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Nevada Gold completes sale of membership interest in American Racing

HOUSTON, Texas -- (PRESS RELEASE) -- Nevada Gold & Casinos, Inc. (AMEX:UWN) today announced that effective June 14, 2007, it has completed the sale of its 22.8% membership interest in American Racing and Entertainment, LLC to its partners, Southern Tier Acquisition II LLC and Oneida Entertainment, LLC.

The Company will receive three payments totaling $4.3 million for its membership interest in American Racing, which owns the Tioga Downs Racetrack in Nichols, New York and the Vernon Downs Racetrack in Vernon, New York. The transaction also includes the July 12, 2007 release of a certificate of deposit of approximately $1.1 million currently pledged by Nevada Gold on behalf of American Racing.

In connection with the sale, Nevada Gold has terminated its existing Management Agreements with both Vernon Downs and Tioga Downs and has received approximately $110,000 in management fees due. In addition, Nevada Gold will no longer guarantee approximately $13 million of debt or other obligations of American Racing and Entertainment, LLC.

``We are pleased to have completed this transaction and look forward to using the proceeds from the sale for future acquisitions,' said Robert Sturges, Chief Executive Officer of Nevada Gold. ``This is an important step for us and underscores our commitment to building value for Nevada Gold's shareholders.'

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