VVC Starts China Gold Production

Symbol: VVC - TSX VEN 

TORONTO, May 12 /CNW Telbec/ - VVC Exploration Corporation ("VVC" or the
"Company") (Trading Symbol: VVC-TSX VEN) is very pleased to announce that the
final approval of Xing Tong Joint Venture has been granted by the Chinese
authorities (district of Weinan municipality, Tong Guan County, Shaanxi
province) and that on May 12th, 2005, THE XING TONG JOINT VENTURE BUSINESS
LICENCE WAS ISSUED. The Xing Tong Joint Venture has also been accepted for
filing by the TSX Venture Exchange.
The Xing Tong Joint Venture is therefore operational as of            
May 12th, 2005. Following the approval, VVC's subsidiary, Orient Will
Investment Ltd. ("OWI"), immediately contributed its initial investment to the
Joint Venture and has de facto acquired its 60% interest in the Joint Venture.
As a consequence, OWI has also taken over management of the operation of the
Xing Tong gold mine and is now benefiting from 60% of the profit from the
ongoing Xing Tong mining operation.
As previously reported, the Xing Tong holdings include 14 mines (adits),
three (3) exploration permits, two (2) joint venture exploration permits and
five (5) primary mills (2 of which are co-owned) with a total capacity of
450 tonnes per day and a secondary mill (refinery) with a capacity of 50
tonnes per day. The 14 mining licences cover an area of 3.9 km(2), the three
(3) exploration permits cover an area of 10.3 km(2) and the two (2) joint
venture permits cover 4.5 km(2).
"We are pleased with the very rapid issuance of all permits and licences.
This allows the Company to start implementing the upgrade of the ongoing
mining operation and implement a well designed general development plan. We
are excited about the huge exploration potential of this heartland of Chinese
gold production and are determined to use the very best of Canadian technology
to do so." stated Jean-Paul Boily, Chairman and CEO of VVC.
"A substantial exploration program will be initiated right away, both at
the operating mines and on the exploration permits. With the many well defined
but still untested quartz vein systems in the area, we first intend to confirm
the actual gold potential at the Xing Tong Mines and the adjacent exploration
properties. No "western style" exploration has been carried out in the past,
and most of the mining has remained relatively superficial. The potential for
the discovery of significant additional economic gold-bearing mineralization
can hardly be matched by any project that I know in the world. We believe that
the vast area now controlled by the Company in Tong Guan area, recently named
as the China National Gold City, will allow VVC to become a key player in one
of the richest gold region of China which has produced to date millions of
ounces of gold." concluded Mr. Boily.

The TSXV does not accept responsibility for the adequacy or accuracy of
this news release.

Dated: May 12th, 2005
                                    On behalf of the Board of Directors
                                    (signed)
                                    Michel J. Lafrance
                                    Secretary-Treasurer