AM Gold Reports 238 m of 0.60 g/t Gold Intercept Including 20.5 Metres of 3.03g/t at Red Mountain and Extends Mineralization 400 m Southeast of the Resource

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 11/22/10 -- AM Gold Inc. (TSX VENTURE: AMG)(FRANKFURT: AMX) ('AM Gold' or the 'Company') is pleased to announce additional results from its wholly owned Red Mountain Property in central Yukon Territory, Canada. Assay results have been returned for diamond drill holes ICE10038 and ICE10039, which were drilled to test the extension of the mineralization to the east of the resource area, generally along the Jethro Trend.

Hole ICE10038 was collared approximately 410 m southeast of Hole ICE10028 (previously announced September 28 and October 5, 2010) and drilled on a north-northeast azimuth at minus 55 degrees to a depth of approximately 369 m to test the extension of the mineralization along the trend southeast of the resource area.

Hole ICE10039 was collared approximately 450 m east-southeast of ICE10028 and drilled to the north-northeast at minus 50 degrees to a depth of approximately 280 m to test the extension of mineralization into meta-sediments north and away from the Jethro Trend.

Detailed assay results for ICE10038 and ICE10039 are summarized in the table below:

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Hole Number                                  From (m) To (m)   Width    Gold
                                                                 (m)   (g/t)
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ICE10038                                         4.57 368.81  364.24    0.46
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Including                                       124.0  362.0   238.0    0.60
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Including                                       124.0  194.5    70.5    1.16
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Including                                       124.0 144.50   20.50    3.03
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ICE10039                                          9.5  237.0   227.5    0.34
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Note: Reported Widths Are Drilled Thicknesses. True Widths Are Not Known
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All sample preparation and fire assaying work has been performed by Eco Tech Laboratory Limited in Kamloops, British Columbia. Eco Tech is an ISO 9001:2008 accredited laboratory and subsidiary of the Stewart Group of worldwide laboratories.

The assay results from holes ICE10038 and ICE10039 have extended the mineralization along the Jethro Trend over 400 m to the southeast of the previously disclosed Inferred Resource of 542,000 troy ounces (23.6 million tonnes grading 0.7 g/t gold) announced on June 16, 2010. With assay results now returned from 11 of the 12 holes drilled during the 2010 program, gold mineralization can be traced a total distance exceeding 650 m along strike of the Jethro Structure.

'We are very pleased with the results of the entire program,' said President and COO Gerald Aberle. 'The assay returns for ICE10038 are particularly encouraging as the grade appears to have picked-up significantly as the drilling progressed to the east into a larger body of porphyry intrusive.'

The geology in the holes drilled at the east end of the resource area indicate the transition from a primarily massive porphyry intrusive stock to predominantly meta-sedimentary rock intercalated with porphyry diking. Within the bounds of the Jethro Structure, lithology does not appear to influence the distribution of the gold mineralization. The character of the mineralization remains similar to that in the west in monzonite porphyry intrusive rock, that being disseminations of sulphide minerals are predominant (0.5% to 1%,up to 5% locally), with accompanying zones of sulphide-bearing, multi-generational quartz veining being common. Arsenopyrite is the dominant sulphide mineral, followed by lesser amounts of pyrrhotite and chalcopyrite.

Assay results from the last hole of the 2010 program, ICE10037, are expected within the next week.

Brian L Cole, P. Geo., has reviewed the technical disclosure contained in this news release and is a Qualified Person within the meaning of National Instrument 43-101 - Standards of Disclosure for Mineral Projects.

This news release was prepared on behalf of the Board of Directors, which accepts full responsibility for its contents.

On behalf of the Board:

John Fiorino, CEO

AM GOLD INC.

This news release has been prepared by management. This document contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or achievements implied by these forward looking statements. We seek safe harbor.

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

Contacts:

Progressive IR Consultants Corporation

David Yeager

604-689-2881
david@AMGold.ca
www.amgold.ca