Gold Reserve responds to market activity

SPOKANE, WA, Sept. 21 /CNW/ - Gold Reserve Inc. (TSX: GRZ - AMEX: GRZ)
President Doug Belanger today commented on the Company's common share trading
and price volatility and the subsequent trading halt on the Toronto Stock
Exchange and the American Stock Exchange midday Tuesday, September 20, 2005.
Several news services reported comments that the President of the Bolivarian
Republic of Venezuela, Hugo Chavez Frias, made regarding the development of
the Las Cristinas property.
"We wish to assure the market that the gold and copper concessions for
the Company's Brisas Project are in compliance with Venezuelan laws and
regulations and we are moving ahead with the development of the Brisas
Project. We enjoy an excellent working relationship with the Venezuelan
Government and look forward to the economic and social development of the
Brisas Project in a mutually beneficial manner with the communities located
near the project, the people in Bolivar State, and the Bolivarian Republic of
Venezuela."
Gold Reserve Inc. is a Canadian company which has the Brisas gold/copper
project and the Choco 5 gold exploration property in Bolivar State, Venezuela.
The Brisas Project is estimated to have 10.1 million ounces of gold and 1.29
billion pounds of copper in proven and probable ore reserves. Further
information on Brisas tonnage, grades, reserve estimates and calculations, and
the bankable feasibility study is available at www.goldreserveinc.com,
www.sedar.com and www.sec.gov.

Certain statements included herein, including those that express
management's expectations or estimates of our future performance, constitute
"forward looking statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995. Forward looking statements are
necessarily based upon a number of estimates and assumptions that, while
considered reasonable by management are inherently subject to significant
business, economic and competitive uncertainties and contingencies. We caution
that such forward-looking statements involve known and unknown risks,
uncertainties and other risk factors that may cause the actual financial
results, performance, or achievements of Gold Reserve to be materially
different from our estimated future results, performance, or achievements
expressed or implied by those forward looking statements. These are discussed
in greater detail in Gold Reserve's filings with the U.S. Securities and
Exchange Commission at www.sec.gov and the Annual Information Form and other
reports filed with Canadian provincial securities commissions at
www.sedar.com. Gold Reserve expressly disclaims any intention or obligation to
update or revise any forward looking statement whether as a result of new
information, events or otherwise.