Magino Drilling Update: 149 Metres Grading 1.24 gpt Gold in Central Zone; High Grade in Southwest Extension: 5 Metres Grading 9.42 gpt Gold

Vancouver, British Columbia, March 20, 2012 – Prodigy Gold Incorporated (PDG: TSX.V; "Prodigy" or "the company") is pleased to announce results from 10,724 metres of diamond drilling completed at the Magino Mine gold project since January, 2012. The results are from four distinct target areas: 1) Resource definition drilling in the central portion of the Magino gold deposit, 2) resource expansion drilling in the Southwest extension of the Magino gold deposit, 3) exploration drilling in the Lovell Lake area and 4) condemnation drilling to facilitate identifying specific sites for future mine infrastructure.

1. Resource Definition Drilling: Prodigy has completed eleven resource definition drill holes (2,596 metres) in the central portion of the Magino gold deposit. Highlights include 149.4 metres grading 1.24 gpt gold in drill hole MA12-246 and 121.5 metres grading 1.05 gpt gold in drill hole MA12-245. Most of these initial definition holes are shallow and target the margins of deposit in areas previously modeled as inferred resources (please see technical report dated November 2, 2011; filed on SEDAR and available on Prodigy's web site). These eleven holes are reducing the drill hole spacing in specific parts of the deposit in order to increase drill hole density in anticipation of updating the gold resource prior to completing a bankable feasibility study for the project. Results to date are very encouraging, a complete table of resource definition drilling results and a drill hole location map are shown below.

2. Southwest Extension Resource Expansion Drilling: Prodigy completed eleven drill holes (3,505 metres) in the Southwest portion of the Magino gold deposit, seeking to expand the known gold resource and more accurately define previously unclassified gold mineralized zones. This drilling, when combined with previously released drill results from the Southwest extension, has identified significant areas of new gold mineralization at depth and along strike within the gold system. The drilling also continues to identify high grade gold zones within the broader lower grade gold halo: 5.0 metres grading 9.42 gpt gold in MA12-218 and 6.0 metres grading 6.24 gpt gold in MA12-210. Expansion of the proposed open pit into the Southwest area could potentially capture the newly identified low grade gold mineralization and also allow the mining of the shallow high grade gold zones by open pit methods. Exploiting the higher grade gold mineralization utilizing low cost open pit mining vs. high cost underground methods can positively impact project economics. A complete table of Southwest extension drill results and a drill hole location map are shown below

3. Lovell Lake Exploration Drilling: Prodigy also completed 15 exploration drill holes (2,511 metres) in the Lovell Lake area, located about 500 metres west of the Magino gold deposit. Previously announced drill results from the Lovell Lake area indicated that a low grade gold system was present, hosted by granodiorite in a geologic setting similar to the main Magino gold deposit. These fifteen drill holes confirm the presence of widespread gold mineralization at Lovell Lake, for example: 77.0 metres grading 0.52 gpt gold including 4.0 metres grading 4.73 gpt gold in drill hole MA12-225. Overall gold grades at Lovell Lake appear to be slightly lower than at Magino, averaging about 0.7 gpt gold, however the shallow nature of the gold system, with a low potential strip ratio, suggests the gold system at Lovell Lake could add to the overall project gold resources at Magino. A complete table of Lovell Lake drill results and a drill hole location map are shown below.

The drill results reported herein are part of a previously announced 60,000 metre diamond drilling program at Magino. Prodigy is accelerating the pace of the drilling program and hopes to have eight rigs operating on the property shortly. Brian J. Maher, President and CEO of Prodigy Gold commented: "The company is very pleased with the latest Magino drill results. As the Magino gold deposit continues to grow, we will add additional drill capacity to accelerate the progress of the gold resource definition and expansion drilling. Prodigy is seeking to identify the ultimate size and scale of the Magino gold resource in anticipation of settling on final design criteria to be utilized in the upcoming bankable feasibility study. Completing this drilling program will allow us to select the proper process plant capacity and mining fleet size to optimize project economics."

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About Prodigy Gold: Prodigy Gold Inc. (PDG: TSX.V) is currently evaluating the development of the Magino mine gold project in Ontario as an open-pit mining opportunity with the potential for deeper, higher grade gold production. The Magino project contains Indicated gold resources of 2,176,000 ounces grading 1.00 gpt gold (67.6 million tonnes), and 1,721,000 ounces of Inferred gold resources grading 0.99 gpt gold (54.2 million tonnes) at a cut off grade of 0.35 gpt gold. A Preliminary Economic Assessment (PEA) shows a pre-tax NPV of $939 million and an IRR of 36% using a 5% discount rate for the project (see Press Release dated December 22, 2011 and technical report available on SEDAR or Prodigy's web site). The proposed operation would have total gold production of 2,614,000 ounces and an average annual gold output of 249,300 ounces a year during an eleven year project life. Please note: mineral resources that are not mineral reserves do not have demonstrated economic viability. The PEA is preliminary in nature and includes Inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that the preliminary assessment will be realized.

A full feasibility study for the proposed open pit mining project at Magino is scheduled for completion in 2012. Bringing the Magino mine project through the feasibility process and towards production, is a catalyst to growing Prodigy Gold and building substantial value for Prodigy shareholders: Today's Discovery, Tomorrow's Future.

All scientific and technical information for the Magino project has been reviewed and approved by Tom Pollock, P.Geo., Prodigy Gold’s Vice President – Exploration, who is a qualified person under the definitions established by National Instrument 43-101. Drill core at Magino is boxed, covered, and sealed at the drill rig and moved to the Prodigy logging and sample preparation facilities by Prodigy Gold personnel. The core is then split down the centre using a typical table fed circular rock saw normally at one metre intervals. One half of the core is sent for assay to Actlabs, 33 Iroquois Road, Timmins, ON, P4N 7C5, while the other half is returned to the core box and stored at Prodigy’s sampling facility in a secure, fenced off, area. Prodigy QA/QC procedures include the regular use of blanks, standards and duplicate samples in addition to sending 10% of the samples off to a second lab for check assays. Samples assaying > 3.0 gpt gold are automatically re-assayed by the metallic screen method. Gold assays greater than 40 gpt are capped at 40 gpt when calculating composite intervals in drill holes. Drill holes are directed as much as possible perpendicular to the strike and dip of the mineralization at Magino. As a rough estimate the true thickness of the above intercepts is approximately 76%.

On behalf of the Board of Directors
Brian J. Maher
President and Chief Executive Officer

FOR FURTHER INFORMATION, PLEASE CONTACT:
Prodigy Gold Incorporated
Email: ir@prodigygold.com
Website: www.prodigygold.com
tel.: 1-604-688-9006 Fax: 1-604-688-9029