Company Information for Carpathian Gold Inc

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Company Statement

Carpathian Gold Inc. (TSX:CPN) is a mineral exploration company that is focused on the development and exploration of two advanced gold and gold + copper projects with the goal of becoming a gold producing company in mid- late 2011. 

Currently, Carpathian has an advanced gold project in the state of Minas Gerais, Brazil and a gold + copper project within the Apuseni Mountains of Central Romania, which combined host +12 million gold equivalent ounces in all resource categories.  

The project in Brazil is referred to as the RDM Gold Project which hosts a NI 43-101 resource of 1.3 million ounces (in all resource categories) of which 1.0 million falls within an open pit.  A recently completed Preliminary Economic Assessment on the open pit portion of the resource only, indicated the project can be 6,000 t/d, convention CIL operation producing an average of 102,000 ounce per year for an initial mine life of 7.1 years.  At a gold price of $900 gold the project has an after tax NPV5 of US$123.3 million and an after tax IRR of 32%.  As of late 2009 Carpathian has initiated a full feasability study which is expected in April 2010. The first of 3 licenses (LP) is expected in early Feb 2010 allowing commencement of earth works at the RDM mine site.

In Romania, Carpathian has discovered a world class size gold-rich, copper porphyry system referred to as the Rovina Valley Project (RVP).  The global mineral resource (NI 43-101 compliant) of this system, based on drilling results from 2006 through 2008, totals 10.7 million gold equivalent ounces (all resource categories) of which 7 million is gold only.  A preliminary economic assessment is being completed and is expected in by late February 2010. The object of the PEA is to evaluate the early release of the higher grade gold and copper mineralization utilizing standard flotation process that could commence production in 2012/13.

Carpathian has extensive exploration and operation teams in both Brazil and Romania working towards the advancement and development of these two projects.

Current Operations

BRAZIL
Riacho dos Machados Project (100% owned)

• Permitted brownfield gold project with a NI 43-101 Mineral Resource (May 2009) of:
• Measured + Indicated:   290,000 oz Au
  Inferred:                         1,012,000 oz Au
  Global Resource*:         1,300,000  oz  Au
• Additional underground potential of  ≈ 1,120,000 oz Au**
• Robust Preliminary Economic Assessment  & Near-term production
  • An initial open-pit operation at 6,000 tpd
  • Avg. 102,000 ounces/yr over initial 7.1 yr mine life
  • NPV₅ ,123.3 million (after tax @ $900 gold price)
  • IRR, 32% (after tax @ $900 gold price)
  • Low start-up capital, attractive “economic grades” with excellent cash flow and short payback period.
• Existing infrastructure, including buildings, roads, power, water access and ownership of surface rights.
• Exploration upside with:
  • deposit open at depth and along strike with identified extension targets along strike (drilling currently in progress).

ROMANIA
Exploration & Development Project (100% owned)

• Located primarily in Romania’s Golden Quadrilateral, CPN holds an exploration license in a region with historic gold production of over 55 million ounces.
• November 2008, NI 43-101 Mineral Resource (Colnic, Rovina & Ciresata porphyries) of:
  • Measured + Indicated:   3,070,000  oz Au & 759,000 lbs Cu
    Inferred:                         3,890,000 oz Au & 663,000 lbs Cu
    Global Resource*:          10,750,000 oz Au eq***
  • Deposits still open and not yet been fully delineated.  
• The deposits will likely be integrated into one operation amenable to low cost open-pit bulk tonnage mining as well as underground bulk mining.
• All infrastructure, including road, power and water, adjacent to the deposit

HUNGARY
Fuzerradvany Concession (92 sq km)
At the Fuzerradvany Concession, rhyolite tuffs and ignimbrite overlie unexposed metamorphosed Paleozoic and Precambrian basement. Sandstones and siltstones overlie the rhyolite units. Late-stage rhyolite intrusives cut the sediments. Geological mapping has defined a large area of hot spring style alteration covering 1.2 km². Alteration features include areas of opaline-chalcedonic silicification related sinters, hydrothermal eruption breccias and pockets of advanced-argillic and argillic alteration.

