Entrée Gold Exploration Review

    VANCOUVER, June 29 /CNW/ - Entrée Gold Inc. (TSX:ETG; NYSE Amex:  EGI;
Frankfurt:EKA - "Entrée" or the "Company") has been active in the advancement
of its properties in Mongolia, the United States and China. Exploration
programs are still underway and further results will be reported after a
complete tabulation of the data.



    The Heruga deposit is situated within the Company's Javhlant licence
located immediately south of Ivanhoe Mines' Oyu Tolgoi licence and is located
within the Entrée-Ivanhoe Mines JV ground.
    In March 2008, the Company announced a NI 43-101 compliant
molybdenum-rich copper-gold inferred resource of 760 million tonnes grading
0.48% copper, 0.55 g/t gold and 142 ppm molybdenum. At that time, the Heruga
discovery extended for a strike length of approximately 1,800 metres and was
open to the north, south and east (see news release from March 13, 2008).
    Nine additional holes have been drilled since the resource estimate was
prepared. These holes have confirmed the extension of Heruga mineralization
northwards to the Entrée-Ivanhoe Mines property boundary and to the south. The
mineralized system now has a strike length of over 2.2 kilometres north-south
with the vertical extent varying between 400 to 800 metres and a width of 200
to 300 metres. The shallowest portion of this mineralized system starts at a
vertical depth of approximately 500 metres below surface. Results from these
additional holes are expected to be incorporated into an updated resource

    Togoot Coal Project

    Since 2008, three coal targets have been discovered on Entrée's 100%
owned Togoot Licence: Nomkhon Bohr, Coking Flats and Khar Suul. These
discoveries form part of the rich Permian coal basin of Southern Mongolia
which includes Tavaan Tolgoi, located approximately 75 kilometres to the
northwest, and reputedly the largest undeveloped high quality coal resource in
the world with an estimated 3.5 billion tonnes.
    By the end of May 2009, over 15,000 metres of drilling had been completed
on Entrée's coal targets. Nomkhon Bohr lies adjacent to the northern boundary
of the licence. Coal seams have been traced over a strike length of
approximately 1,200 metres by trenching and drilling. The Coking Flats and
Khar Suul targets to the south and southwest of Nomkhon Bohr are at an earlier
stage of exploration by drilling.
    The Nomkhon Bohr area has been divided into east and west zones. Two near
continuous seams were intersected in the west and possibly four seams occur in
the east. The seams are predictable from hole to hole and section to section
with some fault offset of the seams. Coal in the eastern half is generally
thicker and has lower ash content than that of the western half.
    Nomkhon Bohr coal is medium rank bituminous, high in ash with variable
sulphur. Coal-bearing horizons in drill holes can be up to 57 metres in
apparent thickness; within these, multiple coal seams are usually present,
with drill intercepts from 0.2 metres to 4.5 metres. Most of the coal seams
dip moderately to the north. Due to the recessive nature of the coal seams,
they often come to surface in shallow valleys where they are concealed by a
thin veneer of desert sands. The geology has similarities to the Tavaan Tolgoi
coal deposits, although the coal at Nomkhon Bohr is of thermal quality.
    The spring 2009 program has focused primarily on infill drilling at
Nomkhon Bohr. These results are currently being correlated in preparation for
a resource calculation. Once the resource calculation has been compiled and
registered, an application for conversion of the exploration licence to a
mining licence will be made.
    The Coking Flats and Khar Suul discoveries are associated with magnetic
lows that have been traced over 10 kilometres in length. Unlike Nomkhon Bohr,
these targets are covered by younger rocks. The geometry and potential
economic significance are not well understood at this early stage of
    Entrée is continuing to explore the Togoot Licence with drill testing of
additional geophysical and geological targets. Exploration will focus on
extensive areas of younger cover rocks, as these may conceal the favourable
coal-bearing stratigraphy buried at shallow depths.

    Mongolian Government

    In 2008, the Mongolian people returned a MPRP majority to government and
S. Bayar was again confirmed as Prime Minister. Several opposition Democratic
Party members were invited into the newly formed cabinet. N. Elbegdorj, the
Democratic Party candidate, was elected as President in May 2009. Both the
Prime Minister and the President have indicated their desire for the
successful completion of an Investment Agreement between Ivanhoe Mines and the
Mongolian Government. This agreement will allow the Oyu Tolgoi project to
advance to production. Negotiations towards the finalization of this agreement
are in progress.



