NSGold Corporation adopts 2010 Stock Option Plan

Press Release For immediate distribution

Board of Directors makes initial grant of 280,000 stock options

Vancouver, British Columbia – August 23, 2010 -NSGold Corporation (NSX : TSXV) announces that its Board of Directors has adopted the 2010 Stock Option Plan, under which NSGold may issue a maximum of two million common shares, representing approximately 6.7% of NSGold’s issued and outstanding shares.

Under the 2010 Stock Option Plan, the Board of Directors may grant stock options to NSGold’s directors, officers, employees and consultants. The exercise price of the stock options is determined by the Board of Directors when the options are granted, but cannot be less than the closing price of NSGold’s shares on the TSX Venture Exchange on the business day immediately preceding the day on which the option is granted. The maximum exercise period of the stock options is ten years.

At the time of granting an option, the Board of Directors, at its discretion, may set a “vesting schedule”, that is, one or more dates from which an option may be exercised in whole or in part. If the Board of Directors does not set such a “vesting schedule” at the time of granting an option, the option may be exercised in whole or in part immediately in respect of all of the shares under option. The stock options may not be assigned.

The 2010 Stock Option Plan has been approved by the TSX Venture Exchange, subject only to standard conditions.

NSGold also announces that its Board of Directors has made an initial grant of stock options under the 2010 Stock Option Plan. The Board of Directors granted stock options to two independent directors in respect of an aggregate of 200,000 common shares, and to two consultants, including one investor-relations consultant, in respect of an aggregate of 80,000 common shares.

The exercise price of the stock options is $0.25 per share. The last closing price of NSGold’s shares on the TSX Venture Exchange was $0.23. The stock options vest in four equal tranches commencing three months from the date of grant and will be fully vested in twelve months. They expire five years from the date of grant.

About NSGold

NSGold Corporation is a mineral exploration company actively exploring for gold in Nova Scotia, Canada. NSGold’s flagship property is the Mooseland Gold Project. NSGold’s shares are listed on the TSX Venture Exchange under the symbol NSX.

For further information, please contact:

Glenn A. Holmes
Chief Financial Officer,
NSGold Corporation
(902) 483-2308
glenn.holmes@nsgoldcorp.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.