Underground Exploration And Development At Zaruma Project Adds High-Grade Gold And Silver Mineralization

Underground Exploration And Development At Zaruma Project Adds High-Grade Gold And Silver Mineralization

August 9th, 2006

Vancouver, BC, August 9, 2006 - Dynasty Metals & Mining Inc. (TSXV:DMM, the “Company”) reports that ongoing exploration, and recently-commenced underground development, at its 100% owned Zaruma Gold Project in Southern Ecuador have discovered new, high-grade gold and silver mineralization.

Systematic sampling has identified high gold and silver grades over approximately 80 metres of the new, Tres Diabolos Vein. In addition, development work on an underground tunnel, driving 270 metres along the Tamayo Vein, has uncovered a southerly extension that could more than double the known length of that vein.

Highlights of rock chip channel sampling from these areas include 52.03 grams per tonne (“g/t”) gold and 38 g/t silver over 1.6 metres taken from the extension to the Tamayo Vein; and 29.53 g/t gold and 267 g/t silver over 1.0 metre at the Tres Diablos Vein.

Both the southern extension of the Tamayo Vein and the Tres Diablo Vein are new discoveries in areas of the Zaruma Project that have never previously been sampled or worked. The Tamayo Vein is located west of the town of Portovelo and the new, Tres Diablos Vein is west of the existing Sucre Vein located north-west of the towns of Zaruma and Portovelo. The discoveries are approximately 12 kilometres apart.

Company President, Rob Washer, commented: “Based on known veins in the Zaruma area, we believe that both the Tamayo and the Tres Diabolos Veins may ultimately be shown to extend more than 500 metres. The Tamayo access tunnel is 1.8 metres wide by 2 metres high and runs up to 60 metres below the surface. We have stockpiled over 900 tonnes of high-grade gold ore from the Tamayo tunnelling, for bulk testing at a 20 tonnes per day test plant that is presently under construction.”

Detailed Results

Significant assay results from the new underground rock channel sampling are tabulated below.

Sample
Number
Gold
(g/t)
Silver
(g/t)
Gold Equivalent*
(g/t)
Width
(metres)


Tamayo Vein

Z0103039

52.03

38

52.72

1.6

Z0103040

44.23

29

44.76

1.5

Z0103041

21.13

20

21.49

1.3

Z0103042

9.60

14

9.85

1.3

Z0103033

7.03

15

7.30

1.1

Z0103026

7.00

13

7.24

1.1

Z0103025

5.79

15

6.06

1.6

Z0103030

5.53

31

6.09

0.6

Z0103020

5.35

11

5.55

0.5

Z0103035

5.19

12

5.41

1.9

Z0103023

4.97

21

5.35

0.6


Tres Diablos Vein

Z0103059

29.53

267

34.38

1.0

Z0103058

20.30

109

22.28

1.1

Z0103063

8.93

79

10.37

1.0

Z0103057

7.80

63

8.95

1.0

Z0103064

4.01

55

5.01

1.1

Z0103062

3.52

33

4.12

1.3

* Gold Equivalent is established using a 55:1, silver to gold ratio,
without regard to metallurgical recoveries.
About the Zaruma Gold Project

The Zaruma Gold Project is located in the cantons of Zaruma and Portovelo, Province of El Oro, Ecuador, approximately 160 kilometres south of Guayaquil, Ecuador’s main seaport. The project comprises 44 mineral concessions, covering approximately 103 square kilometres, in an active high-grade goldfield. Gold mineralization occurs in a 15 kilometre by 5 kilometre polymetallic epithermal precious metal vein system. The vein system is hosted by a monotonous Tertiary volcanic sequence of intermediate to mafic volcanic breccias, tuffs and andesites.

Quality Control and Assurance

The preparation of the technical information contained in this news release was supervised by Greg Whitfield, a “qualified person” as defined in National Instrument 43-101 of the Canadian Securities Administrators.

About Dynasty Metals & Mining Inc.

Dynasty Metals & Mining Inc. is a Canadian based mining company involved in the exploration and development of mineral properties in Ecuador. In addition to its Zaruma Gold Project, the Company is currently developing the Jerusalem Gold Project, and exploring a large grass-roots discovery, the Dynasty Copper-Gold Belt.

Dynasty Metals & Mining Inc.
Robert Washer, President and CEO

For further information, please contact Murray Oliver at (604) 687-0888 Ext. 3 or info@dynastymining.com or visit the Company’s website atwww.dynastymining.com.

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