Freegold Ventures Ltd. Closes $2.2 Million Private Placement - Drilling Underway at Golden Summit, Alaska

VANCOUVER, March 17 /CNW/ - Freegold Ventures Limited (TSX: FVL Frankfurt: FR4N) ("Freegold") is pleased to announce that it has closed a non-brokered private placement of 4,583,331 ("Units"), priced @ $0.48 per Unit. Each unit will consist of one common share (a "Share") and one common share purchase warrant (a 'Warrant"). Each Warrant will entitle the holder to acquire an additional Share at a price of $0.59 for a period of one year from the date of closing and at a price of $0.65 between one year and two years from closing. Insiders subscribed for 403,750 units. A finder's fee of 6% will be paid on a portion of the placement. The foregoing is subject to regulatory approval. The securities issued will be subject to resale restrictions until July 17, 2011.

Further to its January 28th, 2011 news release Freegold is also pleased to announce that it commenced drilling on its Golden Summit Project, Alaska. A 5,000 metre program commenced in late February and is aimed at additional resource delineation on the project. A total of 20 holes are planned in this current program. Drilling during this Phase 1 program will focus on the Dolphin Zone which is located in the western portion of the property package. During the summer of 2010 Freegold undertook a small ground geophysical (induced polarization) survey mainly in the Dolphin area. The results of the geophysical program as well as historical drill results were used to define the drill targets for this program. A NI 43-101 resource calculation is currently underway for the Dolphin zone


About Freegold Ventures Limited

Freegold is a TSX listed company focused on the exploration of gold projects in Alaska. In addition to the Golden Summit Gold Project, the company holds a 100% in lease interest in the Rob Gold Project near the Pogo Gold Mine in the Goodpaster Mining District of Alaska and has an exploration agreement with option to lease the Vinasale Gold project in central Alaska.



This press release contains forward-looking information. This forward-looking information includes, or may be based upon, estimates, forecasts, and statements as to management's expectations with respect to, among other things, the delineation of additional resources at the Golden Summit Project.. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include the inherent risks involved in the exploration and development of mineral properties and other factors. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.



For further information:

Kristina Walcott, President and CEO
Telephone: 1.604.662.7307
jkw@freegoldventures.com
www.freegoldventures.com