SolGold Regulatory News (SOLG)

18 February 2011

Solomon Gold Plc

("Solomon Gold" or the "Company")

Exploration Update: Completion of the first diamond drill hole with encouraging mineralisation and assay results from the Meriguna Prospect and the commencement of an IP Survey over the Fauro Island Project, Solomon Islands.

Solomon Gold (AIM Code: SOLG), the gold and copper explorer active in Solomon Islands and Australia, is pleased to announce the completion of the first diamond drill hole on the Meriguna Prospect, with encouraging mineralisation and initial assay results from the first 83m of the hole. The IP survey on the Fauro Island Project has commenced over the identified Prospects. The Meriguna Prospect is part of the Fauro Island Project which is in the Northern Solomon Islands, just south east of Bougainville and is 100% owned by Solomon Gold.

HIGHLIGHTS

Meriguna Prospect Drilling

·; The first diamond drill hole on the Fauro Project, FDDH001 was completed to a depth of 625m on the Meriguna Prospect.

·; The assay results from the first 83m of FDDH001 have been received from the fractured basalts near surface. The results are:

- 10m @ 2.93 g/t Au (incl. 1m @ 24.7g/t Au) from 28m.

- 6m @ 1.1g/t Au (incl. 1m @ 2.5g/t Au) from 60m.

·; Drilling of the second diamond hole, FDDH002 has recently commenced, also at Meriguna.

Induced Polarisation Survey

·; The IP Survey commenced on 18 February 2011 to identify subsurface mineralised rocks with disseminated sulphides.

·; The IP survey will cover a total area of 11km2 over the identified Prospects: Ballyorlo, Kiovakase, Meriguna, Bataha, Ballteara and Northern Fauro.

Commenting on the recent activity on the Fauro Project, Nicholas Mather, Chief Executive of Solomon Gold plc said: "Solomon Gold is pleased to report the completion of the first diamond drill hole, FDDH001 on the Meriguna Prospect, part of the Fauro Island Project in Solomon Islands to a depth of 625m.

Solomon Gold is encouraged by the mineralisation and alteration patterns diagnostic of porphyry systems, seen in the core from FDDH001.

The assay results from the first 83m in the high epithermal zone show 10m @ 2.93 g/t gold (incl. 1m @ 24.7g/t gold) from 28m and 6m @ 1.1g/t gold (incl. 1m @ 2.48g/t gold) from 60m. The gold results coincide with elevated concentrations of copper, zinc, mercury and tellurium. The elevated mercury and tellurium are considered typical of high level veins and suggests that the boiling zone where higher gold grades are expected, is deeper. The second diamond hole, FDDH002, which has commenced, is designed to pass through the boiling zone.

The IP survey commenced on 18 February 2011 and will survey the already identified Prospects; Ballyorlo Kiovakase Meriguna, Bataha, Ballteara and Northern Fauro. The IP surveyis a geophysical technique used to identify subsurface materials, such as porphyries and other deposit styles with high disseminated sulphide contents.  The results from the survey will assist with the targeting of the future holes to be drilled on Fauro." he added.

Meriguna Prospect Drilling

The first diamond drill hole on the Fauro Project, FDDH001 was completed to a depth of 625m on the Meriguna Prospect. Figure 1 in the Appendix to this announcement in the 'Latest News' section on the website, www.solomongold.com shows the drill site. The hole was targeted to intersect the projected sub-surface extensions of the high grade gold seen in surface trench results and alluvial gold in soils associated with brecciated and highly fractured basalts and porphyritic intrusions of dacitic composition. The down dip extension of auriferous epithermal quartz veins outcropping in surface trenching were intersected in the bottom of the hole around 600m depth as expected. These veins shall be targeted at shallower depth in the second hole FDDH002 on the Meriguna Prospect. Assay results from this intersection of FDDH001 have yet to be received.

Mineralisation and alteration of the host rocks in FDDH001 is very encouraging and is indicative of a porphyry related system with epithermal overprinting. There is increasing potassic alteration with depth towards the core of the system.

Mineralisation is moderate to strong throughout the hole with multiple generations of veining recognised including ultra-fine silica-pyrite veins and disseminated pyrite with later magnetite-pyrite veins and finally open spaced quartz-pyrite vein overprints with minor chalcopyrite (copper sulphide).

The assay results from the first 83m of FDDH001 have been received from the fractured and mineralised basalts near surface. The balance of the assay results are pending.

The results received to date are:

·; 10m @ 2.93 g/t Au (incl. 1m @ 24.7g/t Au) from 28m; and

·; 6m @ 1.1g/t Au (incl. 1m @ 2.48g/t Au) from 60m.

The gold results coincide with elevated copper, zinc, mercury and tellurium. The elevated mercury and tellurium contents are indicative of high level mineralisation and suggest the boiling zone where gold grades are expected to be higher is deeper

The second diamond hole, FDDH002 which has recently commenced, is designed to pass through the prognosed boiling zone.

Figures 2, 3 and 4, in the Appendix to this announcement in the 'Latest News' section on the website, www.solomongold.com, show the core from various depths down hole, FDDH001.

