Article: Apollo Gold Announces Entry into Letter of Intent to Sell Montana Tunnels Mining, Inc.

Apollo Gold Corporation ("Apollo") (TSX: APG) (NYSE Amex: AGT) is pleased to announce that it has entered into a letter of intent with Elkhorn Goldfields LLC ("Elkhorn") pursuant to which Elkhorn has agreed to purchase all the outstanding capital stock in Montana Tunnels Mining, Inc., an indirect wholly owned subsidiary of Apollo ("Montana Tunnels"), which includes the 50% interest held by Montana Tunnels in the joint venture agreement with Elkhorn Tunnels, LLC (an affiliate of Elkhorn), the Diamond Hill mine and mill and any and all ancillary assets for a purchase price of US$9 million, payable as described below. The Montana Tunnels mine has been on care and maintenance ...

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