Nouveau Monde Graphite Inc. press release

Paramount Gold Signs Agreement for 100% of the Cotaruse Property in Southern Peru

2007-04-19

TSX - Toronto Stock Exchange · Graphite · Canada

LIMA, PERU, April 19 /CNW/ - Paramount Gold Mining Corp. (OTC:PGDP)(Frankfurt:P6G, WKN:A0HGKQ) and its Peruvian subsidiary, Compania Minera Paramount SAC, have concluded their due diligence and are pleased to announce the signing of a definitive agreement to acquire a 100% interest in the Cotaruse property, located in the Department of Apurimac, Southern Peru.

The project consists of a 1,000 hectare mining concession with main infrastructures in place, including highway, electricity and water, which are readily accessible within 5 kms of the center of the property.

Alain Vachon, Manager of Exploration in South America, comments, "I am very pleased to have come to an agreement to acquire the Cotaruse property, which has the potential to host a bulk tonnage open pit Cu + Ag +/-Au skarn deposit. We are about to commence our exploration program that will consist of detailed mapping, sampling and geophysics (MAG + IP) which will provide us with the technical information we require to drill the target."

As stated in a press release dated February 1st, 2007, (http://www.paramountgold.com/News/2007/02-01-2007.asp).

Paramount Gold has thus far identified four distinct mineralized areas on the property that could be forming one single mineralized zone, taking into account the effect of overburden cover and sparse sampling completed to date. Copper mineralization is primarily composed of Cu-oxide, chalcopyrite, malachite, chalcocite and azurite. The mineralization appears to be strongest nearest the granite contact and weaker to the southwest closer to the core of the fold. Based on a compilation of 129 samples taken in 2004 by the previous owner and 24 samples collected by Paramount, the mineralized zones yielded the following average grades:

Zone 1 - The Northeast Zone; 2.56% Cu, 20 g/t Ag and 0.12 g/t Au

Zone 2 - The Southern Zone; 1.15% Cu, 9.7 g/t Ag and 0.06 g/t Au

Zone 3 - The South Center Zone; 1.06% Cu, 5.7 g/t Ag and 0.095 g/t Au

Zone 4 - The West Zone; 0.35% Cu, 3.18 g/t Ag and 0.8 g/t Au

In order to acquire a 100% interest, Paramount will pay the owner, an aggregate amount totaling US$3,000,000 and will incur exploration expenditures of US$2,000,000 over a period of 4 years. The first year's payment is US$150,000, followed by payments of US$750,000 in year two, US$800,000 at the end of year three and US$1,300,000 at the end of year four. The owner will also receive a 2.5% NSR of which 1.5% can be bought back at any time by Paramount for a lump sum payment of US$ 2,000,000.

Quality Control Person

Alain Vachon, P.Eng., Manger of Exploration, South America, is acting as the qualified person and has prepared the detail and review with respect to this news release.

About Paramount Gold

Paramount Gold is a precious metals exploration company quoted on the OTCBB under the symbol PGDP and listed on the Frankfurt Stock Exchange under the symbol P6G (WKN: A0HGKQ). The Company's objectives are to explore and develop the San Miguel project, located in Chihuahua, Mexico within the Sierra Madre Occidental gold/silver belt and fully develop the potential of the strategic alliance with Teck Cominco for gold exploration in South America. 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 commencement of drilling operations, concentration in mineral deposits, delays in testing and evaluation of ore samples, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.