Amarillo Gold Corp. (TSX VENTURE:AGC) ("Amarillo" or the "Company") is pleased
to announce that it has received an updated estimate for the Posse deposit, part
of the Mara Rosa project, approximately 360km NNW of Brasilia the capital of
Brazil, in Goias State.


The estimate is 43-101 compliant, and has been supplied by Australian
Exploration Field Services Pty Ltd. ("AEFS") of Bendigo, Australia. The
qualified person for the report is Hugo Hoogvliet, a consulting geologist with
25 years experience and a member of the AusIMM. The resource calculation was
conducted by Keith Whitehouse, a principal of AEFS with 30 years experience,
using Micromine software. Mr. Whitehouse is a member of the AusIMM and a CP
(Geo).


The estimate is an update of the previous resource estimate made as part of a
Preliminary Economic Assessment, authored by Ian Kelso of Caracle Creek
Consulting Inc. ("CCIC") and released in March 2008.
See:-http://www.amarillogold.com/sites/amarillogold.com/files/agc_mr_ccic43101.pdf


The AEFS model differs from the CCIC estimate in that it contains 15 new holes
drilled by Amarillo, targeting gaps in the data underlying the CCIC model.
Results for these holes were released in March 2009. See:-
http://www.amarillogold.com/news/amarillo-announces-results-posse-orebody-infill-program-mara-rosa-project-intersects-60-metres-


The AEFS model also contains 19 historic holes drilled from surface, and 11
underground holes and channel samples that were added to the electronic database
after a review of the historic work carried out by Amarillo staff under the
supervision of Mr. Hoogvliet. The estimate is also the first to use geology
based wireframes to constrain the kriging.. A review of historic and new density
measurements lead AEFS to use a density of 2.73 g/cc for the Posse orebody,
replacing the 2.85 g/cc value used by CCIC. Mr. Whitehouse employed the Median
Indicator Kriging method, constrained by the geological wireframe to make the
estimate. The results are given below at various cut-off levels.


Table 1. Posse Deposit resource estimate using 0.5g/t gold cut-off.



-----------------------------------------------------------
Cutoff      Category        Tonnes    Grade    Contained Oz
-----------------------------------------------------------
0.5 g/t    Indicated    11,928,000     1.62         623,000
-----------------------------------------------------------
            Inferred    10,164,000     1.38         451,000
-----------------------------------------------------------



Table 2. Posse Deposit resource estimate using 1.0g/t gold cut-off. 



-----------------------------------------------------------
Cutoff      Category        Tonnes    Grade    Contained Oz
-----------------------------------------------------------
1.0 g/t    Indicated     7,868,000     2.09         529,000
-----------------------------------------------------------
            Inferred     6,313,000     1.80         364,000
-----------------------------------------------------------



Table 3. Posse Deposit resource estimate using a 1.5g/t gold cut-off



-----------------------------------------------------------
Cutoff      Category        Tonnes    Grade    Contained Oz
-----------------------------------------------------------
1.5 g/t    Indicated     4,913,000     2.60         410,000
-----------------------------------------------------------
            Inferred     3,403,000     2.27         249,000
-----------------------------------------------------------



The Company is pleased with these results. The full report from AEFS is expected
within 45 days, and will also contain optimized pit estimates based on economics
updated from the PEA. When compared with the last resource estimate in the PEA,
the gold grade is consistently higher due to the addition of the extra holes and
reduced dilution. The tonnage has decreased, due to the use of a constrained
model, and the use of a lower density value in the new estimate.


Buddy Doyle, CEO and President of Amarillo said, "The Mara Rosa project remains
the foundation project of the Company. With the current gold prices and with
this new resource estimate in hand, it is time to move this project ahead. The
Company will use a tender process to select an independent engineering
consulting firm to conduct a pre-feasibility study, with a view toward bringing
this project into production as soon as possible."


This press release was authored by Buddy Doyle (B. App. Sc.), a member of the
AusIMM, with 28 years experience and a qualified person in compliance with
National Instrument 43-101. It was reviewed by AEFS and is released with their
input and approval 


ABOUT AMARILLO:-

Amarillo Gold Corp. is a company focused on the acquisition, definition and
discovery of gold resources in Brazil. Its principal projects are the Mara Rosa
project in the state of Goias and the Lavras do Sul project in the state of Rio
Grande do Sul. The Posse Deposit at Mara Rosa contains 623,000 ounces indicated
from 11.9MTonnes @ 1.62 g/t Au and 451,000 ounces inferred from 10.1MTonnes @
1.38 g/t Au at a 0.5g/t cut-off grade, 43-101 compliant resource as
independently determined by AEFS. The project is in the economic evaluation
stage. The Posse deposit was successfully mined by WMC during the 1990's (mined
areas are excluded from the above resource figures) and is located in an area of
excellent infrastructure. It is located some 35 km NE of Yamana's Chapada open
pit Cu-Au operation, 105 km NE of Serra Grande's underground Au mine, 105 km NNW
of Anglo American's nickel laterite project (in construction), 95 km NW of
Votarintim's Niquelandia nickel laterite mine and approximately 60 kms NE of
Yamana's Pilar Au project (in feasibility). Grid power to the site was
established during the previous open pit mining operation and the Serra da Mesa
hydro-electric dam lies 35 km to the east. 


The Lavras do Sul project is in the advanced exploration stage with over 16,000m
of drilling with encouraging gold mineralization being discovered and defined,
also in an area of excellent infrastructure. The Company also has a portfolio of
earlier stage projects. All properties under Amarillo's management are located
in areas of good infrastructure and robust community support. 


ON BEHALF OF THE BOARD OF DIRECTORS

AMARILLO GOLD CORP.

Buddy Doyle, President

FORWARD LOOKING STATEMENTS:-

This news release contains Forward Looking Statements regarding our intentions
and plans. Various factors may prevent or delay our plans, including but not
limited to, contractor availability and performance, weather, access, mineral
prices and success and failure of the exploration and development carried out at
various stages of the program. Readers should review risk factors applicable to
junior mining exploration companies generally to understand the variety of risks
that can affect the Company.
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