Source: Entrée Gold Inc.                      Date: 02 July, 2010

Entrée Gold Inc. has completed its acquisition of all issued shares and options of PacMag Metals Limited, after all regulatory and administrative matters were addressed and the transaction closed as of June 30. "I wish to welcome the shareholders of PacMag to Entree and hope they continue to be part of Entrée's growth story. Growth will be fueled by the advancement of its world-class deposits in Mongolia, assisted by the company's partners Rio Tinto and Ivanhoe Mines. Entree will also strive to add value to its other holdings worldwide," said Mr. Greg Crowe, President and CEO of Entrée Gold.

Entrée Gold is a Canadian mineral exploration company focused on the worldwide exploration and development of copper and gold prospects. Its flagship property is in Mongolia, where it holds two mining licenses (Shivee Tolgoi and Javhlant) and one exploration license (Togoot).

Rio Tinto and Ivanhoe Mines are major shareholders of Entrée, holding approximately 13% and 12% of issued and outstanding shares, respectively.