McFarlane Lake Mining Limited press release

Paramount Gold's Trench Results at San Miguel, Mexico, Extend Silver/Gold Zone Another 250 Meters

2006-09-19

CSE - Canadian National Stock Exchange · Gold · Copper · Cobalt · Nickel · Arsenic · Canada

CHIHUAHUA, MEXICO, September 19 /CNW/ - Paramount Gold Mining Corp. (OTC:PGDP)(FWB:P6G) (WKN:A0HGKQ), is pleased to release the results of a trenching program in the south and central part of its San Miguel concession block near Temoris, Chihuahua, Mexico. The eight trenches reported are located in the La Union zone which is adjoining and to the South of the San Jose zone where Paramount reported drill results that included 874 g/t silver across 5.2 meters and 553 g/t silver across 6.5 meters (see news release dated Sept. 14, 2006). Trenches one through eight span approximately 250 meters along strike on the La Union zone. Trench ZLU-01 starts approximately 150 meters South from drill hole SJ-04 (47 meters averaging 105 g/t silver) reported from the San Jose zone. Trenches continue down strike to the South and compare very well to earlier trench results from the San Jose zone. The highlights of the trenching includes: >

Paramount's Manager of Exploration, Mexico, Bill Reed, commented, "Our trench results are reporting good grades across significant widths and will aid in targeting our drilling into this zone. The La Union zone is along the same strike as the San Jose zone and may be a continuation of San Jose. That could represent a total strike length of approximately 550 meters that is open along strike in both directions and to depth. Our 2nd phase of drilling in this area will step out along strike and attempt to prove up the continuity of these two zones." The trenches are excavated to a depth of 2-3 meters and extend from west to east across the quartz veins and stockwork quartz veins that host silver and gold mineralization in the Guazapares mining district. The trenches were cut through thin overburden to better define drill targets and spaced approximately 40 meters apart. The geology of the trenches is mapped in detail and continuous rock chip samples of no more than one meter in length are collected from the trench walls. Drill holes are currently testing the La Union mine area based on the trench assays listed below. Once these holes are completed, the drill will move to the San Antonio area immediately north of the San Luis mine zone. << From Gold Silver Area Trench (meters) To Width in g/t in g/t Las BBB ZLU-01 0.00 14.00 14.00 0.02 55.00 14.00 51.00 37.00 0.05 135.00 51.00 66.00 15.00 0.00 77.00

0.00 66.00 66.00 0.03 105.00

Entre Las BBB y ZLU-02 0.00 1.30 1.30 0.90 157.00 La Union 1.30 5.30 4.00 0.00 18.00 5.30 10.20 4.90 0.00 39.00 10.20 28.20 18.00 0.01 19.00 28.20 33.20 5.00 0.08 34.00

0.00 33.20 33.20 0.05 30.00 33.20 61.20 28.00 0.07 12.00

Entre Las BBB y ZLU-03 0.00 50.80 50.80 0.00 9.00 La Union

La Union ZLU-04 0.00 14.00 14.00 0.55 56.07 14.00 40.00 26.00 0.00 17.62

La Union ZLU-05 6.00 19.00 13.00 0.06 22.62 19.00 37.00 18.00 0.11 136.33 37.00 44.00 7.00 0.00 41.57 44.00 60.00 16.00 0.00 9.00

6.00 44.00 38.00 0.08 79.97 6.00 60.00 54.00 0.05 58.94

La Union ZLU-06 0.00 15.00 15.00 0.02 21.40 15.00 22.00 7.00 0.29 99.14

La Union ZLU-07 4.00 26.60 22.60 0.40 89.00

La Union ZLU-08 0.00 12.00 12.00 0.04 38.33 18.50 31.00 12.50 0.00 26.00 >>

Quality Control Person

C.W. (Bill) Reed, B. Sc. Mineralogy, is acting as qualified person and has prepared the detail and review with respect to this news release.

About San Miguel

San Miguel is currently comprised of 16 concessions covering an estimated 6 kms strike of silver and gold mineralization. It is located in Chihuahua, Mexico and lies in the Guazapares mining district, part of the gold-silver belt of the Sierra Madre Occidental. Paramount signed an agreement in August 2005 with Amermin S.A. de CV, a subsidiary of Tara Gold Resources, to acquire a 70% interest in the San Miguel project.

About Paramount Gold

Paramount Gold Mining Corp. is a precious metals exploration and development company. It is management's objective to grow Paramount into a significant gold and precious metals producer by developing the San Miguel and Linda projects in Mexico and Peru, and the Andean Gold Alliance with TeckCominco in South America and by acquiring other advanced-stage projects and/or producing mines in the most prolific precious metal districts in the world. The Company trades on the OTC market under the symbol "PGDP" and on the Frankfurt Exchange under the symbol "P6G". For more information, please visit the Company's web site at: www.paramountgold.com (now available in the following languages: English, German, French, Spanish, and Mandarin).

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to market acceptance of new technologies or products, delays in testing and evaluation of products, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.