Nevada Exploration Inc. completes Phase I drilling at Bull Creek project and commences Phase I drilling at Awakening project



    TORONTO, Aug. 18 /CNW/ - Nevada Exploration Inc. (TSX-V: NGE) ("NGE")
today announced that it has completed Phase I drilling at its Bull Creek gold
project. Drilling at Bull Creek included 17 wide-spaced holes; visual results
suggest significant oxidation and alteration; assays are pending. The Company
today also announced that it has begun Phase I drilling at its Awakening gold
project. Drilling at Awakening will be directed at the targets identified by
NGE's proprietary water chemistry exploration technology combined with soil
chemistry, gravity geophysics, and airborne magnetic geophysics.
    "We continue to aggressively advance our drilling program, taking
advantage of our access to two drill rigs," said Wade Hodges, President and
CEO of NGE. "While waiting on drill assay results from two properties we are
able to continue to drill our other prospective properties all reporting
unusually high concentrations of gold in groundwater."

    BULL CREEK DRILLING

    Reverse circulation ("RC") drilling at Bull Creek started on June 4,
2008. NGE drilled 17 widely spaced holes across the project; distances between
holes ranged from 300m to 1.6km (1/5 to 1mi). Bedrock proved to be shallow -
less than 70m (200ft) over much of the property. Visual results included
significant thicknesses of oxidized, altered siltstone, shale, and volcanic
rock, with significant clay alteration, silica veining, and silicification
over significant areas. Assays for all holes are pending and NGE expects to
report assay results in the fourth quarter of 2008.

    AWAKENING DRILLING

    NGE's Awakening project is located approximately 53km (33mi)
north-northwest of Winnemucca, Nevada, and 5km (3mi) north of the Sleeper Gold
mine. Elevated gold and trace elements were identified in the groundwater at
Awakening during a reconnaissance groundwater chemistry sampling program and
NGE established a land position consisting of 271 claims (13.5sq-km,
8.5sq-mi.) covering the target.
    NGE has used its hydroprobe equipment to complete a detailed water
chemistry survey to accurately model the project's hydrogeochemistry. NGE
extended sample coverage well beyond the edges of the project to define the
boundaries of the area of unusual water chemistry and to provide information
about normal, background water chemistry. The results of the detailed water
survey have increased both the magnitude and the extent of the area of
higher-than-normal water chemistry, and have confirmed that the Awakening
target is large enough to potentially contain an economic resource.
    NGE has completed a detailed gravity geophysics survey of the property to
estimate the depth to bedrock, identify possible fault offsets, differentiate
changing rock types, and establish likely water flow patterns. The gravity
survey successfully identified significant areas where bedrock is believed to
be close to the surface, as well as areas of high relief suggestive of major,
block faulting.
    To complement the gravity data and further examine the relative changes
in the target area's covered rock types, NGE completed an airborne magnetic
geophysics survey across the project. The magnetic data shows a pronounced
geologic fabric suggesting varied rock types, covered fault zones, and
possible alteration, lying beneath a thin veneer of sand and gravel.
    In order to prioritize the geophysical targets identified by the combined
gravity and magnetic datasets, and to confirm the presence of gold in a medium
other than groundwater, NGE also completed a soil geochemistry program across
the property. The soils program identified several areas with elevated gold
and trace metals coincident with, and adjacent to the higher-than-normal gold
in groundwater, further suggesting the presence of nearby gold mineralization.
    NGE reports that the combined Awakening exploration dataset suggests a
major structural fabric coincident with higher-than-normal gold, both in
groundwater and in soils. To test the high priority targets, NGE has permitted
and bonded 30 drill sites. NGE expects the Phase I program to consist of 10 to
20 RC drill holes, ranging in depth from 75m to 300m (250ft to 1,000ft). NGE
has two RC drill rigs under contract with current drill costs averaging less
than $40.00/ft, whereas the industry average is approximately $65.00/ft.

    OTHER MATTERS

    Jean-Francois Pelland, director of NGE and partner of the law firm
McMillan LLP., has been appointed as corporate secretary of NGE replacing
David Carbonaro, who will continue to act as a legal, strategic and financial
advisor to NGE.

    ABOUT NGE

    NGE is an exploration company focused, through its wholly-owned Nevada
incorporated subsidiary Pediment Gold LLC, on gold exploration in the
gravel-covered areas of Nevada. When groundwater flows near a concealed gold
deposit it retains a unique kind of chemical 'memory' or 'fingerprint' of such
an encounter and acquires in a unique kind of water chemical 'scent'. NGE uses
an innovative proprietary groundwater technology that identifies and then
follows the scent back up-stream to its gold-bearing bedrock source. NGE then
applies conventional exploration techniques to further define and then drill
the potential new bedrock source of gold to make a discovery. NGE is the first
to consistently apply this technology to a comprehensive survey of Nevada's
groundwater. NGE's experienced and historically successful exploration
management team has identified and acquired 11 exploration properties with
groundwater chemistry similar to that at known gold mines and is now testing
whether such groundwater chemistry can be followed up-stream to discover new
gold deposits.

    The TSX-V has in no way passed upon the merits and does not accept
    responsibility for the adequacy or accuracy of this press release.

    Wade A. Hodges is the Qualified Person, as defined in National Instrument
43-101, and is responsible for the preparation of the technical and scientific
information contained in this News Release.

    Cautionary Statement on Forward-Looking Information: This release
contains certain "forward-looking statements" including, without limitation,
expectations, beliefs, plans and objectives regarding the potential
transactions and ventures discussed in this release. Among the important
factors that could cause actual results to differ materially from those
indicated by such forward-looking statements are the risks inherent in mineral
exploration, the need to obtain additional financing, environmental permits,
the availability of needed personnel and equipment for exploration and
development, fluctuations in the price of minerals, and general economic
conditions.

    %SEDAR: 00023996E




For further information:

For further information: Wade A. Hodges, President, CEO & Director,
Nevada Exploration Inc., Tel: (775) 359-7740, E-Mail:
WAHodges@NevadaExploration.com

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NEVADA EXPLORATION INC.

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