Dynacor Gold Mines: Tumipampa Drilling Campaign is Underway

Dynacor Gold Mines Inc. is pleased to announce that on Saturday the 15th of January, 2011 the Company commenced Phase 1 of its 2011 drilling campaign consisting of 16,700 meters of drilling of its 100% owned Tumipampa property located in southern Peru. This property is host to a Cu-Au (copper-gold) mineralized skarn deposit as well as vein and disseminated gold mineralization (for baseline data and the geological context see Press Release dated November 18, 2010) and is found in the heart of the Andahualas-Yauri formation where many world class mines and Cu-porphyries and polymetallic skarn deposits have been discovered such as Tintaya, Antapacay, Las Bambas, Los Chancas, Haquira and Constancia.

The objective of the drilling campaign is to focus on the 4.1 km by 1.2 km skarn ore deposit in order to determine the depth of mineralization and to verify the high-grade gold and copper mineralization reported in surface channel samples (see Press Releases dated January 27, 2010 and August 11 2009). Three to four drill holes will target each of the 4 anomalous mineralized zones that have been identified by the surface geological studies.

During Phase 1 a total of 14 holes will be drilled to depths of between 300 to 600 meters with first results expected early March 2011. The company has built 5 km of access roads to the drilling site and a first group of 3 drilling platforms have been excavated. Initial drilling will be done in anomalous zone 2 of the skarn. Subsequent drill results will be released on a regular basis as they become available. With success of the drilling results, management may consider deploying an additional diamond drilling rig to Tumipampa.

The Company expects to release shortly some further results of channel surface samples taken on the skarn deposit and gold rich veins on the Tumipampa property during Q3 and Q4 2010.

This Press Release has been read and approved by Alonso Sanchez, P. Eng. and Chief Geologist for Dynacor. He acts as the qualified person (“QP”) for the Company and is a geologist affiliated to the American Institute of Professional Geologists (AIPG).