Gold American Mining Corp. Begins Drilling at Guadalupe Property

Gold American Mining Corp. announce that drilling operations at its Guadalupe Property (Zacatecas, Mexico) are now underway.

Operations commenced late on Thursday, October 7, 2010. The first drill hole is targeting the down dip extension of the San Antonio vein and is currently at a depth of 230 meters. The planned target depth for the first hole is 500 meters and is expected to reach final depth in two weeks. The first set of assay results of the drilling is expected in 4 to 6 weeks.

As announced in our September 20th news release, the primary goal of this 2,500-meters drill program is to test the down dip extensions of the at least 6 veins that have been identified to date on the property. The secondary goal is to test the strong geophysical targets generated from the recently completed geophysics program that was successful in identifying several significant chargeability and magnetic susceptibility anomalies occurring at depth. Please refer to Projects Section on our website at www.gold-american.com for further information on our drilling program.

“We have begun drilling the first of six planned drill holes and its progress has so far been excellent, with an average drilling rate greater than 60 meters per day,” commented Mr. Johannes Petersen, Gold American’s CEO. “We are very pleased to see the drilling program commence on time and look forward with anticipation to the assay results which will begin to reveal what the Guadalupe Property contains as a silver-gold resource,” added Mr. Petersen.

Drilling is being performed by Tecmin S.A. de C.V. — a drilling contractor located in the Fresnillo area who has unparalleled experience in the region as they have done a majority of the drilling for Fresnillo, plc and have also worked for Fresnillo, plc and Mag Silver at the Juanacipio Joint Venture, located only 6.8 miles from the Guadalupe Property, where they drilled holes to a depth greater than 900 meters. Samples from the Guadalupe property will be prepared and analyzed by Stewart Labs in their facilities in Zacatecas, Mexico and Kamloops, Canada, respectively.