Paramount Gold Drills 569 g/t Silver Across 3.0 meters and 184 g/t Silver Across 61.90 meters, Ending in Mineralization of 438 g/t Silver at their San Miguel Project, Mexico



    CHIHUAHUA, MEXICO, March 28 /CNW/ - Paramount Gold Mining Corp. (OTC:
PGDP) (Frankfurt: P6G, WKN: A0HGKQ), is pleased to announce the most recently
reported assays from its ongoing drill program at the San Miguel Project near
Temoris, Chihuahua, Mexico. The following results are six in-fill drill holes
completed in the San Antonio area, between drill holes SA-10 (10.7 meters of
296 g/t silver) reported on Jan. 30th, 2007 and SA-01 (44.85 meters averaging
133.4 g/t silver) reported Dec. 14th, 2006. These six drill holes span a
distance along strike of approximately 360 meters.

    Drill hole SA-19 had numerous high grade intersects of silver, including
1.75 meters of 1,294 g/t silver and 4.40 meters of 1,162 g/t silver. SA-19
intersected 61.9 meters that averaged 184 g/t silver with 0.41% combined lead
and zinc from 25.0 to 86.9 meters. The hole ended in strong mineralization at
89.10 meters with a 0.90 meter intersect from 88.20 to 89.10 meters of 438 g/t
silver with 2.36% combined lead/zinc. SA-19 was drilled at a 55 degree angle,
and with most drill holes being drilled at 55 to 65 degrees, true widths are
estimated to be 80% of reported drill core lengths.

    SA-17 intersected 4.3 meters (45.0 to 49.3) of 218 g/t silver and 7.0
meters (57.0 to 64.0) of 253 g/t silver. The best intersect for SA-16 was 3.0
meters (59.5 to 62.5) of 569 g/t silver.

    Bill Reed, Exploration Manager for Mexico said, "The recent results in
the San Antonio zone fill in some of our previous wide spaced drill holes. Not
only does it potentially expand our silver resource, but it also gives us more
confidence in the continuity of this zone. The mineralized zone appears to
widen out in the San Antonio area as witnessed by drill hole SA-19 that
intersected 61.9 meters of strong silver mineralization and the hole was still
in strong mineralization when it ended."

    San Antonio zone Highlights (see the drill table below)

    
    SA-15 cut 2.30 meters from 25.3 to 27.6 of 196 g/t silver with 1.18%
    combined lead/zinc and
    0.80 meters from 106.7 to 107.5 of 199 g/t silver with 1.71% combined
    lead/zinc

    SA-16 averaged 12.9 meters from 49.6 to 62.5 of 172 g/t silver
    including 0.8 meters from 49.6 to 50.4 of 362 g/t silver
    including 3.0 meters from 59.5 to 62.5 of 569 g/t silver.

    SA-17 averaged 19.0 meters from 45.0 to 64.0 of 156 g/t silver
    including 4.3 meters from 45.0 to 49.3 of 218 g/t silver
    including 7.0 meters from 57.0 to 64.0 of 253 g/t silver.

    SA-19 averaged 61.9 meters from 25.0 to 86.9 of 184 g/t silver with
    0.41% combined lead/zinc
    including 1.75 meters from 37.0 to 38.75 of 1,294 g/t silver
    including 1.80 meters from 57.0 to 58.8 of 287 g/t silver.
    including 6.50 meters from 76.0 to 82.5 of 172 g/t silver
    including 4.40 meters from 82.5 to 86.9 of 1,162 g/t silver.
    

    The hole ended in strong mineralization at 89.10 meters with a 0.90 meter
intersect from 88.20 to 89.10 meters of 438 g/t silver with 2.36% combined
lead/zinc

    Drill Hole Locations

    A drill hole and trench location map can be found at Paramount's web site
www.paramountgold.com.

    SA-19 is located approximately 50 meters to the south of SA-10 which
reported 51.6 meters that averaged 78 g/t silver with 0.57% combined lead and
zinc from 11.3 to 62.9 meters, including 8.25 meters of 683 g/t silver, 16.70
meters of 129.0 g/t silver and 8.4 meters of 137 g/t silver with 1.19%
combined lead and zinc.

    SA-16, SA-17 and SA-18 were collared from the same location, between
previous drill holes SA-11 (5.4 meters of 217 g/t silver) and SA-13 (10.7
meters of 296 g/t silver) and approximately 180 meters south of SA-19. SA-16
was drilled vertical (90 degrees), SA-17 was drilled towards the east (60
degrees) at a 55 degree angle and SA-18 was drilled towards the southwest (240
degrees) at a 55 degree angle.

