TMX group

TSX: ITF, OTC BB: FGOVF, Frankfurt: FR4

www.freegoldventures.com

VANCOUVER, Nov. 1 /CNW/ - Freegold Ventures Limited ("Freegold") wishes
to announce the arrangement of $1.5 million in debt and equity financing that
will be used to fund on-going resource expansion drilling and metallurgical
testing at its Almaden gold project in Idaho, on-going bulk sampling at its
Golden Summit project in Alaska, and for general working capital purposes.
The $1 million debt financing will have a term of 1 year, an interest
rate of 8%, and will be secured by the gold contained within the stockpile of
bulk sampled vein material currently being collected from high grade surface
veins at the company's Golden Summit project in Alaska. The lenders will have
the option to accelerate the repayment of the loan upon Freegold obtaining
subsequent equity financing in excess of $2 million, and Freegold agrees to
apply net proceeds from the processing and sale of gold contained within the
stockpiles in the spring of next year against any unpaid loan balances. As
consideration for the loan, the lenders will receive 250,000 non-transferable
warrants that will entitle the holders to purchase common shares of Freegold
at a price of $0.55 per share during the twelve month period following the
date of issuance of the warrants, and at a price of $0.65 per share during the
subsequent twelve month period.
In addition, Freegold announced a non-brokered private placement of up to
1,111,111 units at a purchase price of $0.45 per unit for gross proceeds of up
to $500,000. Each unit will consist of one common share of Freegold and
one-half of one non-transferable common share purchase warrant. Each whole
warrant entitles the holder to purchase one additional common share at a price
of $0.55 per share during the twelve month period following the date of
issuance of the warrants, and at a price of $0.65 per share during the
subsequent twelve month period.
No finder's fees or commissions will be paid on either transaction. The
foregoing is subject to regulatory approval.

About Freegold Ventures Limited

Freegold Ventures Limited is a North American exploration company that is
actively exploring advanced-stage gold projects in Idaho (Almaden) and Alaska
(Golden Summit). Freegold has recently enhanced its management team with a new
President and VP Exploration that have an excellent track record in generating
shareholder value through the creation and operation of numerous North
American gold producers. Freegold holds a 100% lease interest in the Almaden
gold project in Idaho. This large tonnage, disseminated, epithermal gold
deposit was the subject of a feasibility study in 1997 calling for the
development of a 95,000 oz/year open pit, heap leach mine. Freegold is
currently in the midst of a 34,000-foot drilling program aimed at further
expanding the size of the resource prior to updating the feasibility study in
2007. Freegold has also discovered new high-grade veins in surface trenching
at its Golden Summit project outside Fairbanks, and is in the process of
stockpiling up to 10,000 tons of bulk sample material that will be processed
in the spring of 2007. Ongoing trenching and sampling continues to expand
these new veins and shear zones which remain open in all directions.

On behalf of the Board of Directors

"Steve Manz"

Steve Manz
President and C.E.O.

The TSX has neither approved nor disapproved the contents of this
news release. CUSIP: 356455105

DISCLAIMER

This news release contains certain "Forward-Looking Statements" within
the meaning of Section 21E of the United States Securities Exchange Act of
1934, as amended. All statements, other than statements of historical fact,
included herein are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will prove to be
accurate, and actual results and future events could differ materially from
those anticipated in such statements. Important factors that could cause
actual results to differ materially from the Company's expectations are
disclosed in the Company's documents filed from time to time with the TSX,
British Columbia Securities Commission and the United States Securities &
Exchange Commission.