July 3, 2003

Vancouver, British Columbia - Midway Gold Corp. ("Midway") is pleased to announce that it has signed a Letter of Intent to acquire an option to earn a 100% interest in the Spring Valley, Nevada, property (the "Spring Valley Property").

The Spring Valley Property is located in Pershing County, approximately 100 miles east of Reno and three miles from the Rochester silver-gold mine that has produced more than 1 million ounces of gold.

The Spring Valley Property hosts a buried vein-stockwork gold system hosted in Permo-Triassic Rochester Formation rhyolite beneath 50 to 200 feet of alluvial cover.

Approximately 100,000 ounces of placer gold has been historically recovered from Spring Creek, which transects the Spring Valley Property.

Exploration on the Spring Valley Property by Kennecott Exploration, Ltd., and more recently, Echo Bay Exploration, Inc., has identified several mineralized intervals within the rhyolite volcanic and volcaniclastic assemblage.

To date, a total of 23 reverse circulation (RC) and two core holes have been completed on the Spring Valley Property.

The following table outlines significant drill intersections of these drill campaigns.

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Preliminary metallurgical testwork on seven RC drill cutting composites collected over 25 foot intervals indicate gold recoveries of 75 to 95 per cent. Due to the coarse nature of gold at Spring Valley, metallic screen preparation of samples is required to provide representative analyses.

Letter of Intent

Under the terms of the Letter of Intent, Midway has agreed to pay the owner of the Spring Valley Property US$75,000, US$25,000, of which is to be paid immediately, and the remainder of US$50,000 is payable on the earlier of August 15, 2003, or the signing of the definitive option agreement.

Under the Letter of Intent, Midway is required to maintain the mineral claims on the Spring Valley Property in good standing and to make the following option payments and incur minimum expenditures as follows:

Option Payment Expenditures On or Before

US$100,000 US$150,000 1st Anniversary Date US$100,000 US$150,000 2nd Anniversary Date US$200,000 US$150,000 3rd Anniversary Date US$3,000,000 US$150,000 4th Anniversary Date

"Anniversary Date" is the anniversary date of entering into the definitive option agreement.

Midway has the option to make the final option payment of US$3,000,000 at any time.

Upon making such final payment, Midway will acquire an undivided 100% interest in the Spring Valley Property, subject only to the owner's royalty on net smelter returns, payable on commercial production over 500,000 ounces.

The royalty is on a sliding scale increasing from 2% to 7% with world gold prices.

The acquisition of the option is subject to the results of Midway's due diligence review and the conclusion of a definitive option agreement.

Midway Property Permitting Continues

On the Midway Property, located in Nye County, Nevada, permitting of a Plan of Operations with the Bureau of Land Management is progressing.

Once approved, the Plan will allow for up to 600 additional holes for definition of the main Discovery Zone and test for continuity of gold mineralization outward from the three identified zones.

Geological modeling of the deposit is ongoing and will assist with drill hole placement to further define the zones of mineralization.

Drilling will recommence once final approval of the plan is received. Newmont USA Limited, a subsidiary of Newmont Mining Corporation (NYSE: NEM) ("Newmont"), is the joint venture partner and manager of the Midway project.

Expiry of 1,134,500 Warrants

The one year, $1.55 warrants of the Company, will expire on July 5, 2003.

As this is a Saturday, Midway will accept exercise forms in respect of these warrants until close of business on Monday, July 7, 2003.

The procedure for exercising the warrants is described in the warrant certificate provided to each subscriber at the time of issuance.

Exploration activities at Spring Valley Property and Midway Property are being conducted by Global Geological Consultants, Ltd., under the supervision of Geoffrey Goodall, P.Geo.

Midway Gold Corp. is a mineral exploration company, listed as a Tier 1 issuer on the TSX Venture Exchange under the symbol "MDW."

For full details of the Midway and Spring Valley Gold Projects, please visit the Company's website at http://www.midwaygold.com.

On Behalf of the Board

Brian J. McAlister, President

For further information:

Midway Gold Corp.

James West at 1-800-971-6463

http://www.midwaygold.com

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