9.7 grams per tonne gold and 37.4 grams per tonne silver over 9.4 metres, plus a fifth interval that had visible gold in the core that did not return a significant value. It is also noteworthy that strong veining was intersected as deep as 172 metres vertically below the Reina de Oro level (the lowest level) of the El Volcan mine; assays are pending. Visible gold was encountered in five locations in hole DHV-0002, and in one location in hole DHV-0003. Pictures of visible gold from Galway's Vetas and California projects can be viewed in the photo gallery. Maps and a more detailed table can be viewed on the company's website. A preliminary National Instrument 43-101 technical report on Galway's Vetas property, which is being prepared by Roscoe Postle Associates, will be filed on SEDAR within the next few weeks. Highlights of Galway's drill results under the El Volcan mine are provided in the drill results table.

                  VETAS DRILL RESULT HIGHLIGHTS

               From       To Interval
Hole ID          (m)      (m)      (m)  Au g/t   Ag g/t AuEq g/t

DHV-0001      50.29    51.21     0.92      3.3      131      6  
              75.31    78.31     3         3.1      8        3.2
including     75.31    76.8      1.49      4       11.6      4.3
              85.95    90.84     4.89      6.1      6.6      6.2
              98.75   100.25     1.5       2.3      3.3      2.4
             138.37   139.9      1.53      4.7     51.6      5.7
             161.79   162.76     0.97     13.4     28.2     14  
DHV-0002      45.94    46.51     0.57     12.5     17.1     12.8
              96.32    98.41     2.09      4.7     28        5.3
including     96.32    97.49     1.17      6.6     43.7      7.5
             159.1    168.5      9.4       9.7     37.4     10.5
including    159.1    163.67     4.57     15.5     25.6     16  
             168.5    169.47     0.97      0.1      0.7      0.1
             182.24   184.85     2.61      9.2     31.1      9.8
including    184.54   184.85     0.31     49.8    113       52.1
             312.09   356.62    44.53            pending
DHV-0003      82.6     84.12     1.52      4.2     15.2      4.5
              88.69    90.22     1.53     25.1      0.9     25.1
              97.84    99.36     1.52      5.3     23.3      5.8
             105.46   112.19     6.73     21.9     63       23.2
including    105.46   106.98     1.52     69.1     81.6     70.8
             146.48   149.14     2.66     82.4     39.1     83.2
including    146.48   147.55     1.07    202       53.5    203.1
             153.79   154.01     0.22      6.6     11        6.8
             175.65   176.82     1.17      7.9     12.9      8.2

Notes: True widths are 76 to 92 per cent of downhole widths; 
only scattered results were received for DHV-0003; the gold-
silver equivalent ratio was calculated using the 12-month 
trailing average for gold and silver from June, 2010, to May,
2011, inclusive ($1,346.05 (U.S.) per ounce gold and $27.36 
(U.S.) per ounce silver); the AuEq formula is AuEq equals Au g/t
plus (Ag g/t divided by 49.2) and assumes 100-per-cent recovery 
of both metals and no net smelter return royalty.
Holes DHV-0002 and DHV-0003 were drilled on the same
line (azimuth) at dips of 35 degrees and 45 degrees, 
respectively.
Additional details of Galway's initial drill results, as well as 
maps and sections, are provided on the company's website.

On April 8, 2011, Galway announced results from a comprehensive exploration campaign at Vetas. The campaign entailed extensive underground and surface sampling and mapping, mobile metal ion soil surveys, and induced polarization and ground magnetic geophysical surveys, with the geophysical surveys conducted by KTTM Geophysics of Medellin, Colombia.

Mineralization

Ore at the El Volcan mine contains favourable steeply dipping quartz veins in competent host rocks that could be successfully mined using modern bulk-tonnage longhole mining methods. The known vein system comprises nine different epithermal veins and numerous subordinate splay veins trending north-northeast and dipping subvertically to the northwest. The main quartz veins, together with splay veins, are spatially associated with shear zones hosted in porphyry and metamorphic gneiss, much like the California gold district. Visible gold in the sampling invariably indicates higher gold and silver assay grades. Galway's geologists are impressed and surprised by the widths of mineralization attained in the first tier of drill holes relative to the narrower veining seen in the bottom level of the mine, and by the classic low-sulphidation vein textures seen. Grey chalcedonic quartz, colloform banded texture, vuggs and drussy quartz, with fine pyrite crystals, are typical. The mineralization has been intersected up to 105 metres below the bottom level. True widths are 76 to 92 per cent of downhole widths.

