THICK INTERVALS IN THE GAP BETWEEN THE PIE DE GALLO AND NORTHEAST ZONES

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TORONTO, March 1 /CNW/ - Galway Resources Ltd. (GWY: TSX-V) is pleased to announce assay results from six additional drill holes
from its diamond drill exploration program on the Company's California
property in Colombia. All six holes returned between three and five
intercepts of significant gold mineralization, half of the holes
intercepted over 90 meters of over 1 g/t gold, and all of the holes
returned silver mineralization as well. Galway's California property is
located adjacent to, and along strike to the southwest of Ventana's La
Bodega/La Mascota project, and three km to the southwest of Greystar's
Angostura project, which is also along strike. Galway's California
property is at lower elevations than both Ventana's La Bodega/La
Mascota and Greystar's Angostura projects, and is not subject to
development restrictions associated with Paramo legislation. Galway
also owns a previously-reported 360 meter-long fractional land position
within the main La Mascota mineralized structure (click here to view map, and for a more complete summary refer to Galway's December 15, 2010 press release). Ventana is in the midst of being acquired by AUX
Canada, a company owned by Mr. Eike Batista, for in excess of $1.5
billion in cash.


Four of the new holes Galway is reporting, GWY-82, GWY-84, GWY-85 and
GWY-87, were drilled in the gap area and from the same two drill pads
as the two discovery holes for this area, GWY-76 (16.5 meters grading 8.1 g/t gold) and GWY-79 (22.0 meters grading 1.2 g/t gold) (refer to Galway's February 9, 2011 press release). The holes being reported today confirm the presence of
thick intervals of gold mineralization located between the significant
results previously received for the Pie de Gallo and Northeast Zones.
This strongly enhances Galway's view that the Pie de Gallo and
Northeast Zones are actually part of the same continuous mineralized
structure that stretches at least 600 meters from Galway's common
border with Ventana to the southwest through the Pie de Gallo open pit.
This 600 meters doesn't include the San Celestino Zone where Galway has
also previously reported significant mineralization, such as 11.0 meters grading 9.9 g/t gold in GWY-22, 25.0 meters grading 3.6 g/t gold in GWY-26, 7.2 meters grading 7.6 g/t gold in GWY-23 and 40.5 meters grading 1.5 g/t gold in GWY-29, among others. If the Company is able to bridge the gap to
the San Celestino Zone, the continuous mineralized corridor could be
extended to 1.2 kilometers in length.


"We continue to be pleased with the successes achieved in our California
exploration program, and are encouraged by our ability to identify a
long, continuous corridor of strong, near-surface gold mineralization.
It is occurring at a time when we are about to embark on our Vetas
drilling program, which is set to begin within the next few weeks,"
cites Robert Hinchcliffe, President and CEO of Galway Resources.


Gap Area (between the Pie de Gallo and Northeast Zones) Highlights:




GWY-87



99.0 meters grading 1.3 grams per tonne gold (g/t Au) and 38.5 g/t
silver (Ag), including 19.0 meters of 3.0 g/t and 145.6 g/t Ag, which
also includes 6.0 meters of 5.9 g/t Au and 337.3 g/t Ag, plus 2.0
meters of 4.2 g/t Au, plus 2.0 meters of 3.5 g/t Au and 35.5 g/t Ag


22.5 meters grading 0.9 g/t Au and 31.2 g/t Ag, including 2.5 meters of
2.1 g/t Au and 83.7 g/t Ag


34.5 meters grading 0.7 g/t Au


4.0 meters grading 1.1 g/t Au and 42.5 g/t Ag





GWY-85



93.0 meters grading 1.5 g/t Au and 23.2 g/t Ag, including 10.0 meters of
3.7 g/t Au and 78.1 g/t Ag, plus 4.5 meters of 3.5 g/t Au and 17.2 g/t
Ag


2.0 meters grading 6.6 g/t Au


6.0 meters grading 1.0 g/t Au and 60.9 g/t Ag





GWY-84



39.0 meters grading 2.1 g/t Au, including 1.5 meters of 17.4 g/t Au and
1.5 meters of 9.5 g/t Au


12.0 meters grading 5.0 g/t Au, including 4.5 meters of 12.2 g/t Au,
which also includes 1.5 meters of 28.2 g/t Au


7.5 meters grading 5.4 g/t Au and 10.9 g/t Ag, including 1.5 meters of
22.9 g/t Au


18.4 meters grading 2.3 g/t Au and 10.4 g/t Ag, including 3.0 meters of
7.7 g/t Au and 32.7 g/t Ag


43.5 meters grading 0.8 g/t Au, including 15.0 meters of 1.1 g/t Au





GWY-82



2.0 meters grading 8.7 g/t Au


7.5 meters grading 1.6 g/t Au, including 1.5 meters of 5.1 g/t Au


7.0 meters grading 1.1 g/t Au and 12.4 g/t Ag


6.0 meters grading 0.8 g/t Au


4.5 meters grading 0.8 g/t Au and 11.8 g/t Ag



All maps and sections associated with this press release and a complete
summary of drill hole assay results provided in Table 1 can be found on
Galway's website . A 0.5 g/t Au lower cutoff grade was applied in determining all
intervals provided in this news release. No upper cutoff grade was
applied.


