Silverado releases mineral resource estimates for its Ester Dome property in Alaska



    VANCOUVER, July 31 /CNW/ - Silverado Gold Mines Ltd. (the "Company")
(SLGLF OTCBB, SLGL Frankfurt, www.silverado.com ), is pleased to announce that
it has received a completed mineral resource estimate for its Ester Dome
property, located about 10 miles west-northwest of the community of Fairbanks
in interior Alaska, from Thomas K. Bundtzen ("Bundtzen") of Pacific Rim
Geological Consulting Inc., the independent mining consultant commissioned by
the Company to prepare a NI 43-101 Technical Report. The Technical Report,
dated July 30, 2008, was filed today on SEDAR and is available at
www.sedar.com.

    Mineral Resource Estimate

    Since 1983, mineral resource estimates have been prepared by the Company
relating to Ester Dome near Fairbanks, Alaska. Bundtzen was given access to
all exploration data previously acquired by the Company to determine the
current resource estimates of lode gold on Ester Dome. The table below
summarizes the mineral resource estimate for the Ester Dome property
(effective July 11, 2008):

    
    -------------------------------------------------------------------------
                   Cut-Off Grade      Quantity        Grade         Metal
    Category        (oz/ton Au)         (ton)      (oz/ton Au)     (oz Au)
    -------------------------------------------------------------------------
    Indicated           0.08           631,600         0.21        126,700
    -------------------------------------------------------------------------
    Inferred            0.04         2,553,400         0.08        214,100
    -------------------------------------------------------------------------

    Notes :

      -  Mineral resources which are not mineral reserves do not have
         demonstrated economic viability. The estimate of mineral resources
         may be materially affected by environmental, permitting, legal,
         title, taxation, socio-political, marketing, or other relevant
         issues. There has been insufficient exploration to define these
         inferred mineral resources as an indicated or measured mineral
         resource, and it is uncertain if further exploration will result in
         upgrading the inferred mineral resource to an indicated or measured
         mineral resource category.

      -  Rounding may result in some discrepancies.

      -  No processing recovery factors have been applied to these resource
         figures.

      -  The unit ton refers to short tons.
    

    All reclamation work on Ester Dome has been completed and the Company is
working towards completion of the closure of the Grant Mill tailings pond.
This pond, which is filled to capacity with tailings, will be capped and
decommissioned after a final approval of the tailings pond closure plan is
received from the Alaska state regulatory authorities.

    Assumptions and Methods

    Bundtzen included the following steps during calculation of the indicated
and inferred resources at Ester Dome:

    
      -  examination of the Company's Ester Dome and Eagle Creek properties
         in 1980 - 82, during 1995, 2004 and 2008;
      -  database compilation and data validation;
      -  geological interpretation and modeling;
      -  compositing assay intervals to a common length;
      -  determination of average material density for both lode and placer
         properties;
      -  analysis of grade variability;
      -  polygonal estimation of grade by the compositing of sample assay
         information taken within designated widths and lengths of
         mineralized zones;
      -  assignment of appropriate cut off grades, the lowest grade that can
         be mined economically;
      -  classification of confidence in the estimates with respect to CIM
         (2005) guidelines; and
      -  mineral resource tabulation and validation of the resource estimate.
    

    To arrive at the resource estimates on Ester Dome, Bundtzen used data
from 18,705 feet of trenching, 11,758 feet of overburden geochemical sample
drilling, 58,396 feet of rotary drilling, 60,011 feet of surface diamond
drilling, 3,740 feet of underground diamond drilling, and 7,917 feet of drift,
raise, and sub-drift activities (in the Grant Mine). Specifically, 53 drill
core holes totalling about 55,000 feet were the most important data source for
both the indicated and inferred categories of gold resources on Ester Dome,
most of which were derived from drilling the O'Dea deposit at the Grant Mine.

    Data Verification

    Bundtzen used exploration data stored in the Company offices on Ester
Dome. During October 2004, he examined core from American Copper Nickel
Company ("ACNC") drill program conducted during 1991 - 1992 in a core shed
behind the Grant Mine complex. The Grant Mine and mill complex is situated on
the southeast flank of Ester Dome, about 8 miles northeast of Fairbanks,
Alaska. Bundtzen also was on site during the 1991 drill program at the Grant
Mine. He also worked underground at the Grant Mine as a geologist then
employed by the Alaska Department of Natural Resources during 1981 - 1982
while the Grant Mine was in development, and has a sound understanding of gold
grades and character of the ore body. Bundtzen also observed drilling activity
at the Ethel-Elmes operation prior to its development in 1988 - 1989. Although
Bundtzen did not conduct independent check samples from the Ester Dome drill
programs, he assessed the analytical integrity of the sample data. Two
analytical facilities were used during past drill programs. The Company used
ACME Analytical in Vancouver. ACNC used Chemex Labs in Vancouver. Both
companies submitted prepared standards, which were inserted every 15th or 20th
sample interval. ACNC also twinned certain drill holes previously drilled by
the Company. Mr. Bundtzen's review of such results did not reveal any
reportable anomalies. During the 2004 review, he reviewed the techniques and
certified assay reports generated by the Company, including the gravimetric
'metallic assay' research work done at the Grant Mine.