Kanazvar Prospecting License
The Kanazvar License covers 2.25 km2 adjacent to the Lahoca gold deposit. The Lahoca deposit is a volcanic-hosted epithermal high-sulfidation gold deposit with resources of 35.5 Mt at 1.35 g/t Au for a total contained 1.54 Moz gold. The Lahoca mineralization occurs to within 100 – 200 m of the Kanazvar License boundary. Reconnaissance geologic mapping of the Kanazvar License shows hydrothermal alteration is widespread over much of the property. The underlying Eocene – Early Miocene hornblende-biotite andesite flows and tuffs have locally undergone intense silicification. In addition, large silicified zones consisiting of sheeted chalcedonic-quartz veining have been identified near Kanazvar Hill within the License. Results from a soil auger program on the license yielded anomalous gold values ranging from 10 to 139 ppb Au.

The Kanazvar License has good potential to host gold mineralization related to the Lahoca deposit and/or a similar mineralizing system. However, gold in the Lahoca deposit is associated with enargite, luzonite, tennantite, and pyrite and is refractory using conventional cyanide recovery processes. Future exploration programs for the Kanazvar License will need to include careful consideration of metallurgical characteristics.

Geographical Spread

Romania



Brazil



Hungary

Board of Directors and Key Management

Dino Titaro	President & CEO, Director
Peter S. Lehner	Chairman of Board, Director
Guy Charette	Director
Patrick J. Mars	Director
Mr. John W. Hick	Director
Julio Carvalho	Director
Randall K Ruff	Executive Vice-President, Exploration
Dan Kivari	Chief Operating Officer
Linda Prager	CFO and Secretary
Alexandru Nicolici	Managing Director, SAMAX Romania SRL

Company Address 365 Bay St. Suite 500 Toronto, Canada M5H 2V1 Telephone: + 1-416-368-7744 Facsimile: +1-416-260-2243 Email: info[at]carpathiangold.com Website: http://www.carpathiangold.com

Additional Address/Key Contact BRAZIL  OFFICE Alameda da Serra, 1021 Office 211 Nova Lima – Minas Gerais Brazil CEP:34.000-000 Phone: +55 (31) 3286 5703 ROMANIA OFFICE SAMAX Romania S.R.L. Str. Aleea Viitorului, nr. 2A, Sala 6 Cod 330075, Deva Jud. Hunedoara , Romania t: (+40) 254-232-070 office@samax.sintec.ro

Capital Shares O/S: 280.4 Million Shares F/D : 326.7 Million (1) 22,293,334 options outstanding at a weighted average exercise price of $0.40 and maturity by May 13, 2013. 13,433,426 warrants at $0.33, maturity May 6, 2012. 10,606,061 wt at $0.45 maturity Dec 3, 2011.

Annual General Meeting May 13,2010

Year End December 31

Major Shareholders

Management/Directors/Insiders	48 %
Institutions	25 %

Related News

30/03/10 - Carpathian Marches On Towards A Production Goal Of 500,000 Ounces Of Gold Equivalent Per Year
27/08/09 - Carpathian Gold’s Riacho Dos Machos Project In Brazil Should Be Producing 100,000 Ounces Of Gold Per Year By 2011
26/05/09 - Carpathian Gold Sets Out On The Path To Production, Supported By A Million Ounces On The Riacho Dos Machados Project In Brazil

Most Recent Statement

11/05/10 - Carpathian Intersects 208 m of 1.13 g/t Au & 0.19% Cu in Romania, & Extends Au-Cu mineralization 300 m below previous drilling
05/05/10 - Carpathian Concludes US$30 Million Gold Sale Agreement With Macquarie Bank
15/04/10 - Carpathian Obtains Initial Permitting for the development of the RDM Gold Project, Brazil
23/03/10 - Carpathian Receives a Positive Preliminary Economic Assessment for its Rovina Valley Gold-Copper Project, Romania
08/01/10 - Review of Carpathian’s 2009 Exploration Activity & Outlook for 2010
03/12/09 - CARPATHIAN GOLD INC. ANNOUNCES CLOSING OF C$7,186,988 BOUGHT DEAL PRIVATE PLACEMENT FINANCING