LEXINGTON, Ky., April 29 /PRNewswire-FirstCall/ -- VHGI Holdings, Inc. (OTC Bulletin Board: VHGI) today announced that VHGI Gold LLC, its wholly-owned operating subsidiary, has finalized a 30 day extension to the letter of intent to purchase particular precious metal reserves from Western Sierra Mining Corporation, including a lease option on Phau Springs Mine. VHGI Gold plans to complete the purchase of the Treasure Gulch and Sun Gold properties on or before May 30, 2010 while the due diligence into reserves and rights to Phau Springs continue on course. These acquisitions would be for a combination of stock, cash and royalties.

"The estimated proven reserves, verified by Western Sierra, of approximately 76,000 ounces of gold and probable reserves of 208,000 ounces based on the information from Western Sierra Management provides VHGI Gold with a very attractive opportunity," stated Jim Renfro, VHGI Holdings president.

The immediate plan is to attain the limited disturbance permits necessary to complete the harvest of approximately 100 samples from both underground and the surface for immediate outside lab evaluation. Therefore, providing potential values for small production purposes while allowing us the ability initiate the National Instrument 43-101 efforts.

About VHGI and VHGI Gold

VHGI is a diverse company with assets and interests focusing on opportunities within the Precious Metals Markets and Energy Markets as well as some Healthcare related Assets. VHGI Gold, a wholly owned subsidiary of VHGI has recently initiated steps to leverage the company's operating history and corporate resources within the Gold Mining Industry and intends to pursue these opportunities through Lease-Purchase opportunities, Acquisitions and Joint Ventures.

Investors are invited to obtain information concerning our operations at http://www.vhgigold.com or by calling shareholder relations at 561-515-6035 or emailing info@dpmartin.com.

Safe Harbor Statement:

The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products in development and any other statements not constituting historical facts are "forward-looking statements," within the meaning of and subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995. Since this information may contain statements that involve risk and uncertainties and are subject to change at any time, the company's actual results may differ materially from expected results. This document may contain forward-looking statements concerning the Company's operations, current and future performance and financial condition. These items involve risks, contingencies and uncertainties such as product demand, market and customer acceptance, the effect of economic conditions, competition, pricing, the ability to consummate and integrate acquisitions, and other risks, contingencies and uncertainties detailed in the Company's SEC filings, which could cause the company's actual operating results, performance or business plans or prospects to differ materially from those expressed in, or implied by these statements. The Company undertakes no obligation to revise any of these statements to reflect the future circumstances or the occurrence of unanticipated events.

SOURCE VHGI Holdings, Inc.