Two of the thickest intervals of gold mineralization being reported, 93.0 meters grading 1.5 g/t gold and 23.2 g/t silver in GWY-85 and 99.0 meters grading 1.3 g/t gold and 37.1 g/t silver in GWY-87, begin at surface and 72.0 meters downhole, respectively.
However, GWY-87 has two other thick mineralized intervals, including 22.5 meters grading 0.9 g/t gold and 31.2 g/t silver and 34.5 meters grading 0.7 g/t gold, with the 22.5 meter interval also starting at surface and the 34.5
meter interval starting 29.5 meters downhole (7.0 meters after the 22.5
meter interval). The mineralization in GWY-79, GWY-82, GWY-85 and
GWY-87 appear to correlate well with GWY-37, which contained 121.5 meters grading 2.7 g/t Au, GWY-58, which contained 96.0 meters grading 1.7 g/t Au, and GWY-55, which contained 70.0 meters grading 1.7 g/t Au plus 13.5 meters grading 2.3 g/t Au, amongst several others.


Mineralization encountered in GWY-76 and GWY-84 appears to correlate
well with intercepts reported for GWY-79, GWY-82, GWY-85 and GWY-87
located 65 meters to the northeast. The northern-most vein in hole
GWY-84 (12.0 meters grading 5.0 g/t) lines up with a high grade intercept in GWY-19, which returned 1.5 meters of 109.5 g/t gold and 42.5 g/t silver, and with the intercept
of 16.5 meters grading 8.1 g/t in GWY-76. The southern-most vein in hole GWY-84 (18.4 meters grading
2.3 g/t Au and 10.4 g/t Ag) lines up with the southern-most vein in
hole GWY-36 (46.7 meters of 0.5 g/t), located 140 meters to the
northeast. Both of these intervals terminated in mineralization, with
GWY-84 ending 348 meters below surface and GWY-36 ending 338 meters
below surface. This clearly indicates that, not only is Galway finding
significant gold mineralization beginning at surface, but that
exploration potential exists at depth as well. Mineralization in the
Northeast Zone has been identified from surface to a depth of 350
meters, over a strike length of 220 meters and a width of 135 meters.
Mineralization in the Northeast Zone remains open in all directions.




Pie de Gallo Zone Highlights:




GWY-86



15.7 meters grading 8.0 g/t Au, including 3.0 meters of 37.2 g/t Au


58.0 meters grading 1.6 g/t Au, including 6.0 meters of 6.7 g/t Au


16.0 meters grading 1.1 g/t Au


2.0 meters grading 6.0 g/t Au


2.0 meters grading 1.6 g/t Au and 91.9 g/t Ag





GWY-83



96.0 meters grading 1.1 g/t Au, including 4.0 meters of 11.1 g/t Au


28.0 meters grading 1.1 g/t Au, including 4.0 meters of 3.9 g/t Au


16.0 meters grading 1.1 g/t Au and 22.6 g/t Ag, including 2.0 meters of
4.7 g/t Au and 137.0 g/t Ag


7.5 meters grading 1.1 g/t Au and 31.7 g/t Ag


12.0 meters grading 0.7 g/t Au



GWY-86 and GWY-83 have multiple significantly mineralized intervals,
with the most noteworthy being 15.7 meters grading 8.0 g/t Au, including 3.0 meters of 37.2 g/t Au starting 15.8 meters downhole. Beginning 10.5 meters beyond the end of
that interval is another 58.0 meters grading 1.6 g/t Au, including 6.0 meters of 6.7 g/t Au.


The intercepts of 15.7 meters grading 8.0 g/t Au and 4.0 meters grading 11.1 g/t Au appear to correlate with strong results of 22.5 meters grading 7.8 g/t Au, 3.0 meters grading 50.0 g/t Au, 36.0
meters grading 1.7 g/t Au and 15.5 meters grading 3.8 g/t Au in holes GWY-74, GWY-52, GWY-3 and GWY-46, respectively. GWY-83 intercepted 28.0 meters and 16.0 meters grading 1.1 g/t Au that
appears to correlate with the strong gold mineralization encountered in
GWY-81, which returned 4.0 meters grading 176.2 g/t Au and 15.0 meters grading 3.2 g/t Au. This interpretation uses the same steep north dip exhibited across the
Camp.


