Carpathian Gold Inc. (TSX:CPN) (the "Corporation" or "Carpathian") wishes to
provide a progress update on its wholly owned Riacho dos Machados ("RDM") Gold
Project located in the state of Minas Gerais, Brazil and on the Rovina Valley
Project ("RVP"), located in west-central, Romania.


RDM Gold Project, Brazil

A Feasibility Study ("FS") is nearing completion and is following the guidelines
of the NI 43-101 Preliminary Economic Assessment ("PEA") that was announced on
August 12, 2009. The FS will be released within the upcoming weeks. The updated
resource estimate, reserve estimate, engineering studies, and permitting
activities are all advancing in parallel with key progress points highlighted
below.




--  Resources/Reserves and Geotechnical: An updated NI 43-101 compliant
    resource estimate to be used for the FS is near completion. Five drill
    rigs are presently on site, including 3 diamond drill rigs for ore
    definition and 2 geotechnical rigs. Following the ore definition
    drilling, the diamond drill rigs will be utilized for testing strike
    extensions and new exploration targets. A minimum of 6,000 m of ore
    definition and exploration drilling is planned for the present program
    and this follows the 32,000 m of drilling that has been completed to
    date on the RDM gold project. 
    
--  Engineering/Metallurgy: All capital costs, operating costs,
    infrastructure, layout design and mining plans required for the FS are
    essentially complete with optimization work underway integrating the
    various studies to enhance the robust economics of the project. Recent
    metallurgical test work results support the earlier work performed for
    the PEA of 90% or better gold recovery. Indications from the ongoing FS
    support the PEA study results of low cost, near-term +100,000 oz per
    year gold production. 
    
--  Permitting: As previously announced (April 14, 2010), the Corporation
    has already been granted the critical path time line license, the
    Licenca Previa ("LP") that allows the earthworks in the mine, water
    retention and tailing dams to be constructed. All technical
    documentation required for the Licenca Instalacao ("LI") that will allow
    construction to begin on the Project, has been compiled and will be
    submitted by mid-July to the state environmental agency, SUPRAM, for
    their review and approval. As previously announced on June 21, 2010, all
    surface lands required for the life-of-mine footprint for the open pit
    mining operation have now been acquired. 
    
--  Project Financing: The project is well financed at this stage as a
    result of the Macquarie Bank Limited US$30 Million gold sale and
    purchase agreement that closed on May 21, 2010. Management is evaluating
    non-equity project finance options and is in continuous discussions with
    various financial institutions, with the aim of obtaining additional
    project financing upon completion of the FS. 
    



Rovina Valley Project, Romania

Following the release of the positive PEA study (announced March 23, 2010), the
Corporation embarked on a deep drilling program on one of its three gold-rich
copper porphyries, the Ciresata porphyry. The PEA study indicated a long life
project of 19 years, producing approximately 200,000 oz of gold and 50 million
pounds of copper annually.




--  The results of the first deep drill hole (RDG-16) on the Ciresata
    Porphyry were released on May 11, 2010 and included 668 m at 0.70 g/t Au
    and 0.15% Cu and includes 208 m at 1.13 g/t Au and 0.19% Cu. This drill
    hole verified the geologic model in its upper part serving as an in-fill
    hole and more importantly has extended the Au-Cu mineralization
    approximately 300 m below the present resource estimate that was
    utilized in the PEA study. 
    
--  Deep drilling has resumed on the Ciresata porphyry to evaluate
    mineralization depth extensions below the present resource estimate.
    This program will eventually be expanded to evaluate known mineralized
    targets lateral to the deposit. 
    
--  The Corporation is continuing with its long lead EIA and SIA work,
    including its proactive local stakeholder engagement programs. These
    programs includes interactive local community hall public meetings and
    partnership programs with local NGO's (with European Union funding) and
    community leaders to implement community-based projects. The Rovina
    Valley Project has no legacy mining issues and the proposed mine site
    footprint developed from the PEA does not include any known protected
    heritage sites or archaeological occurrences. 
    
--  As previously announced, a consortium of State-recognized independent
    consulting groups have been retained for the purpose of preparing a
    technical report to convert the Rovina Exploration License into a Mining
    License as per the norms of the National Agency of Mineral Resources
    ("NAMR"). This report includes preliminary evaluations of environmental
    factors, risk factors and economic benefits as well as defined
    resources/reserves along with mining and processing, all to be reviewed
    and approved by the NAMR for Mining License designation. The work
    program for this study and the report are progressing on schedule for
    the submittal of this document to the NAMR in Q4 2010. 
    



Mr. Titaro, P. Geo., is the qualified person (as defined in National Instrument
43-101) responsible for preparing the information, including technical
information, contained in this news release.


About Carpathian

The Corporation is an exploration and development company whose primary business
interest is developing near-term gold production on its 100% owned Riacho dos
Machados Gold Project in Brazil, which is currently in the feasibility study
stage, along with progressing its exploration and development plans on its 100%
owned Rovina Valley Project located in Romania. The RDM Gold Project, based on
the PEA is expected to be a +100,000 ounce per year gold producer at a
relatively low cash cost. The Project is currently in the Feasibility Study
stage.


Forward-Looking Statements: This press release includes certain statements that
may be deemed "forward-looking statements". Forward-looking statements are
frequently characterized by words such as "plan", "expect", "Project", "intend",
"believe", "anticipate", "estimate", and other similar words, or statements that
certain events or conditions "may" or "will" occur. All statements in this
release, other than statements of historical facts, that address future
exploration drilling, exploration activities and events or developments that the
Corporation expects, are forward-looking statements. Although the Corporation
believes the expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from those
in forward-looking statements. Factors that could cause actual results to differ
materially from those in forward-looking statements include market prices,
exploitation and exploration successes, continued availability of capital and
financing, and general economic, market or business conditions. There can be no
assurance that forward-looking statements will prove to be accurate, as results
and future events could differ materially from those anticipated statements. The
Corporation undertakes no obligation to update forward-looking statements if
circumstances or management's estimates or opinions should change. The reader is
cautioned not to place undue reliance on forward-looking statements.