    Entrée's exploration to date has been successful in outlining a 7
kilometre long northwest-trending structural corridor with a strong,
multi-element porphyry signature. This was done primarily through soil and
stream sediment sampling in 2008. This trend is currently being tested with
magnetic (95 line-km) and IP (32 line-km) geophysical surveys. It is
anticipated that the current exploration program will be completed in July

    United States

    Lordsburg, New Mexico

    Drilling is in progress at Entrée's Lordsburg copper-gold discovery and
continues to expand the area of known mineralization. Potassic alteration and
copper mineralization have been intersected in two recent holes, located
approximately 200 metres to the west and 400 metres to the southeast of the
previously known zone (see Entrée news releases from January 15, 2009 and
April 30, 2009). Copper mineralization in the most recent holes has been
identified visually and confirmed with a portable XRF (X-ray diffraction)
unit. Assay results are pending. Drilling is ongoing and continues to test
more widespread geophysical and alteration anomalies. An additional US$300,000
is budgeted for this phase of exploration.
    The zone of surface alteration and anomalous geochemistry now exceeds 1.2
kilometres in length and 600 metres in width. Within this zone, drilling has
confirmed sub-surface mineralization over a 400 x 600 metre area.
    Mineralization appears best developed in the contact areas between a
feldspar porphyry and volcanic rocks. Potassic alteration and sulphide-quartz
veining are associated with the strongest areas of mineralization.

    Duncan, Arizona

    Limited drilling of the Duncan geophysical target in May 2009 suggested
the anomaly was caused by conductive sediments rather than porphyry-style
mineralization, and therefore the project has been terminated.

    Gold Hill, New Mexico

    A drilling permit application has been filed with the Mining and Minerals
Division, New Mexico Energy, Minerals and Natural Resources Department and is
now being processed. Approval of the permit application is expected in the
third quarter of 2009. Once the permit is received, planned work includes
1,500 metres of reverse circulation drilling to test previously defined
geophysical targets.
    Robert Cann, P.Geo., Entrée's Vice-President, Exploration and James R.
Foster, P.Geo., Entrée's Exploration Manager - Lookout Hill, qualified persons
as defined by NI 43-101, have reviewed the technical information contained in
this news release. An updated NI 43-101 compliant technical report, effective
date June 10, 2009, has been filed on SEDAR and posted to Entrée's website

    This News Release contains forward-looking statements. Forward-looking
statements are statements which relate to future events. In some cases, you
can identify forward-looking statements by terminology such as "may",
"should", "expects", "plans", "anticipates", "believes", "estimates",
"predicts", "potential" or "continue" or the negative of these terms or other
comparable terminology. These statements are only predictions and involve
known and unknown risks, uncertainties and other factors that may cause our or
our industry's actual results, levels of activity, performance or achievements
to be materially different from any future results, levels of activity,
performance or achievements expressed or implied by these forward-looking
    While these forward-looking statements, and any assumptions upon which
they are based, are made in good faith and reflect our current judgment
regarding the direction of our business, actual results will almost always
vary, sometimes materially, from any estimates, predictions, projections,
assumptions or other future performance suggested herein. Except as required
by applicable law, including the securities laws of the United States, the
Company does not intend to update any of the forward-looking statements to
conform these statements to actual results. Readers are referred to the
sections entitled "Risk Factors" in the Company's periodic filings with the
British Columbia Securities Commission, which can be viewed at www.SEDAR.com,
and with the United States Securities and Exchange Commission, which can be
viewed at www.SEC.gov.

    %CIK: 0001271154

For further information:

For further information: Monica Hamm, Manager, Investor Relations,
Entrée Gold Inc., Tel: (604) 687-4777, Toll Free: (866) 368-7330, E-mail:
mhamm@entreegold.com; Peter Oates, Investor Relations, Entrée Gold Inc., Tel:
(604) 687-4777, Toll Free: (866) 368-7330, E-mail: poates@entreegold.com

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