    SA-14 is located approximately 60 meters east of SA-01 (44.85 meters
averaging 133.4 g/t silver) and SA-15 is located approximately 50 meters north
of SA-14.

    Quality Control Person

    Paramount takes detail photos of the entire core before it is cut to half
core which is assayed at ALS Chemex's Vancouver laboratory. As part of quality
assurance, quality control (QAQC), a blank (sterile) sample is submitted every
20th sample. Later, pulps from a number of intervals will be renumbered and
pulps from known standards will be inserted between them in numerical order.
These will then be submitted for reanalysis. The results will then be compared
to the original values reported, and the known values of the inserted
standards. Half-core samples have been retained on site for verification and
reference purposes.

    C.W. (Bill) Reed, B. Sc. Mineralogy, is the qualified person and has
prepared the detail and review with respect to this news release.

    
    Drill hole  From     To    Width   Gold   Silver  Gold   Lead   Zinc
               Meters  Meters  Meters   g/t    g/t    Equiv    %      %
    ----------------------------------------------------------------------
    SA - 14      0.00    7.40    7.40   0.03   19.00   0.34   0.01   0.09
              ------------------------------------------------------------
                44.80   49.05    4.25   0.00   19.00   0.31   0.12   0.32
              ------------------------------------------------------------
               191.05  194.10    3.05   0.00    4.00   0.06   0.92   0.45
              ------------------------------------------------------------
               199.10  201.10    2.00   0.00    5.00   0.08   0.31   0.59
              ------------------------------------------------------------
               208.90  210.00    1.10   0.00   41.00   0.68   0.42   0.65
    ----------------------------------------------------------------------

    ----------------------------------------------------------------------
    SA - 15     20.40   25.30    4.90   0.00   29.00   0.48   0.07   0.33
              ------------------------------------------------------------
                25.30   27.60    2.30   0.04  196.00   3.97   0.49   0.69
              ------------------------------------------------------------
                29.10   30.75    1.65   0.00  115.00   1.92   0.45   1.21
              ------------------------------------------------------------
                32.30   34.80    2.50   0.00   28.00   0.47   0.11   0.29
              ------------------------------------------------------------
                82.00   84.80    2.80   0.00   33.00   0.54   0.15   0.39
              ------------------------------------------------------------
                99.00  101.00    2.00   0.00  112.00   1.86   0.07   0.13
              ------------------------------------------------------------
               101.00  104.70    3.70   0.00   27.00   0.44   0.46   0.21
              ------------------------------------------------------------
               106.70  107.50    0.80   0.00  199.00   3.32   0.53   1.18
              ------------------------------------------------------------
               107.50  112.50    5.00   0.00   20.00   0.32   0.14   0.27
    ----------------------------------------------------------------------

    ----------------------------------------------------------------------
    SA - 16      0.00   14.35   14.35   0.00   24.00   0.40   0.02   0.27
              ------------------------------------------------------------
                27.45   28.50    1.05   0.00   90.00   1.50   0.03   0.11
              ------------------------------------------------------------
                49.60   50.40    0.80   0.00  362.00   6.03   0.10   0.13
              ------------------------------------------------------------
                50.40   59.50    9.10   0.00   25.00   0.42   0.02   0.12
              ------------------------------------------------------------
                59.50   62.50    3.00   0.00  569.00  .9.49   0.04   0.10
              ------------------------------------------------------------
                62.50   68.00    5.50   0.00   39.00   0.64   0.02   0.09
              ------------------------------------------------------------
                90.00   90.85    0.85   0.00   71.00   1.18   0.10   0.31
              ------------------------------------------------------------
               108.80  112.15    3.35   0.00    8.00   0.13   0.26   0.82
              ------------------------------------------------------------
               182.60  183.20    0.00   0.00   71.00   1.18   0.72   1.93
    ----------------------------------------------------------------------
     Average    49.60   62.50   12.90   0.00  172.00   2.87   0.03   0.12
    ----------------------------------------------------------------------

    ----------------------------------------------------------------------
    SA - 17      0.00    6.00    6.00   0.00   46.00   0.76   0.05   0.26
              ------------------------------------------------------------
                 6.00   23.50   17.50   0.00   13.00   0.21   0.03   0.24
              ------------------------------------------------------------
                23.50   29.00    5.50   0.00   46.00   0.77   0.02   0.18
              ------------------------------------------------------------
                37.50   39.50    2.00   0.00   73.00   1.22   0.05   0.18
              ------------------------------------------------------------
                45.00   49.30    4.30   0.00  218.00   3.64   0.08   0.16
              ------------------------------------------------------------
                49.30   57.00    7.70   0.00   32.00   0.53   0.06   0.18
              ------------------------------------------------------------
                57.00   64.00    7.00   0.00  253.00   4.22   0.23   0.24
              ------------------------------------------------------------
                64.00   66.70    2.70   0.00   44.00   0.74   0.19   0.18
              ------------------------------------------------------------
                95.90  105.00    9.10   0.00   33.00   0.55   0.19   0.47
              ------------------------------------------------------------
               105.00  108.80    3.80   0.00  106.00   1.17   0.33   0.90
              ------------------------------------------------------------
               108.80  128.80   20.00   0.00   33.00   0.56   0.22   0.60
              ------------------------------------------------------------

