The Grand Council of the Crees

Golden Valley Mines Ltd.: James Bay Cheechoo Gold Project and Abitibi 2006 Field Exploration Updates

Posted: 2006-01-11

MONTREAL, QUEBEC -- January 11, 2006 - Golden Valley Mines Ltd. (TSX VENTURE:GZZ) provides the following update on its exploration activities in Quebec and Ontario.

Abitibi Greenstone Belt - Grassroots Diamond Drilling Program Start-up (Quebec & Ontario)

Golden Valley Mines announces that diamond drilling on properties located within the Abitibi Greenstone Belt in northwestern Quebec and northeastern Ontario will begin over the next ten days. The first property to be drill tested is the Golden Jet prospect (gold and VMS target: map #47) where a number of induced polarization (IP) anomalies have been detected coincidental with untested gold-copper soil anomalies (GM 41783 - Aunore Resources Inc.).

Drill targets have also been delineated on a number of other grass-roots properties and are expected to be tested by diamond drilling during the 2006 winter and spring exploration program. These include the Hunter Mine Group (VMS target: map #50), Sea Serpent (gold target: map #9), Cook Lake (gold target: map #58), Blue Mountain (gold target: map #28), and Lac Lemoyne (VMS target: map #31). Ground geophysical surveying is currently in progress or is being planned for a number of other individual properties. Each of these properties will be drill tested following in-house interpretation and compilation work, if suitable targets are resolved.

Since 2003, Golden Valley Mines has acquired an extensive exploration land package in the Abitibi Greenstone Belt encompassing over 87 projects in both Quebec and Ontario. Significant historic and current precious and base metals production from the Abibiti Greenstone Belt includes more than 200 million ounces of gold, 8.5 million tonnes of copper, 20 million tones of zinc and 900 million ounces of silver. Golden Valley Mines currently holds 1006 mining claims covering an area of 38,502 hectares within the established mining camps or are located in areas deemed highly prospective for the discovery of either base or precious metal deposits. The primary targets to be tested in the 2006 Golden Valley Mines drill program are volcanogenic massive sulphide (VMS) copper-zinc-silver or gold-rich massive sulphide, lode-gold and magmatic nickel-copper (PGE) deposits.

For further information, refer to the Quebec & Ontario prospects location map on the Golden Valley Mines website, http://www.goldenvalleymines.com/abitibi.

Cheechoo Gold Project Area, James Bay Region, Quebec

Planning for the 2006 field program is underway for the Cheechoo A, B, C and Sharks claim blocks. The first phase of work on the properties will be the establishment of a grid over the Cheechoo A block claims to complete ground geophysical and geological surveys for the purpose of defining drill targets, to follow up on rock grab sample assay results obtained from the fall 2005 mapping and prospecting program (refer to the December 5, 2005 press release for further information). These grab sample results included a 1.58 g/t gold, 1.63% copper sample, and a 3.98 g/t gold, 1.73% copper sample. Additional field work consisting of prospecting, ground geophysical surveys and geological mapping are now planned to expand the areas within the Cheechoo A, B, & C properties as well as the other 100% owned claim blocks, and the Company will report the lake sediment sample results from the 2005 programs once they have been finalized and compiled.

Golden Valley Mines is one of the principal claim holders in the immediate area of Virginia Gold Mines Inc. Eleonore property that hosts the Roberto Zone gold discoveries. Golden Valley Mines now holds interests in 1,017 claims in the new emerging gold discovery area, including 14 wholly owned (100%) properties, and two option/joint ventures with Sirios Resources Inc. covering 53,524 hectares (535 km2) in the region (refer to the November 16, 2005 press release for more information).

Michael P. Rosatelli, Senior Geologist is Golden Valley Mines' Qualified Person as defined by National Instrument (NI) 43-101 and the person responsible for the preparation of this press release.

For further information:
Golden Valley Mines Ltd.
Glenn J. Mullan
President and CEO
(877) 879-1688, ext. 222
mullan@goldenvalleymines.com

Golden Valley Mines Ltd.
R. Bruce Durham
Vice President - Exploration
(877) 879-1688, ext. 252
durham@goldenvalleymines.com
info@goldenvalleymines.com
www.goldenvalleymines.com [Opens new window]