Carpathian Gold Inc. ("Carpathian" or the "Corporation") (TSX:CPN) wishes to
report that it has received official notice that the Licenca Instalacao ("LI")
has been granted to its wholly owned subsidiary Mineracao Riacho dos Machados
Ltda. ("MRDM") which now allows the Corporation to re-proceed with construction
of the Riacho dos Machados ("RDM") Gold Project located in Minas Gerais, Brazil.


The Corporation previously announced on October 18, 2011 that it had been
advised by a decision by COPAM, one of the Brazilian environmental authorities
having jurisdiction over its RDM Gold Project that it had attached a condition
to the previously granted Ad Referendum for the Licenca Instalacao ("AR LI") to
the effect that MRDM, should not start any installation work on the Project
until the LI is ratified by COPAM, pending their further review of technical
documents. While the AR LI was valid and allowed the Corporation to proceed with
construction on the Project (see press release dated September 16, 2011), the
Corporation elected to suspend work on the Project while the review process was
in progress and to work with COPAM to satisfy its queries and concerns. On
November 21, 2011 at a special meeting held by the COPAM, the LI was unanimously
ratified, allowing MRDM to proceed with the construction and development of the
Project.


Dino Titaro, President and CEO commented, "We are very pleased that we were able
to satisfy the COPAM and the various state government agencies on matters
relating to the Project and have received the go-ahead to re-commence the
development of the Project. While the suspension on our previous permission to
proceed with construction of the Project was fairly short, it will delay the
original plan by the Corporation on its time line to declaring production, which
is now envisioned to be by mid-2013. With the governmental go-ahead to construct
the Project and with the previously announced senior bank facility available to
the Corporation along with its current cash position the Project is well funded
and ready to be developed to commercial gold production."


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 ("RDM") Gold Project in Brazil, which is currently focusing on
activities surrounding permitting and construction, along with progressing its
exploration and development plans on its 100% owned Rovina Valley Au-Cu Project
located in Romania. On a company wide basis, the Corporation currently hosts NI
43-101 resources of 4.0 million ounces of gold in the measured plus indicated
categories and 4.5 million ounces of gold in the inferred category, as well as
759.1 million pounds of copper in the measured plus indicated category and 663.1
million pounds of copper in the inferred category.


The RDM Gold Project is targeted to produce in the order of +/-100,000 ounces of
gold per annum with an anticipated goal for the commencement of production by
mid-2013. The Rovina Valley Project will enhance the Corporations growth profile
as a mid-tier gold producer.


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, except as
required by law. The reader is cautioned not to place undue reliance on
forward-looking statements.