    Qualified Person

    The mineral resource estimates contained in this news release were
prepared by Thomas K. Bundtzen, President of Pacific Rim Geological
Consulting, Inc., who is independent of the Company as defined by NI 43-101.
Bundtzen is a Certified Professional Geologist with the American Institute of
Professional Geologists. Bundtzen is the author of a NI 43-101 Technical
Report entitled "Ester Dome Mineral Resource Estimation and Eagle Creek
Exploration Results, Fairbanks Mining District, Alaska" dated July 30, 2008
which the Company has filed today on SEDAR. Bundtzen is a qualified person as
defined by NI 43-101 and has verified the data contained in this news release
for accuracy.
    The mineral resource estimates reported in this news release were
reported with reference to the Canadian Institute of Mining, Metallurgy and
Petroleum Standards on Mineral Resources and Reserves, Definitions and
Guidelines prepared by the CIM Standing Committee on Reserve Definitions and
adopted by the CIM Council on December 11, 2005 and referred to in NI 43-101,
and are not compliant with US Securities and Exchange Commission (the "SEC")
Industry Guide 7 guidelines. In addition, measured mineral resources,
indicated mineral resources and inferred mineral resources, while recognized
and required by Canadian Securities Administrators, are not defined terms
under SEC Industry Guide 7. US investors are advised that NI 43-101 standards
and the SEC's Industry Guide 7 standards are substantially different, and that
many of the terms and concepts set out in and required to be disclosed by NI
43-101 as information material to the Company are neither recognized by the
SEC nor included in or compliant with Industry Guide 7 standards. Investors
are cautioned not to assume that any part or all of the mineral resource
estimates in these categories will ever be confirmed or converted into a SEC
Industry Guide 7 compliant "reserve".

    About the Company

    The Company is an exploration stage company focused on the exploration of
gold properties, with some past production, and the development of new
environmentally friendly low-rank coal water fuel technology. The Company has
gold properties located throughout Alaska, which include a 100% interest in
numerous mining claims located on the Nolan Creek property. The Company is
developing low-rank coal water fuel that is designed to be produced from
low-rank coal and processed into an environmentally friendly oil substitute.
Silverado Green Fuel Inc. is a wholly owned subsidiary of its publicly traded
parent, Silverado Gold Mines Ltd. For more information about Silverado Green
Fuel Inc., please visit http://www.silveradogreenfuel.com/ and the public
parent corporation at http://www.silverado.com/.

    Forward-Looking Statements

    This news release may contain, in addition to historical information,
forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange Act of
1934, as amended. Statements in this news release that are forward-looking
statements are based on the current expectations, beliefs, assumptions,
estimates and forecasts about the Company's business and the industry and
markets in which it operates. Such forward-looking statements involve risks
and uncertainties regarding the market price of gold, availability of funds,
government regulations, common share prices, operating costs, capital costs,
outcomes of test mining activities and other factors. Forward-looking
statements are made, without limitation, in relation to operating plans,
property exploration activities, including test mining activities,
availability of funds, environmental reclamation, operating costs and permit
acquisition. Any statements contained herein that are not statements of
historical facts may be deemed to be forward-looking statements. In some
cases, you can identify forward-looking statements by terminology such as
"may", "will", "should", "expect", "plan", "intend", "anticipate", "believe",
"estimate", "predict", "potential", or "continue", and the negative of such
terms or other comparable terminology. Actual events or results may differ
materially. In evaluating these statements, you should consider various
factors, including the risks detailed in the Company's filings with the
Canadian Securities Authorities and the US SEC. These factors may cause the
Company's actual results to differ materially from any forward-looking
statement. Except as required by applicable securities laws, the Company
disclaims any obligation to publicly update these statements, or disclose any
difference between its actual results and those reflected in these statements.
Given these uncertainties, readers are cautioned not to place undue reliance
on such forward-looking statements.





For further information:

For further information: Mailing Address, Suite 1820 - 1111, West
Georgia St, Vancouver, British Columbia, Canada, V6E 4M3; Trading Symbols: OTC
BB - SLGLF, FRANKFURT - SLGL, Telephone: (604) 689-1535, Facsimile: (604)
682-3519, Toll Free: 1-800-665-4646 (Canada and USA only), Investor Relations:
E-mail: ir@silverado.com, Public Relations: E-mail: pr@silverado.com, Media
Relations: E-mail: jay@silverado.com

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SILVERADO GOLD MINES LTD.

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