China Resources

[Ed Monton]

Dynasty Gold Signs Agreement with AngloGold Ashanti to Explore the Red Valley and Wild Horse Properties in Northwestern China

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 27, 2006) - Dynasty Gold Corp. (TSX VENTURE:DYG) ("Dynasty" or the "Company") is pleased to announce that it has signed an agreement that will result in a US$2,000,000 investment in the Company by AngloGold Ashanti, via its subsidiary AngloGold China Holdings Limited ("AngloGold"). The proceeds of this private placement will be used for exploration at the Red Valley and Wild Horse properties in northwest China. Furthermore, upon declaring its intention to joint venture, AngloGold will commence earning an interest in either one or both of these properties. The agreement is subject to approval by both the South African Reserve Bank and the TSX Venture Exchange.

Properties

Dynasty's Red Valley and Wild Horse projects encompass over 14,000 sq. km. of land in the provinces of Qinghai and Gansu, respectively, in northwestern China. Both projects are located within the Qilian metallogenic belt, in areas of known gold mineralization, and are considered by the Company to be highly prospective for large mineral deposits. Dynasty's wholly-owned subsidiaries hold 70% of each of the Sino-Foreign Joint Ventures (SJV) which manage these projects, and can earn an 80% interest with additional expenditures over the next several years. Dynasty's grassroots exploration has defined drill targets on a 16km trend of anomalous gold and trace elements at the Red Valley property, and reconnaissance sampling at the Wild Horse property has identified several areas for detailed exploration.

Share Purchase by AngloGold

AngloGold has reviewed the properties and recognizes the potential for the identification of significant mineral deposits at both locations. AngloGold representative, Roric Smith, Exploration Manager-North Asia Region and Chief Representative-China says," We are looking forward to working together with the Dynasty team on these two exciting projects."

AngloGold has agreed to assist Dynasty in their exploration efforts by purchasing 5,750,000 units of Dynasty at a price of CDN$0.40, representing an 8.74% (undiluted) stake in Dynasty. Each unit will consist of one common share and one half (1/2) common share purchase warrant. Each whole common share purchase warrant entitles AngloGold to purchase one common share at a price of CDN$0.60 for 2 years. The total funds of US$2,000,000 (CDN$2,300,000) will be used by Dynasty to explore the Red Valley and Wild Horse properties. Each of the two projects will receive 45% of the funds, with 10% allocated for governance and administration costs.

Joint Venture Option with AngloGold

The exploration program for Red Valley and Wild Horse will be designed and executed by an AngloGold \ Dynasty team. After the completion of this initial program, AngloGold may elect to initiate an earn-in and joint venture agreement with the SJV for either project by spending a minimum of US$2,000,000 over the course of one year. A further US$3,000,000 expenditure will be required within the following two years in order for AngloGold to earn 55% of the total interest in the SJV. The earning of any additional interest in the joint venture will be negotiated at a later date.

An investment by AngloGold fulfills one of Dynasty's corporate objectives - to make strategic partnerships with major mining companies in order to advance the Company's exploration properties. Brian McEwen, Dynasty President and CEO, commented, "We are very happy to have this agreement in place with AngloGold. We have long believed that both of these properties have excellent potential for large discoveries, and it is a major benefit to the company and its shareholders to have the backing and interest of one of the world's largest gold mining companies as we explore."

Details on the 2006 exploration budgets for all of Dynasty's China projects are forthcoming.

Dynasty is a Canadian based junior resource company focused on acquiring, exploring and developing gold prospects in China. For more information on the company's projects please refer to www.dynastygoldcorp.com.

ON BEHALF OF THE BOARD OF DYNASTY GOLD CORP.

Brian R. McEwen, PGeol, President & CEO

This press release contains certain "forward-looking statements" that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.