Yukon Gold Drills Into Possible Extensions Of Higher Grade Mineralization

TORONTO, July 24 /CNW/ - Yukon Gold Corporation, Inc. ("Yukon Gold" or the "Company"), (TSX: YK.TO) (OTCBB: YGDC.OB) (Frankfurt: W8Y) is pleased to announce the start of exploration drilling on the Marg deposit.

Exploration Drilling

Based on an analysis of the Resource Estimate of June 30, 2008 (see Press Release July 9): Yukon Gold believes that there is potential for extensions of higher grade mineralization in at least two locations. Initially, 2 holes are planned following the trend of thicker intersections of the D and C horizons in the eastern portion of the deposit. A third hole is possible in this area.

Drilling will also follow up the higher-grade mineralization and mineable widths in drill hole M-100 in the western extreme of the deposit. (see press release of December 5, 2007) The mineralization in hole M-100, which occurs at relatively shallow depths, is open down dip and for up to 300 metres on strike, was located only last year; an indication of the potential for further exploration in the immediate deposit area.

Success in developing a higher-grade westerly extension of the deposit may result in a significant resource expansion.

Targets are still being developed west of the current limits of drilling, west of the airstrip.

Metallurgical Drilling completed

Drilling of 1,907 metres in six holes for metallurgical test work has been completed and samples have been shipped to G&T Metallurgical Services in Kamloops B.C. The metallurgical test work will permit the inclusion of more accurate estimates of recovery for each metal which may result in a revision of the NSR values used for the June 30th Resource Estimate.

About Yukon Gold

Yukon Gold Corporation, Inc. (Yukon Gold) explores and develops mining properties with a commitment to moving projects towards production. Yukon Gold's 100% owned Marg Deposit is an advanced stage copper/lead/zinc/silver/gold deposit in the Tombstone Belt in Yukon, Canada. Currently there are 29.5M of the Company's common shares outstanding.

The technical information in this Press Release has been reviewed by Gary A. Cohoon, VP Exploration and a qualified person.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

Cautionary Note to US Investors - The United States Securities and Exchange Commission (SEC) limits disclosure for U.S. reporting purposes to mineral deposits that a company can economically and legally extract or produce. The reader is cautioned that the terms "resource," "indicated" and "inferred" are not terms recognized by SEC guidelines for disclosure of mineral properties. Generally, "indicated" and "inferred" estimates do not rise to the level of certainty required by SEC guidelines. The mineralized material described above is not considered a "reserve" as that term is used in the mining industry and in SEC disclosure guidelines. The Company must undertake a feasibility study before it can estimate the value of the Marg Deposit. U.S. investors are urged to consider closely the disclosure in our Form 10-KSB, File No. 000-51068. You can review and obtain copies of these filings from the SEC's website at http://www.sec.gov/edgar.shtml.

Contacts

Yukon Gold Corporation
Inc.
Cletus Ryan
VP Corporate Development
(416) 865-9869 or 1-800-295-0671 x12
Email: cryan@yukongoldcorp.com
Website: www.yukongoldcorp.com
Company Website: www.yukongoldcorp.com