Don't Let Gammon and the Capital Gold Board Postpone or Adjourn the Capital Gold Shareholders Meeting

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VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 17, 2011) - Timmins Gold Corp. (TSX VENTURE:TMM) On March 15, 2011, Timmins announced that it had delivered an increased offer to the Capital Gold Board of Directors for the merger of Timmins Gold and Capital Gold. Under the increased offer, Capital Gold shareholders will now receive 2.27 Timmins Gold common shares and US$0.25 in cash for each share of Capital Gold common stock.


The increased offer provides Capital Gold shareholders with total consideration of US$5.79 per Capital Gold share and exceeds the value of the increased Gammon offer by US$0.42 (or 7.8%) per Capital Gold share, based on closing share prices on March 16, 2011. In addition, based on the volume-weighted average of the respective share prices for the last 60 trading days, Timmins' proposal has a value of US$5.80 per Capital Gold share and exceeds the value of the increased Gammon offer by US$0.36 per Capital Gold share, or about 4.3%.


Timmins also announced that it will amend the terms of its exchange offer, which has not yet commenced, for all of the outstanding shares of Capital Gold common stock to reflect the increased offer.



NO MATTER HOW YOU LOOK AT IT, TIMMINS' OFFER IS SUPERIOR



Gammon and the Capital Gold Board of Directors may seek to postpone or adjourn the Capital Gold shareholders meeting to prevent Capital Gold shareholders from voting against the Gammon deal. Don't allow Gammon and the Capital Gold Board to silence the shareholders! Capital Gold is your company, not theirs. Timmins has repeatedly raised concerns regarding the process by which the Capital Gold Board agreed to sell Capital Gold to Gammon, a process that Timmins believes favored Gammon over all other bidders. Postponing or adjourning the Capital Gold shareholders meeting would further demonstrate that the Capital Gold Board is determined to sell Capital Gold to Gammon, regardless of what Capital Gold shareholders think.



TIMMINS: THE BETTER DEAL - THE CHOICE IS CLEAR




PRESERVE YOUR RIGHT TO A BETTER DEAL



VOTE NOW AGAINST GAMMON


Timmins urges Capital Gold shareholders to preserve their right to receive the superior economic terms of Timmins' offer by voting AGAINST the Gammon deal on the GOLD proxy card. Shareholders who have previously voted for the Gammon deal on Capital Gold's white proxy card may obtain assistance in revoking or changing that vote by contacting Innisfree M&A Incorporated toll-free at 1-877-800-5182 (banks and brokers should call collect at 212-750-5833).



TIME IS SHORT AND YOUR VOTE IMPORTANT!



To ensure your vote is received before the meeting, please vote by telephone or via the Internet.


If you have any questions, or need assistance in voting your shares, please call our proxy solicitor, INNISFREE M&A INCORPORATED TOLL-FREE, at 1-877-800-5182.



Important Information



This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. This press release relates to a business combination transaction with Capital Gold proposed by Timmins Gold. This material is not a substitute for the prospectus/offer to exchange Timmins Gold has filed with the SEC regarding the exchange offer and will send or give to Capital Gold shareholders when the exchange offer is commenced or for any other document which Timmins Gold may file with the SEC and Canadian securities regulators and send to Timmins Gold or Capital Gold shareholders in connection with the exchange offer. INVESTORS AND SECURITY HOLDERS OF TIMMINS GOLD AND CAPITAL GOLD ARE URGED TO READ THE PROSPECTUS/OFFER TO EXCHANGE AND ANY OTHER DOCUMENTS FILED WITH THE SEC AND CANADIAN SECURITIES REGULATORS CAREFULLY IN THEIR ENTIRETY, BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT THE EXCHANGE OFFER. Such documents, as well as solicitation statements relating to the Consent Solicitation and the Proxy Solicitation, are available free of charge through the web site maintained by the SEC at >www.sedar.com, or by directing a request to Timmins Gold at Suite 520-609 Granville Street, Vancouver, BC, Canada V7Y-1G5 or at



About Timmins Gold



Focused in Mexico, Timmins Gold Corp. became a gold producer in April 2010 with the commencement of commercial production at its wholly owned San Francisco Mine in Sonora, Mexico. In addition, the Company has an extensive portfolio of gold projects in Mexico.




FOR FURTHER INFORMATION PLEASE CONTACT: Bruce Bragagnolo
Timmins Gold Corp.
CEO and Director
604-638-8980
bruce@timminsgold.com
http://www.timminsgold.com/">www.timminsgold.com
ORShareholders Call Toll-Free: 877-800-5182
Innisfree M&A Incorporated
Banks and Brokers Call Collect: 212-750-5833








Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.