Ms. Linda Kish of Sun Valley reports

SUN VALLEY GOLD LLC: CONTROL AND DIRECTION OVER SECURITIES OF VICTORIA GOLD CORP.

Sun Valley Gold LLC has acquired control and direction over an aggregate of 44,000 common shares of Victoria Gold Corp. for and on behalf of client accounts, including Sun Valley Gold Master Fund Ltd., over which it has discretionary trading authority. The common shares were acquired over the facilities of the TSX Venture Exchange for a purchase price of 59 cents per share. Of the 44,000 common shares over which Sun Valley acquired control and direction, the Master Fund acquired beneficial ownership of 38,280.

Following the acquisition, Sun Valley exercises control and direction over an aggregate of 79,334,570 common shares and 10 million share purchase warrants, in each case for and on behalf of client accounts. The 79,334,570 common shares over which Sun Valley exercises control and direction represent approximately 15.98 per cent of the issued and outstanding common shares. If exercised, the 10 million warrants over which Sun Valley exercises control and direction would, together with the 79,334,570 common shares over which Sun Valley exercises control and direction, represent approximately 17.64 per cent of the issued and outstanding common shares (after giving effect to the exercise of such warrants, but not the exercise of any other share purchase warrants issued by Victoria Gold).

Following the acquisition, the Master Fund beneficially owns 46,846,246 common shares and 5.99 million warrants. The 46,846,246 common shares beneficially owned by the Master Fund represent approximately 9.44 per cent of the issued and outstanding common shares. If exercised, the 5.99 million warrants beneficially owned by the Master Fund would, together with the 46,846,246 common shares beneficially owned by the Master Fund, represent approximately 10.52 per cent of the issued and outstanding common shares (after giving effect to the exercise of such warrants, but not the exercise of any other share purchase warrants issued by Victoria Gold).

The securities of Victoria Gold were acquired for investment purposes. Sun Valley and the Master Fund may increase or decrease their ownership of securities of Victoria Gold depending upon future market conditions.