Wega Mining ASA Elects Not To Proceed With Second Investment Of Units

August 31, 2007

Tagish Lake Gold Corp., Richmond, B.C. (TSX-V: TLG) ("Tagish") announces that Wega Mining ASA has decided not to proceed with the proposed second tranche of the investment of C$8,000,000 in common share purchase units, as described in the Company's news release of June 26, 2007. Wega has determined, after review of the technical information, that Tagish's project does not meet the size and other investment criteria set by Wega.  Wega has advised that there were no significant issues with the legal and financial aspects of the Company or mineral resource estimates of the project.

While pursuing other sources of financing, the Company will continue work on the environmental assessment report to be filed this fall for permitting of production from the Skukum Creek deposit, and on the feasibility study currently being undertaken by Genivar.

In consideration of Wega's decision, the Company wi ll not proceed with the special meeting of  shareholders scheduled for Wednesday, September 5, 2007 at which shareholders were to consider a resolution approving the proposed private placement by Wega.

About Tagish Lake Gold Corp.
Tagish Lake Gold Corp. explores for and develops high grade gold-silver mineral deposits in the Yukon Territory of Canada. The Company is currently focused on its wholly owned, 178 km2 Skukum Mineral District located 80 km by road south of Whitehorse.  The Skukum Mineral District hosts the Skukum Creek gold-silver deposit and the Goddell Gully gold deposit, and has a currently defined measured plus indicated resource of 1,420,000 tonnes grading 6.8 g/t Au and 131 g/t Ag (MineTech International Ltd., 2007 Update), and the Mt. Skukum gold deposit.

FOR FURTHER INFORMATION, visit the Company's website at www.tagishgold.com, or contact:

Tagish Lake Gold Corp.    
Robert Rodger
investor@tagishgold.com
Tel:  604-273-6477
Fax: 604-273-6488 
www.tagishgold.com 

Renmark Financial Communications Inc.
Barbara Komorowski: bkomorowski@renmarkfinancial.com
John Boidman: jboidman@renmarkfinancial.com 
Tel.: (514) 939-3989
Fax: (514) 939-3717 
www.renmarkfinancial.com

Certain statements contained in this news release using the terms "may", "expects to", "projects", "estimates", "plans", and other terms denoting future possibilities, are forward-looking statements in respect to various issues including upcoming events based upon current expectations which involve risks and uncertainties that could cause actual outcomes and results to differ materially. The future conduct of the Company's business and the feasibility of its mineral exploration properties are dependent upon a number of factors and there can be no assurance that the Company will be able to conduct its operations as contemplate and the accuracy of these statements cannot be guaranteed as they are subject to a variety of risks that are beyond our ability to predict or control and which may cause actual results to differ materially from the projections or estimates contained herein.  The risks include, but are not limited to, the risks descr ibed in the above press release; those risks set out in the company's disclosure documents and its annual, quarterly and current reports; the fact that exploration activities seldom result in the discovery of a commercially viable mineral resource and are also significant amounts of capital to undertake and the other risks associated with start-up mineral exploration operations with insufficient liquidity, and no historical profitability.  The Company disclaims any obligation to revise any forward looking statements as a result of information received after the fact or regarding future events.

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