Sulliden Gold Corporation Ltd T.SUE.WT

Tax liabilities

[RoyalBlue]

Can anyone offer their analysis of this news release? Is this $23 million tax liability effectively the same as a $23 million debt? If so, it would certainly affect a cost/benefit analysis of the company....

SULLIDEN RESTATES FINANCIAL STATEMENTS TO REFLECT TAX TREATMENT FOR PROPERTY ACQUISITION COSTS

July 30, 2010

Toronto, Ontario, Canada, July 30, 2010: Sulliden Gold Corporation Ltd. (“Sulliden”, the “Company”) (TSX: SUE) (OTCQX: SDDDF) announces that, in accordance with the Canadian Institute of Chartered Accountants (“CICA”) Accounting Handbook 3465.43 – Income Taxes, the Company has restated its audited annual financial statements for the financial year ended April 30, 2009 (the “Financial Statements”). The Financial Statements were restated because the Company’s Shahuindo property acquisition and settlement costs have previously been made from the Company in Canada, and consequently cannot be considered as part of the tax asset base for Sulliden’s Peruvian subsidiary (“Sulliden Peru”).

The current effect of this adjustment would reduce future tax benefits at the Shahuindo property once the mine is in production by $23,632,000 as at April 30, 2010 and by $21,467,000 as at April 30, 2009.

The Company is evaluating the required procedures and benefits to transfer these costs to Sulliden Peru to regain possible future tax benefits applicable to the Shahuindo property if the project goes into production.

For further details please refer to the Company’s 2010 Audited Annual Financial Statements, Notes 3 and 7, and the accompanying Management, Discussion and Analysis available on www.sedar.com.