Evolving Gold Completes Private Placement Offering

VANCOUVER, Aug. 24, 2011 /CNW/ --
/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS
NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES./

VANCOUVER, Aug. 24, 2011 /CNW/ - Evolving Gold Corp. (TSX: EVG) (OTCQX: EVOGF) (FSE: EV7) (the 'Company')
announced today it has completed a non-brokered private placement (the
'Offering') of 10,290,000 units ('Units') at a price of $0.56 per unit
for gross proceeds of $5,762,400.  Each Unit is comprised of one common
share (each a 'Common Share') and one-half of one common share purchase
warrant (each whole warrant, a 'Warrant').  Each Warrant entitles the
holder thereof to acquire one common share of the Company at a price of
$0.75 until February 23, 2013.

In connection with the Offering, the Company paid certain arm's length
parties a cash fee on the sale of Units representing 6% of the proceeds
raised by such finder and issued finder's compensation warrants (the
'Finder's Warrants') equal to 6% of the number of Units sold by such
finder.  Each Finder's Warrant entitles the holder thereof to acquire
one common share of the Company at a price of $0.60 until February 23,
2013.

All securities issued in the Offering are subject to a four-month hold
period ending December 24, 2011 in accordance with applicable Canadian
securities laws.  The net proceeds of the Offering will be used for
exploration of the Company's gold properties in Nevada and for general
corporate purposes.

The securities referred to in this news release have not been, nor will
they be, registered under the United States Securities Act of 1933, as
amended, and may not be offered or sold within the United States or to,
or for the account or benefit of, U.S. persons absent U.S. registration
or an applicable exemption from the U.S. registration requirements. 
This news release does not constitute an offer for sale of securities
for sale, nor a solicitation for offers to buy any securities.  Any
public offering of securities in the United States must be made by
means of a prospectus containing detailed information about the company
and management, as well as financial statements.

About Evolving Gold Corp.


Evolving Gold is focused on exploring its four gold properties in and
adjacent to the productive Carlin district of northern Nevada, and on
its gold discovery at Rattlesnake Hills, Wyoming. Currently the Company
has drills operating on its Carlin-Humboldt and Jake Creek projects in
Nevada and on its Rattlesnake Hills project in Wyoming.  For more
information about Evolving Gold please visit: www.evolvinggold.com.

On Behalf of the Board of Directors


EVOLVING GOLD CORP.

'William Gee'


William Gee


CEO and Director

FORWARD LOOKING STATEMENTS: This press release contains forward-looking statements, which address
future events and conditions, which are subject to various risks and
uncertainties. The Company's actual results and financial position
could differ materially from those anticipated in such forward-looking
statements as a result of numerous factors, some of which may be beyond
the Company's control. These factors include: results of exploration
activities and development of mineral properties, fluctuations in the
marketplace for the sale of minerals, the inability to implement
corporate strategies, the ability to obtain financing, currency
fluctuations, general market and industry conditions and other risks
disclosed in the Company's filings with Canadian Securities Regulators.

Forward-looking statements are based on the expectations and opinions of
the Company's management on the date the statements are made. The
assumptions used in the preparation of such statements, although
considered reasonable at the time of preparation, may prove to be
imprecise and, as such, undue reliance should not be placed on
forward-looking statements. The Company expressly disclaims any
intention or obligation to update or revise any forward-looking
statements whether as a result of new information, future events or
otherwise, except as required by law. We seek safe harbour.

To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/August2011/24/c6021.html

Investor Relations: Rory Quinn
Tel: 604.685.6375
TF: 866.604.3864
rory@evolvinggold.com