Maxy Gold Corp.: Lara Exploration Transaction Update

  MAXY GOLD CORP. (TSX VENTURE: MXD) is pleased to follow up its release of September 24, 2009, to report it has signed a definitive Arrangement Agreement with Lara Exploration Ltd. ("Lara") (TSX VENTURE: LRA) providing for a Plan of Arrangement between Maxy's shareholders and Lara whereby Lara will acquire all of the outstanding shares of Maxy at an exchange ratio of one Lara share for eight Maxy shares. Maxy has mailed an Information Circular to its shareholders in respect of their approval of the transaction being sought at a special shareholders' meeting to be held on December 14, 2009.

The proposed transaction brings Maxy shareholders into a successful South American exploration Company which is a well-capitalized prospect generator with a multi-commodity exploration portfolio in Brazil, Colombia and Peru. Maxy's Peruvian portfolio and management expertise in Peru will bring the new Lara added capabilities and knowledge that will benefit all shareholders. Additionally Maxy's established presence in China opens up a new sphere of activity for Lara and access to both prospective acquisitions and potential joint venture partners.

Upon completion of the transaction, Andre Gauthier, President and CEO of Maxy, will join Lara's board of directors and become President of Lara, while Miles Thompson of Lara will remain as CEO and assume the role of Chairman.

About Maxy

Maxy is a publicly traded junior exploration company focused on mineral acquisition, exploration and development in China and Peru. Maxy has internationally recognized Management and Exploration Teams, with a large diverse network of contacts throughout China and South America.

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statement.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contacts: Maxy Gold Corp. Andre Gauthier President 604 688-8811 Maxy Gold Corp. Vicky Wang Investor Relations 604 688-8811 604 688-8852 (FAX) [e-mail] www.maxygoldcorp.com