Developing Royalty Assets
in North America

Ely Gold Closes Final Tranche of Financing

September 3, 2010

Ely Gold & Minerals Inc. (the "Company") is pleased to report it has closed the final tranche of its non-brokered private placement announced on July 7, 2010. The Company issued 275,000 units ("Units") at $0.15 per Unit for aggregate gross proceeds of to $41,250. Each Unit is comprised of one common share and one-half of one share purchase warrant (a "Warrant"). One whole Warrant will entitle the holder to purchase one common share for a period of two years after closing at the price of $0.25; provided that if at any time after four months after closing the Company's shares have a closing price equal to or higher than CDN$0.35 per Share for twenty (20) consecutive trading days, the Corporation may give notice to the holders of Warrants, by news release and letter sent to the most recent addresses of the holders on the Company's records, that the Warrants will expire at 4:30 p.m. (Vancouver time) on that date which is 10 days after the date of such news release. In addition to a cash payment of $3,300 as a finder's fee, the Company issued compensation warrants entitling the holders thereof to acquire 22,000 common shares of the Company at $0.25 per share for a period of two years, subject to the same acceleration exercise provisions as are contained in the Warrants. All of the securities issued in connection with the Offering are subject to a hold period expiring on January 1, 2011.

On Behalf of the Board of Directors

Signed "Stephen Kenwood"

Stephen Kenwood


For further information, please contact Ely Gold & Minerals Inc. at 604-488-1104.

E-mail: [email protected]; Website: www.elygoldandminerals.com


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.