Rapid development of resources is possible using channel sampling and drill results. Existing multiple vein structures that are in close proximity to one another and open in all directions provide an excellent opportunity to build a robust gold resource. A total of 7,345 metres of drifts were mapped, and 3,769 chip and channel samples were taken from vein, wall rock and stockwork mineralization between vein sets. The mine covers an area of 500 metres by 300 metres with a vertical extent of 300 metres.

The El Volcan mine has been the site of gold mining since the 1590s and is the largest mine in the California-Vetas-Surata gold mining district. The focus of Galway's exploration efforts at Vetas is within, below, and extensions both along strike and laterally from the El Volcan mine. This mine is contained within the Reina de Oro concession, which is not subject to development restrictions associated with Paramo legislation.

Supervision, qualified person and quality control

The Vetas project is under the supervision of project manager Alex Cruz, of Quito, Ecuador. In compliance with National Instrument 43-101, Mike Sutton, PGeo, and Dale Schultz, PGeo (Manitoba and Saskatchewan), of Buscore Consulting Ltd., are the qualified persons responsible for the accuracy of this news release. Samples from the Vetas project are sent to the ALS Chemex preparation facility in Bogota, Colombia, for processing and are analyzed in the ALS Chemex laboratory in Lima, Peru (ISO 9001:2000 certified). Surface rock samples were analyzed by methods Au-AA25 and ME ICP41. Underground samples were analyzed by methods Au-AA25 and ME-MS41. If a value of greater that 100 grams per tonne silver is returned for ME-MS41, then an overlimit method of Ag-AA46 is used. If strong mineralization or visible gold is observed, then a screen metallic (Au SCR 21) is used. Quality control protocols that are in place consist of the insertion of one blank at least every 20 samples, a reject duplicate every 20 samples, and one of three different certified reference standard material for every 20 rock samples. Core recovery in the mineralized zones has averaged over 90 per cent. Quarter coring of some select samples will take place. Assays reported in this press release may have screen, and quarter core assays pending and will be updated in the table on the website as needed.

MMI soil samples were sent to SGS Group (ISO 19011 certified) preparation facility in Medellin, Colombia, for processing and are analyzed in SGS's laboratory in Lima, Peru.

Victorio project update

The company is pleased to announce it has amended terms of the agreement for the Victorio molybdenum-tungsten project with excellent infrastructure in southwestern New Mexico (see press release of April 29, 2009). A positive scoping study was completed by SRK in 2008. The recent surge in tungsten pricing, coupled with a steady molybdenum price, has prompted management to reassess strategic alternatives to advance the project. Under terms of the amended agreement, the company will pay a combined total of $2.1-million and 200,000 common shares of Galway Resources, subject to TSX Venture Exchange approval. As outlined in the payments table, the company has been able to defer a large portion of pending property payment obligations.

                                                        PAYMENTS

Payment                 Original                Revised payment               
Date           payment structure          structure April, 2009               Revised payment  structure May, 2011 

June 1, 2006          $   50,000                    $   50,000                                             $50,000
June 1, 2007          $  100,000                    $  100,000                                            $100,000
June 1, 2008          $  200,000                    $  200,000                                            $200,000
June 1, 2009          $  300,000                    $   50,000                                             $50,000
June 1, 2010          $  350,000                    $  100,000                                            $100,000
June 1, 2011          $1,000,000                    $  100,000      $200,000 and 50,000 shares of Galway Resources
June 1, 2012          $        0                    $1,550,000      $300,000 and 50,000 shares of Galway Resources
June 1, 2013          $        0                    $        0      $500,000 and 50,000 shares of Galway Resources
June 1, 2014          $        0                    $        0      $600,000 and 50,000 shares of Galway Resources
                      ----------                    ----------   -------------------------------------------------
Total                 $2,000,000                    $2,150,000   $2,100,000 and 200,000 shares of Galway Resources
                      ----------                    ----------   -------------------------------------------------

We seek Safe Harbor.