Developing Royalty Assets
in North America

Ely Gold Grants Stock Options

January 5, 2011

Ely Gold & Minerals Inc. (the "Company") announces that the Board of Directors have granted, under its Stock Option Plan, incentive stock options to directors of the Company to purchase 800,000 common shares of the Company, subject to regulatory approval. The options vest immediately, are subject to a four month hold period, and expire on January 5, 2016 at an exercise price of $0.25 per share.

On Behalf of the Board of Directors

Signed "Trey Wasser"

Trey Wasser, President & CEO

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.