Atlanta Gold Inc. to Complete $2.5 Million Private Placement

TORONTO, July 21, 2011 /CNW/ --
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES/

TORONTO, July 21, 2011 /CNW/ - Atlanta Gold Inc. (TSXV: ATG; OTCQX: ATLDF) announces that it intends to complete a non-brokered private placement of up to
35,714,285 Units at a price of $0.07 per Unit for gross proceeds of
$2.5 million. Each Unit will consist of one common share and one
warrant to purchase a common share of the Company at a price of $0.11
per share for a period of 24 months from the closing of the offering.
The Company will have the right to accelerate the expiry date of the
Warrants if the closing price of the Company's common shares on the TSX
Venture Exchange (the 'TSXV') exceeds $0.20 for 20 consecutive days on
which the Company's shares trade.  Proceeds from the offering will be
used for exploration, development and permitting expenditures on the
Company's Atlanta gold property located in Idaho, U.S.A. and for
working capital purposes. Completion of the offering is subject to TSXV
approval.

Certain insiders of the Company may participate in the offering. The
Company will pay a finder's fee to registrants consisting of an 8% cash
commission and 8% compensation options, with each compensation option
entitling the holder to purchase one common share at a price of $0.11
per share for one year. All securities issued under the offering will
be subject to a four-month statutory hold period.

About the Company

Atlanta Gold Inc. (TSX: ATG; OTCQX: ATLDF) holds through its 100% owned subsidiary, Atlanta Gold Corporation,
leases, options or ownership interests in its Atlanta properties which
comprise approximately 2,159 acres (8.74 square kilometres) located 90
air kilometres east of Boise, in Elmore County, Idaho. A long history
of mining makes Atlanta very suitable for development of new mining
projects. The Company is focused on advancing its core asset, Atlanta,
towards mine development and production.

Forward-Looking Information

This news release contains forward-looking information and
forward-looking statements within the meaning of applicable securities
laws. All statements, other than statements of historical fact, are
forward-looking statements. We use words such as 'may', 'intend',
'will', 'should', 'anticipate', 'plan', 'expect', 'believe', 'estimate'
and similar terminology to identify forward looking information and
statements, including with respect to our intent to complete the
offering and the intended use of proceeds therefrom. Such are based
upon assumptions, estimates, opinions and analysis made by management
in light of its experience, current conditions and its expectations of
future developments as well as other factors which it believes to be
reasonable and relevant. These assumptions include those concerning the availability of adequate
financing, no significant decline in existing general business and
economic conditions, receipt of TSXV approvals, the level and
volatility of the gold price, the accuracy of the Company's resource
estimates and of the geological, metallurgical and price assumptions on
which the estimates are based. Forward looking information and
statements involve known and unknown risks, uncertainties and other
factors that may cause our actual results to differ materially from
those expressed or implied in the forward looking information and
statements and accordingly, readers should not place undue reliance on
those statements. Risks and uncertainties that may cause actual results
to vary include, but are not limited to, the Company's limited
financial resources and delays in raising additional financing on
satisfactory terms; changes in general economic conditions or
conditions in the financial market; the speculative nature of mineral
exploration, development and mining (including uncertainties with
respect to the interpretation of geology, continuity, size and grade
estimates and recoverability of mineral reserves and resources);
operational and technical difficulties; risks and hazards associated
with the business of mineral exploration, development and mining,
including environmental hazards, changes in laws or regulation, 
government action and the risk of obtaining necessary governmental
approvals, permits and licenses; changes in resource prices and
fluctuations in currency exchange rates; contests to the title of
Company property; as well as other risks and uncertainties which are
more fully described in the Company's annual and quarterly Management's
Discussion and Analysis and in other Company filings with securities
and regulatory authorities which are available at www.sedar.com. Should
one or more risks and uncertainties materialize or should any
assumptions prove incorrect, then actual results could vary materially
from those expressed or implied in the forward looking statements and
accordingly, readers should not place undue reliance on those
statements.

Readers are cautioned that the foregoing lists of risks, uncertainties,
assumptions and other factors are not exhaustive.  The forward-looking
statements contained in this news release are made as of the date
hereof and the Company undertakes no obligation to update publicly or
revise any forward-looking statements contained herein or in any other
documents filed with securities regulatory authorities, whether as a
result of new information, future events or otherwise, except in
accordance with applicable securities laws.

NEITHER THE 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.  

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