Brazilian Gold Corporation announced that, further to the Company's release dated May 19th, 2011; it has received TSX Venture Exchange approval to acquire from Talon Metals Corp. a 100% interest in a regional property package in the Tapajós Mineral Province (TMP) of Northern Brazil.

The package incorporates 16 separate exploration concessions, totaling 115,926 hectares, in an area located either contiguous with or in close proximity to the Company's existing road accessible projects.

The Company completed its due diligence on the property package in late July, 2011 and on August 10th, 2011, Brazilian Corp.’s subsidiary Mineraçao Regent Brasil Ltda., Talon and Talon's subsidiary, Brazmin Ltda., entered into a binding option agreement.

Brazilian Gold is the largest single holder of exploration concessions and/or exploration applications with priority in the TMP. Following the closing of the Option Agreement, the Company will have exploration rights over a total land area of approximately 374,575 hectares.

The TMP is the largest alluvial gold province in Brazil and the third largest in the world, with unofficial production of 30 million ounces of gold, primarily from streams. Although the TMP was the focus of a significant gold rush (1978-1995) in the last century, it remains an under-explored mineral province for its primary gold mineralization.

Primary mineralization is commonly associated with quartz and sulphide stockwork zones hosted in granitic rocks that can potentially form large tonnage, bulk mineable deposits that are amenable to open pit extraction. Examples of this style of mineralization include the Cuiú-Cuiú, Tocantinzinho and the Company's São Jorge deposit.

Under the Option Agreement, on the initial Closing Date the Company will issue 250,000 common shares to Talon. An additional 250,000 common shares will be issued to Talon on the first anniversary of the Closing Date, subject to the granting of all exploration licenses currently under application, which form part of the property package.

Upon the completion of share issuances, Brazilian Gold will have fully exercised the Option and will own a 100% interest in the regional package.

Talon will retain a 1.25% net smelter royalty (NSR) on any concessions acquired by the Company under the Option Agreement in the event that any portion of such properties is put into commercial production. During the first thirty days after Commercial Production has commenced, the Company has the right to acquire 50% of the NSR for US$1 million or 100% of the NSR for US$2 million.

25th August 2011