Nevada Pacific Gold Ltd. (NPG)

[Ed Monton]

Nevada Pacific Completes Drill Targeting and Stakes
Additional Claims at Keystone Project

VANCOUVER, BRITISH COLUMBIA--Nevada Pacific Gold Ltd. (TSX
Venture Exchange - Symbol NPG) wishes to announce the completion
of targeting for a Phase I drill program at the Company's 100%
owned Keystone project. Following interpretation of new
geophysical survey data, prospecting and markedly increased
competitor activity in the area, the Company staked claims
covering an additional three square miles. This acquisition
brings the project total to seven square miles of prospective
ground over the Keystone tectonic window which is located to the
south of the Pipeline Mine/Cortez Joint Venture (CJV) on the
Battle Mountain Gold Trend and just 12 miles south of Placer
Dome's 10+ million ounce Cortez Hills, Pediment and ET Blue
discoveries in Nevada.

Gradient Geophysics, Inc. recently completed a tightly spaced 9.5
line mile gradient array IP survey covering an area measuring
5,000 feet by 3,280 feet and centered on the old Keystone
base-metal workings. A 33.4Ma intrusive that outcrops in the
center of the tectonic window was emplaced into lower-plate rocks
of the Nevada group, which are comprised of massive bedded and
silty limestones. The IP survey was specifically designed to
target the potential for massive sulfide replacement bodies along
the intrusive contact and results confirm the presence of at
least four discrete anomalies. One of these anomalies is
coincident with known surface occurrences of high-grade massive
sulphide float.

Previously announced mapping and rock-chip sampling of this
high-grade base and precious metal mineralization is summarized
below:

 
  
 ------------------------------------------------------------------------ 
 Sample #             Cu%            Zn%            Pb%            Ag-opt 
 ------------------------------------------------------------------------ 
 KS-1                 5.8            3.2            3.6              13.1 
 ------------------------------------------------------------------------ 
 KS-2                 4.6           16.0            6.5              10.4 
 ------------------------------------------------------------------------ 
 KS-3                10.3           25.2           21.8              23.8 
 ------------------------------------------------------------------------ 
 KS-4                 2.6           11.6           17.6              23.8 
 ------------------------------------------------------------------------ 
 KS-5                 4.1            7.4            6.4              11.3 
 ------------------------------------------------------------------------ 
  
 

......................



In addition to the ground-based geophysics, 479 line miles of
high-resolution aeromagnetic data was also acquired from the area
around the lower plate window. This information provided a
regional view of the adjacent lands and has allowed Nevada
Pacific personnel to better interpret the geology under shallow
cover. Surface reconnaissance over some of the magnetic anomalies
confirmed jasperoid and altered sedimentary float in areas that
are covered by young volcanics. This is consistent with the air
magnetic interpretation that some of the volcanic cover forms
only a thin skin over altered sedimentary bedrock.

The new geologic interpretations resulting from these geophysical
surveys prompted Nevada Pacific to acquire an additional three
square miles of prospective ground. These new claims have
extended the area of this potential contact-style of
mineralization to cover 20,000 feet along the intrusive contact.
Claims have also been staked to cover the area sourcing the
altered float.

The Keystone project exhibits strong potential for both base and
precious metal mineralization related to the Keystone tectonic
window. Mineralized prospects occur in both upper and lower plate
rock and may be related to the emplacement of the stock. Though
the window is under-explored, limited historical drilling does
indicate Carlin-style gold mineralization. The presence of
receptive host rocks in the lower plate and an intrusive to drive
the system provides a classic setting for the development of
large disseminated deposits.

Drilling is expected to commence this summer over targets
identified as a result of both geophysical and geochemical
programs. In addition to this drill program, target definition
work will be initiated over the newly staked portions of the
property package. This work will include mapping, rock chip
sampling and soil gas surveys.

Curt Everson, P.Geol., M.Sc., is a Qualified Person as defined by
National Instrument 43-101 and is responsible for program design
and quality control of exploration undertaken by the Company.

Nevada Pacific Gold Ltd. was founded in March 1997. The Company's
property portfolio contains the Magistral Gold Mine in Mexico and
an exploration property portfolio covering approximately 60
square miles of mineral rights including portions of two
significant gold producing belts in the State of Nevada. The
Company's BMX project is optioned to Placer Dome. A description
of these projects, including maps and photographs can be viewed
on the Company's website at: www.nevadapacificgold.com.

ON BEHALF OF NEVADA PACIFIC GOLD LTD.

Richard J. Barclay, CEO and Director

-30-

FOR FURTHER INFORMATION PLEASE CONTACT:
Nevada Pacific Gold Ltd.
David Hottman
[phone]
[phone] (FAX)
Website: www.nevadapacificgold.com
No securities regulatory authority or stock exchange has reviewed
or accepts responsibility for the adequacy or accuracy of this
news release.