Drill holes completed in the Pie de Gallo Zone were drilled generally at
25 to 30 meter centers. These holes continue to extend continuity of
mineralization both vertically and laterally along structure in
multiple overlapping lenses typical of the district. Drilling in the
Pie de Gallo Zone to date demonstrates mineralization along a 270 meter
strike length beginning from surface to a depth of 350 meters.
Mineralization in the Pie de Gallo Zone remains open in all directions.


Mineralization



Intercepts reported above and in previously reported drill holes are
hosted by silicified zones, breccias, fracture zones and stockwork,
typical of the district, which includes Greystar Resources' and Ventana
Gold's National Instrument 43-101 compliant resources, Angostura and La
Bodega, respectively. The principal geologic control in the
California-Angostura District is a linear structural corridor that
trends northeast-southwest and dips steeply to the north. Segments of
this zone host the resources reported by both Greystar and Ventana, and
Galway is exploring another segment along the same structural corridor.
The entire corridor may be one continuous mineralized zone through all
three properties. The mineralized Zone identified on Galway's
properties to date is approximately 150-200 meters wide and 1,000
meters long, characterized by hydrothermal alteration and
mineralization within various phases of pervasively altered intrusive
porphyries. Mineralization remains open along strike where untested, at
depth along the entire Zone, and across the width of the structure in
most places. Galway believes potential for high grade gold occurrences
as well as lower grade bulk resources has been demonstrated by the
first 87 core holes drilled to date


Vetas


Galway, in consultation with its legal counselors and financial
advisors, is continuing to work toward the previously announced (refer
to the December 16, 2010 press release) spin-out of its Vetas gold project into a newly
incorporated, wholly-owned subsidiary to be distributed to shareholders
on a pro rata basis. The Company expects to be able to report progress
on this Spin-Out Transaction later this month. Galway is also focused
on providing a summary of all work completed to date on the Vetas
project in the next several days.


Property Terms


Galway Resources has amended the terms of the agreements for the land
package in the California-Vetas gold region in Santander, Colombia,
which consists of 561 hectares in California and 541 hectares in Vetas
as announced in a news release dated May 25, 2010. Under the terms of
the amended agreements for the California-Vetas contracts, the Company
will pay a combined total of $2.6 million and 2.7 million shares of
Galway Resources stock.


Review by Qualified Person, Quality Control and Reports


In compliance with National Instrument 43-101, Mr. Mike Sutton, P.Geo.
is the Qualified Person responsible for the accuracy of this news
release. All samples are assayed by ALS Chemex in Lima, Peru, after
preparation at the Chemex facility in Bogota, Colombia. All core is
under watch from the drill site to the core processing facility.
Samples are fire assayed with an AA with gravimetric finish. Samples
returning in excess of 3.0 g/t are sent for metallic screens. The
Company's QA/QC program includes the regular insertion of blanks and
standards into the sample shipments, as well as instructions for
duplication. Standards are inserted at one per 20 samples.
Approximately five percent (5%) of the pulps and rejects are sent for
check assaying at a second lab with the results averaged and
intersections updated when received. True widths are unknown at this
time, except for those shown. Core recovery in the mineralized zones
has averaged over 92%.


About the Company


Galway Resources is a well capitalized company, primarily focused on the
exploration of gold and coal in Colombia. The core focus of the Company
is gold exploration in northeast Colombia, with a drill program
occurring at the California gold project and a geophysical program
being undertaken at the Vetas gold project, which will be followed by a
drill program later this month. The Company has also reported that
drilling occurred in 2010 at the GALCA coal project, which is being
managed and funded by Prodeco, the Colombian subsidiary of Glencore.
Efforts are underway to secure access from GALCA property owners to
move the drill rig to the next set of planned drill sites.


Neither the 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.


Forward Looking Statements:


Forward-Looking Statements: Statements in this release that are
forward-looking statements are subject to various risks and
uncertainties concerning the specific factors disclosed under the
heading "Risk Factors" and elsewhere in the Company's periodic filings
with Canadian Securities Regulators. Such information contained herein
represents management's best judgment as of the date hereof based on
information currently available. The Company does not assume the
obligation to update any forward-looking statement.




For further information:

Galway Resources Ltd. Robert Hinchcliffe President and Director 1-800-475-2412 http://www.galwayresources.com/">www.galwayresources.com