FDG Mining Inc. Announces Drill Results From the First Hole on the Topacio Concession, Nicaragua

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 16, 2012) - FDG Mining Inc. ("FDG" or "Company") (TSX VENTURE:FDG) is pleased to announce assay results from a portion of the first FDG core hole on the Topacio property.

Drill hole DDH 11-01 is located on the Topacio vein, which hosts the NI 43-101 compliant inferred resource (680,000 tonnes grading 5.2 g/t Au and 34 g/t Ag). DDH 11-01 was designed to twin historic drill hole No. 96-15, completed in 1996 by Triton Mining, in order to confirm the Triton results and, if possible, improve recovery and grade. FDG has acquired all of Triton's drill assay certificates from Acme Laboratories but the original core, reject material and assay pulps are unavailable.

DDH 11-01 was initially sampled over a 27 metre interval from 29 metres to 56 metres. This interval includes the Topacio Vein and associated silicification and argillic alteration. Quartz vein, quartz stockwork material and associated alteration were intercepted between 29 and 50 metres. Quartz vein material was intercepted in two zones, from a downhole depth of 39.4 metres to 41.9 metres and from 43.2 metres to 48.0 metres. All thicknesses quoted here are apparent. True thickness of the intercepts will be somewhat less.

Significant gold values were found in both intervals. The three metre interval from 39.0 to 42.0 metres grades 4.1 g/t gold and 37.0 g/t silver. A second interval from 44.0 to 46.0 metres carries 4.8 g/t gold and 20.0 g/t silver. These intercepts are separated by a two metre, clay-rich zone that assays less than 0.1 g/t gold. Overall, the seven meter interval from 39.0 to 46.0 metres grades 3.2 g/t gold and 21.6 g/t silver. This compares favorably with the results from the Triton drill assay results. The best result from essentially the same zone in Triton hole 96-15 was 2.82 metres (42.13-44.95m) grading 1.4 g/t gold and 15.0 g/t silver. In DDH 11-01 the footwall is weakly mineralized. The four metre interval from 46.0 to 50.0 metres averages 0.139 g/t gold and 1.6 g/t silver.

FDG is encouraged by the results from DDH 11-01. The Company suspects but cannot be certain that the discrepancy between its recent results and the historic Triton results are due to better core recovery in DDH 11-01 than in 96-15.

QA-QC Procedures, Sample Preparation, Analyses and Security

Core was transported by FDG employees from the drill site to FDG's secure core processing facility in Muelle de los Bueyes, Nicaragua. Core samples to be analyzed were identified and assigned a unique sample number during the core logging process. Core samples were selected at contiguous one metre intervals. Using a core saw, core was cut in half taking care to cut at an orientation which maximized the chance that both halves would be as identical as possible After sawing the core in half, one half of the previously marked sample was placed in a clean, unused, transparent plastic bag along with a pre-printed paper sample ticket. The remaining half was returned to the core tray. The sample number was written on the plastic bag. The sample number and the interval sampled were recorded in the sample ticket booklet and in a spreadsheet. FDG employees were responsible for sampling and for the insertion of a certified standard, a certified blank and a duplicate every 20 samples. Duplicate samples were created by cutting one half of the core to be sampled in half again to form two quarters. Each 100-sample sequence contains 85 routine samples, five certified standards, five certified blanks and five duplicates.

Samples to be analyzed were transported by FDG employees to the Inspectorate Laboratory sample preparation facility located in Managua, Nicaragua for sample preparation. At the sample preparation facility core samples were dried for up to 24 hours and then crushed until >70% of the sample passed through a -10 mesh screen. A 250 gram split of the sample was produced with a riffle splitter and pulverized until >85% of the sample passed -200 mesh. The resulting pulps were shipped by Inspectorate Laboratories personnel from Managua to Inspectorate's analytical laboratory located in Richmond, British Colombia, Canada at #200 - 11620 Horseshoe Way.

At the Inspectorate laboratory samples were analyzed for gold using fire assay with an AA finish. The Inspectorate code for this process is Au-1AT-AA. After aqua regia digestion samples were analyzed for 30 elements using an ICP-AES instrument. 30-AR-TR is the Inspectorate code for this analysis.

Under FDG's QA-QC procedures samples will be submitted for re-analysis based on their proximity to a certified reference standard that returned a gold value greater than three standard deviations higher or lower than the mean value for that standard. In addition, any two consecutive reference standards falling outside the two standard deviation threshold will be considered to have failed. Since every twentieth sample is a reference standard, ten samples above and below a failed standard will be re-analyzed. The same protocol will be applied to duplicate samples considered to have unacceptably divergent gold values. Periodically, random samples will be submitted to another laboratory as an external check on the results provided by the primary lab. The analytical results received from Inspectorate and disclosed in this news release have been reviewed by Robert Suda, P. Geo., FDG's Vice-President of Exploration and a Qualified Person as defined under NI 43-101.

About FDG Mining Inc. (www.fdgmining.com)

FDG Mining Inc. is a Canadian junior mining company engaged in acquisition, exploration and development of precious metal properties in Nicaragua. The Company is currently focused on advancing its core property, the past-producing 9300 hectare Topacio gold concession. Topacio has an NI 43-101 compliant inferred resource of 680,000 tonnes grading 5.2 g/t gold and 34 g/t silver, and a similar geological setting to B2Gold's La Libertad and El Limon mines to the northwest. FDG trades on the TSX Venture Exchange under the symbol FDG.

On Behalf of the Board of Directors

Daniel T. Farrell, President and Chief Executive Officer