September 21, 2011, Toronto, Ontario, Canada – Escape Gold Inc. (TSX-V: EGT) (the “Company”) is pleased to announce the completion of the helicopter-borne geophysical survey at the KAN gold project, located in Nunavik Territory, northern Quebec. Geotech Ltd. of Aurora, Ontario was contracted to conduct a proprietary VTEM, Versatile Time-Domain Electromagnetic survey covering 1029 line kilometres over prospective iron formation targets. Geotech is in the process of interpreting the VTEM survey results and the information will be used to help identify targets for the initial drill program.

Ferricrete Ridge

The 2011 field season was designed to follow up on the iron formation hosted gold targets first identified by Kennecott Canada Inc. (“Kennecott”) in the 1990’s. Kennecott discovered quartz vein hosted gold mineralization cross cutting iron formations at the Ferricrete Ridge. The Ferricrete vein reported historic surface channel assays of up to 280.8 g/t gold over 0.30m and 143.4 g/t gold over 0.40m. This summer, the Company prospected the Ferricrete gold mineralization to evaluate the extent of the known mineralization and channel sampled 18.3 g/t gold over 2.4m across the main Ferricrete vein. Another 0.8m channel sample over the main quartz vein returned 1.31g/t gold and a separate grab sample approximately 10m west from the western end of the surface expression of the Ferricrete vein assayed 20.3 g/t gold within silicified iron formation. Continued prospecting north of the Ferricrete resulted in the staking of additional claims covering prospective iron formations and one new showing assayed 4.48 g/t gold
from a 0.15m quartz vein in iron formation approximately 3.4 km north of the Ferricrete Ridge. The occurrence of gold mineralization in both the silicate and carbonate facies of the iron formation is an encouraging result and will aid in expanding the target potential at the KAN gold project.

Pump Pad Ridge

As previously announced (September 14, 2011) the Company discovered a new gold showing labelled “KTR2”. The KTR2 showing is located on a prominent topographic high called the Pump Pad Ridge and is located about 1.2 km north-west of the original KAN base metal showing. The KTR2 showing located on the Pump Pad Ridge shows that gold mineralization is associated with intense North-South trending quartz-ankerite veinlets and stockworks located within folded carbonate facies iron formation. Assays have been received for two complete continuous East-West channel samples. The longest of the channels returned 11.44 meters of 2.98 g/t Au and second shorter channel was continued 5 metres to the south of the 11.44 metre gold section and returned 2.45 metres of 3.77 g/t Au. The combined width and grade of channel samples averaged 3.12 g/t Au over 13.89 metres. Further sampling results immediately east and northeast of the showing are pending and is expected to increase the overall length of the mineralization.

Geological compilation of the KAN 2011 exploration results is ongoing and the final results will be incorporated into the initial NI 43-101 technical report on the KAN Gold project.

The Labrador Trough is well known for its world class iron deposits and numerous base metal and nickel occurrences. These new gold showings add to the innovative conceptual geological model of potential bulk mineable gold mineralization hosted in iron formation within the Labrador Trough, Quebec.

The KAN gold project has been expanded into a regional exploration program covering over 34 kilometres of prospective stratigraphy.

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Escape Gold Inc. is a Canadian exploration company exploring for precious metals in Canada and Peru. The Rio Silver projects in Peru will be the focus of the upcoming Fall exploration program.

QA/QC protocols:

A strict quality assurance/quality control program was applied to all samples, which includes mineralized standards and blank samples for each batch of 20 to 30 samples. All samples were sent to ALS Chemex in Val d’Or, Quebec, an accredited commercial laboratory. The gold analyses were completed by fire assay with an atomic absorption finish on 30 grams of material.

T. John Magee, P.Geo., President and CEO of the Company is the Qualified Person who has reviewed and is responsible for the technical data contained in this news release.

ON BEHALF OF THE BOARD OF DIRECTORS OF ESCAPE GOLD INC.

T. John Magee
Director

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward-looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements.

For more information contact:
T. John Magee, President and CEO
Website: www.escapegold.com, Tel: (416) 479-9546