              ------------------------------------------------------------
       Average  45.00   64.00   19.00   0.00  156.00   2.59   0.13   0.20
              ------------------------------------------------------------
       Average  95.90  128.80   32.90   0.00   41.00   0.69   0.22   0.60
    ----------------------------------------------------------------------

    ----------------------------------------------------------------------
    SA - 18     37.50   38.70    1.20   0.00   92.00   1.53   0.09   0.25
              ------------------------------------------------------------
                42.00   43.00    1.00   0.00   46.00   0.77   0.03   0.23
              ------------------------------------------------------------
                53.25   54.05    0.80   0.00   66.00   1.10   0.04   0.10
    ----------------------------------------------------------------------

    ----------------------------------------------------------------------
    SA - 19      0.00   21.00   21.00   0.00   52.00   0.87   0.05   0.14
              ------------------------------------------------------------
                25.00   28.00    3.00   0.00  199.00   3.31   0.20   0.31
              ------------------------------------------------------------
                28.00   37.00    9.00   0.00   25.00   0.42   0.05   0.12
              ------------------------------------------------------------
                37.00   38.75    1.75   0.00 1294.00  21.57   0.61   0.44
              ------------------------------------------------------------
                38.75   57.00   18.25   0.01   78.00   1.30   0.19   0.43
              ------------------------------------------------------------
                57.00   58.80    1.80   0.00  287.00   4.78   1.33   0.62
              ------------------------------------------------------------
                61.25   61.60    0.35   0.00  347.00   5.78   0.70   0.59
              ------------------------------------------------------------
                76.00   82.50    6.50   0.00  172.00   2.87   0.21   0.38
              ------------------------------------------------------------
                82.50   86.90    4.40   0.05 1162.00  19.37   0.12   0.25
              ------------------------------------------------------------
                86.90   88.20    1.30 pending pending
              ------------------------------------------------------------
                88.20   89.10    0.90   0.00  438.00   7.30   1.06   1.30
              ------------------------------------------------------------

              ------------------------------------------------------------
       Average  37.00   61.60   24.60   0.00  176.00   2.93   0.29   0.40
              ------------------------------------------------------------
       Average  76.00   86.90   10.90   0.02  572.00   9.53   0.18   0.33
    ----------------------------------------------------------------------
       Average  25.00   86.90   61.90   0.00  184.00   3.06   0.16   0.25
              ------------------------------------------------------------
    

    About San Miguel

    San Miguel is currently comprised of 16 concessions covering an estimated
+8 kms strike of silver and gold mineralization. It is located in Chihuahua,
Mexico and lies in the Guazapares mining district, part of the gold-silver
belt of the Sierra Madre Occidental. Paramount signed an agreement in August
2005 with Amermin S.A. de CV, a subsidiary of Tara Gold Resources, and has
earned a 70% interest in the San Miguel project.

    About Paramount Gold

    Paramount Gold is a precious metals exploration company quoted on the
OTCBB under the symbol PGDP and listed on the Frankfurt Stock Exchange under
the symbol P6G (WKN: A0HGKQ). The Company's objectives are to explore and
develop the San Miguel project, located in Chihuahua, Mexico within the Sierra
Madre Occidental gold/silver belt and fully develop the potential of the
strategic alliance with Teck Cominco for gold exploration in South America.
For more information, please visit the Company's web site at:
www.paramountgold.com (now available in the following languages: English,
German, French, Spanish, and Mandarin).

    Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995: The statements contained herein which are not historical are
forward-looking statements that are subject to risks and uncertainties that
could cause actual results to differ materially from those expressed in the
forward-looking statements, including, but not limited to, certain delays
beyond the company's control with respect to commencement of drilling
operations, concentration in mineral deposits, delays in testing and
evaluation of ore samples, and other risks detailed from time to time in the
Company's filings with the Securities and Exchange Commission.




For further information:

For further information: Paramount Gold Mining Corp. Charles W. Reed,
520-907-9986 Exploration Manager, Mexico or Chris Halkai, 613-226-9881
Corporate Relations Toll-free: 1-866-481-2233

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PARAMOUNT GOLD MINING CORP.

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