Induced Polarisation Survey

The Induced Polarisation ("IP") Survey commenced on 18 February 2011 and will cover a total area of 11km2. The IP survey will cover all the prospects previously identified as electromagnetic anomalies: Ballyorlo, Kiovakase, Meriguna, Bataha, Ballteara and Northern Fauro on which surface sampling has been on-going. IP surveys are commonly used to detect the presence of disseminated sulphide bodies prospective for copper, gold and molybdenum in porphyry systems. The technique relies on the ability of an artificial induced electric field in the ground, to charge the sulphide grains in the mineralised body. The intensity and decay rate of the charge induced is related to the sulphide content.

The first area to be surveyed will be the Ballyorlo Prospect and will help define drill targets at Ballyorlo. The Ballyorlo Prospect is the proposed next drilling target following the completion of the initial three holes at the Meriguna Prospect. The Ballyorlo Prospect shows porphyry anomalous in copper, molybdenum, gold and selenium style geochemistry. Surface rock chip and trench sampling to date has shown encouraging copper and molybdenum results and additional gold credits. A total of 57 samples were taken over the Ballyorlo prospect, with the best copper result being 0.20% and the best molybdenum result 0.43%. Gold in soils peaked at 3.1g/t over an area of 1km by 1.8km

Figure 5 & 6 in the Appendix to this announcement in the 'Latest News' section on the website, www.solomongold.com shows the location of proposed IP survey lines on the Ballyorlo, Kiovakase and Meriguna Prospects.

Qualified Person

Information in this report relating to the exploration results is based on data reviewed by Mr Nicholas Mather (B.Sc. Hons Geol.), the Chief Executive Officer of the Company. Mr Mather is a Fellow of the Australasian Institute of Mining and Metallurgy who has in excess of 25 years' experience in mineral exploration and is a Qualified Person under the AIM Rules. Mr Mather consents to the inclusion of the information in the form and context in which it appears.

By order of the Board

Karl Schlobohm

Company Secretary

Contacts:

Mr Karl Schlobohm Tel: +61 (0)7 3303 0660

Solomon Gold Plc (Company Secretary)

kschlobohm@solomongold.com

Mr Ewan Leggat Tel: +44 (0)207 598 5368

Fairfax I.S. PLC (Broker)

eleggat@fairfaxis.com

Mr Stephen Weir Tel: +61 (0)2 9250 0048

RFC Corporate Finance (Nominated Advisor)

stephen.weir@rfc.com.au

Mr Dominic Barretto Tel: +44 (0)208 980 3545

Yellow Jersey PR (PR & IR)

dominic@yellowjerseypr.com

NOTES TO EDITORS

Solomon Gold Plc's original and core gold exploration projects are located on the Solomon Islands and are the major focus of the Company. The discovery in September 2010 of extensive and rich gold mineralisation on Fauro Island, just south east of Bougainville Island in neighbouring Papua New Guinea, presents Solomon Gold with potential for a world class gold and copper-gold-molybdenum discovery on the south west Pacific Rim of Fire. The region is one of the world's most strongly endowed gold and copper provinces, hosting Grasberg, Lihir, Panguna and Ok Tedi, each with in excess of 40Moz gold equivalent metal endowment. The Company also holds a comprehensive and extensive tenement position on the main island of Guadalcanal where its JV partner, NVL Solomon Islands Limited (a subsidiary of NYSE-listed Newmont Mining Corporation) can earn a 51% interest in the project by expending US$6million by 1 April 2012, and may elect to expend a further US$6million (total US$12million) to earn a further 19% to a total 70% by 1 April 2014. The Guadalcanal Joint Venture has outlined high priority gold-copper porphyry targets at Chikora, Mbetilonga, and Kuma.

Solomon Gold has also extended its strategy to include becoming an integrated gold explorer, developer and miner with projects in lower risk theatres as well as the Solomon Islands.

Solomon Gold's projects in Queensland include Rannes, Mt Perry and Normanby. At Rannes, the Company has outlined a 22km long prospective zone in a 200km long trend on the eastern edge of Queensland's Bowen Basin in the same geological setting as Newcrest's 100,000 ounce per year Cracow Gold Mine. This extensive exploration licence position hosts three mineralised projects at Cooper, Rannes Central and Police Camp. The exploration area is believed to host mineral systems which are geologically similar to the Carlin trend in Nevada USA. At Rannes Central, the Company has encountered potentially economic mineralisation in five different prospects targeted to yield at least 1 Moz. A maiden 200,000 ounces resource has been defined to date at the Crunchie Prospect.

At Mt Perry, the Company is investigating an area of approximately 1,500km2 hosting over 50 historic mines and workings near Newcrest's Mt Rawdon Gold Mine. Mt Perry has yielded potentially economic drill intersections on nine of the ten prospects tested to date.

Solomon Gold's Board includes accomplished professionals with strong track records in the areas of exploration, mine development in Australia and Melanesia, investment, finance and law. Board and Management have significantly vested interests in the Company holding approximately 15.91% of its issued share capital following the proposed placing announced on 22 October 2010.

Solomon Gold is based in Brisbane, Queensland, Australia. The Company listed on London's Alternative Investment Market in 2006. Further details concerning the Company's key projects and personnel can be found at www.solomongold.com.