MLYF Western Magnesium Corporation (CE)

Molycor Gold Corp. (TSX VENTURE: MOR)(PINK SHEETS: MLYFF)(FRANKFURT: M1V) ("Molycor" or the "Company") is pleased to announce that the Non-Brokered Private Placement originally announced on August 29, 2011 has been over-subscribed. The Private Placement now consists of a total of 3,975,000 units at a price of $0.06 per unit ("Units") for aggregate proceeds of $238,500.

This private placement has been fully subscribed.

Each Unit is comprised of one common share in the capital of the Company (a "Share") plus a two year share purchase warrant (a "Warrant"). Each Warrant entitles the holder to purchase one common share at a price of $0.12 for two years from the date of issue. All of the securities issued pursuant to this offering will have a hold period expiring four months after the closing date.

This Private Placement remains subject to the acceptance of the TSX Venture Exchange (the "TSX") and finders' fees may be payable in accordance with the policies of the TSX.

The proceeds of the private placement will be used for general working capital.

About Molycor Gold Corp.:

Molycor is a diversified precious, speciality and base metal exploration and development company focusing on magnesium, molybdenum and gold exploration and development in North America.

On Behalf of Management

Larry W. Reaugh, Chief Executive Officer

For all Molycor Gold Corp. investor relations needs, investors are asked to visit the Molycor Gold Corp. website at www.molycor.com.

This news release may contain certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the TSX Venture Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contacts: Molycor Gold Corp. Larry W. Reaugh Chief Executive Officer 604-531-9639 604-531-9634 (FAX) info@molycor.com www.molycor.com