Marathon Gold Reports 2011 Third Quarter Financial Results

TORONTO, Nov. 11, 2011 /CNW/ - Marathon Gold Corporation

At September 30, 2011 the Company had $3,200,000 in cash.

Highlights:

        --  Completed the earn-in for a 50% interest in the Valentine Lake
            Project by making a payment of $3,000,000 to Richmont Mines
            Inc., triggering the formation of the Valentine Lake 50/50
            joint venture with Mountain Lake Resources Inc.
        --  Completed an updated NI 43-101 Resource Estimate on the
            Valentine Lake Project based on drilling results from the 2010
            drilling campaign, which included Measured and Indicated
            Resources of 3.3 million tonnes grading 2.6 g/t gold,
            representing a total of 277,000 ounces of gold, and an
            additional Inferred Resource of 4.4 million tonnes grading 2.0
            g/t gold, representing an Inferred Resource of 285,000 ounces.
        --  Completed a 2011 drill program at the Valentine Lake Project,
            focused on expanding the existing Resource at Leprechaun Gold
            Deposit, and preliminary drilling at the Valentine East and
            Sprite Zones, including 25,500 meters of drilling.  An updated
            NI 43-101 compliant Resource Estimate incorporating the results
            of the 2011 drilling program is expected to be completed either
            in the fourth quarter 2011 or early in 2012.
        --  Funded US $2,000,000 in option payments to Golden Chest LLC
            stipulated under the operating agreement between Marathon and
            New Jersey Mining Company, required to complete the earn-in for
            Marathon's 50% interest in the Golden Chest Mine.
        --  Closed a private placement of flow-through common shares in
            March 2011 of 2,528,500 flow-through shares with gross proceeds
            of $4,551,300.
        --  Completed initial prospecting and ground exploration programs
            at the Finger Pond and Barachois Brook exploration stage
            properties in Newfoundland.

Operating highlights:

Marathon's losses for the three and nine months ended September 30, 2011 and 2010 are summarized below.

                                Three months ended          Nine monthsended
                                   September 30               September 30

                                   2011        2010          2011         2010

                                      $           $             $            $

    Expenses:                                                                 

      Exploration               175,364       6,027       214,766       11,624
      expenses

      General and               403,071     180,019     1,263,819      868,972
      administrative
      expenses

    Total expenses              578,435     186,046     1,478,585      880,596

    Interest income            (10,443)     (8,794)      (23,826)     (22,313)

    Unrealized loss              92,229           -       201,231            -
    on warrant
    derivatives

    Foreign exchange              2,308       (186)         1,931          245
    loss (gain)

    Loss for the                662,529     177,066     1,657,921      858,528
    period

This press release should be read in conjunction with Marathon's unaudited condensed Interim Consolidated Financial Statements for the period ended September 30, 2011 and the related Management's Discussion and Analysis, both of which are available on www.sedar.com.

About Marathon Gold Corporation

Marathon Gold Corporation is a North American gold resource development company, with projects located in the mining friendly province of Newfoundland and Labrador, and a project in the prolific Coeur d'Alene Mining District of Idaho.  Marathon has a project pipeline consisting of early stage exploration to advanced resource development projects. Marathon is continually evaluating new gold resource development projects of merit that are located within the Americas.  Marathon's focused and low-cost approach to exploration and resource development has an established record of delivering rapid growth.  For more information visit: www.marathon-gold.com

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Except for statements of historical fact relating to Marathon Gold Corporation, certain information contained herein constitutes 'forward-looking statements'. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as 'expects', 'anticipates', 'plans', 'believes', 'considers', 'intends', 'targets', or negative versions thereof and other similar expressions, or future or conditional verbs such as 'may', 'will', 'should', 'would' and 'could'. We provide forward-looking statements for the purpose of conveying information about our current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes.  By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited to those identified and reported in Marathon Gold Corporation's public filings, which may be accessed at www.sedar.com.  Other than as specifically required by law, we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results otherwise.

Marathon Gold Corporation

CONTACT: Marathon Gold Corporation



Jennie Guay

Investor Relations Manager

Tel: 1-416-987-0714