TYHEE GOLD CORP MOVES CLOSER TO PRODUCTION WITH COMPLETION OF THE ENVIRONMENTAL ASSESSMENT REPORT FOR ITS WHOLLY-OWNED YELLOWKNIFE GOLD PROJECT, NWT CANADA.

VANCOUVER, May 11 /CNW/ --
TSX Venture: TDC

VANCOUVER, May 11 /CNW/ - Tyhee Gold Corp. (TSX Venture, TDC) (the
'Company'), a late stage development company, is pleased to announce
that it has reached a major milestone by filing its environmental
assessment report with the Mackenzie Valley Environmental Impact
Review  (MVEIRB) in the Northwest Territories.

'The environmental assessment report, referred to as the Developers
Assessment Report (DAR) in the Northwest Territories, incorporates the
results of detailed studies related to the pre-production,
construction, operation and closure phases of the Yellowknife Gold
Project and assesses its potential environmental and socio-economic
impacts.  The DAR follows both biophysical and engineering studies
previously completed and submitted to the Mackenzie Valley Land and
Water Board (MVLWB) with permit applications in July 2008.

'Tyhee's Developers Assessment Report concludes that any potential
impacts related to the development and operation of the Yellowknife
Gold Project can be sufficiently managed and minimized by Tyhee NWT
Corp (a wholly-owned subsidiary of Tyhee Gold Corp), implementing
appropriate mitigation programs during all phases of the Yellowknife
Gold Project, including mine closure' said Hugh R. Wilson, Vice
President - Environment and Community Affairs, Tyhee NWT Corp.

Dave Webb, President and CEO of Tyhee Gold Corp added 'the submission of
the DAR is a significant milestone in the overall development of the
Yellowknife Gold Project and sets in motion the environmental
assessment process within the timelines set out by the MVEIRB.  It
represents the culmination of baseline studies, data collection,
laboratory analyses, heritage, water, air, wildlife, botanical and
socio-economic studies, some of which were initiated six years ago,
completed by EBA Engineering Consultants Ltd. and incorporating the
services of more than a dozen contributing authors.  Tyhee has invested
over $3 million to complete this study which was filed to support its
application to build and operate a 3,000 tpd open pit and underground
mine with a conventional mill complex at its Yellowknife Gold Project.'

The Yellowknife Gold Project, once built, will be the first new gold
mine in the NWT in over 20 years and will generate positive economic
benefits for both the NWT and Canada.  In addition, the Yellowknife
Gold Project will employ about 325 workers during the construction and
operational phases of the project and will provide significant business
opportunities for northern aboriginal businesses.

The MVEIRB will now carry out a review to ensure that it conforms to
their Terms of Reference.  After confirming that the DAR conforms to
the Terms of Reference, the MVEIRB will distribute the DAR to various
government agencies, affected communities and other interested parties
for comment.

Following this review by interested parties, the MVEIRB will advise
Tyhee of any additional information requests, schedule technical
meetings and a pre-hearing conference which will lead to a public
hearing that will provide the information that the MVEIRB requires to
prepare its report.  The MVEIRB report will be forwarded to the
Minister of Indian and Northern Affairs for approval.  Following
Ministerial approval, the Regulatory process to obtain the operating
water licence and land use permits will be undertaken by the MVLWB.
After the MVLWB public hearings, Tyhee should receive its water licence
and land use permits to allow for the construction and operation of the
YGP.

'Tyhee NWT Corp personnel look forward to working in a timely manner
with the MVEIRB during the environmental assessment process and also
with the MVLWB in the following regulatory phase of the process.' said
Hugh R. Wilson.

Coinciding with the MVEIRB and MVLWB process, Tyhee NWT Corp will be
discussing the tailings alternative assessment for the Yellowknife Gold
Project with the Department of Fisheries and Oceans and with
Environment Canada to gain approval to use Winter Lake as a tailings
containment area pursuant to Schedule II of the Metal Mining Effluent Regulations.

'Tyhee NWT Corp personnel will move forward with more detailed
discussions with the affected First Nations groups to further enhance
their participation in the Yellowknife Gold Project through employment,
training and business opportunities.  This will benefit the affected
First Nations and develop a sustainable source of trained employees and
reliable business partners' said Hugh R. Wilson, Vice President-
Environment and Community Affairs.

Tyhee Gold Corp. is actively moving its wholly-owned Yellowknife Gold
Project towards production with a defined resource of 2 million ounces
of gold in its Measured and Indicated categories in part including a
Proven and Probable Reserve of over 800,000 ounces of gold.  A positive
Preliminary Feasibility Study, assuming a gold price of US$950 per
ounce has been completed (see www.sedar.com or www.tyhee.com (July 2010).  Using more current gold prices (US$1450) the project, as
reported in July 2010, has a discounted (5%) NPV of $437 million.
Further work on resource and reserve expansion, and mine and mill
optimization continues in advance of a Feasibility Study.  All gold
resources are open for expansion at depth, some are open for expansion
along strike, and additional zones continue to be delineated.

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.

This news release contains 'forward-looking statements' within the
meaning of applicable securities laws, including statements relating to
proposed or anticipated work programs and anticipated timing of permit
applications. Readers are cautioned not to place undue reliance on
forward-looking statements. Actual results and developments may differ
materially from those contemplated by these statements.  Factors which
may lead the company to not proceed with anticipated work programs or
to delay permit applications include factors such as analysis of the
exploration results may lead to a determination that further
exploration is not warranted, insufficient funding, delays as a result
of early or late onset of winter conditions, availability of personnel
and equipment to conduct work programs, permit reviews, information
requests and other factors not within the Company's control.  The
factors identified above are not intended to represent a complete list
of the factors that could affect the Company. Although the Company has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended. There can be no assurance that forward-looking statements
will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. The
Company does not undertake to update forward-looking statements, except
where required by law.  Readers should not place undue reliance on
forward-looking statements.

To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/May2011/11/c3433.html