Gammon Gold Announces Corporate Name Change to AuRico Gold

TORONTO, May 16, 2011 - Gammon Gold Inc. (TSX: GAM) (NYSE: GRS), ("Gammon") announced today that
it intends to change its corporate name to AuRico Gold (pronounced
oh-REE-koh). The name change is subject to shareholder approval at the
Company's Annual and Special Meeting of Shareholders scheduled for June 9,
2011 and is expected to be effective on, or about, June 13, 2011.

The Company's Toronto Stock Exchange and its New York Stock Exchange
ticker symbol will change to "AUQ" to reflect the new name, representing gold
equivalent. The Company will also launch a new website,
www.auricogold.com and a new logo.

The AuRico Gold name combines two words representative of the company:
"Au," the atomic symbol for gold, and "rico," a Spanish word meaning rich.
The AuRico logo features the ancient alchemy symbol for gold, which dates
back over 1,000 years.

files.newswire.ca/258/AuRico_Gold_Logo.pdf

"Over the past three years, the new management team has dedicated
considerable effort in repositioning the Company for success. Today we are a
leading intermediate gold and silver producer with a diversified portfolio of
high quality mines and projects, an exciting growth profile and a strong
balance sheet," said Rene Marion, President and CEO of Gammon Gold. "Our new
name and logo reflect our renewed commitment as we build upon our successes
and enrich shareholder value through continued operational excellence and
growth. Management is extremely enthusiastic to launch our new name as it
represents a new beginning and a new chapter in the Company's history."

About Gammon Gold

Gammon Gold Inc. is a publicly traded mid-tier gold and silver producer
engaged in the mining, development, exploration and acquisition of resource
properties in North America. The Company owns and operates three producing
mines in Mexico, the Ocampo mine in Chihuahua State, the El Chanate project
in Sonora State, and the El Cubo mine in Guanajuato State. Gammon Gold also
owns the Guadalupe y Calvo advanced exploration property in Chihuahua State
and the Orion Project in the State of Nayarit, and has six exploration
properties in various states throughout Mexico. Gammon's executive office is
located in Toronto, Ontario, Canada.

For further information:

For further information please visit the Gammon Gold website at
www.gammongold.com or contact:

    Rene Marion                         Anne Day
    President & Chief Executive Officer Director of Investor Relations
    Gammon Gold Inc.                    Gammon Gold Inc.
    +1-647-260-8880                     +1-647-260-8880

(GAM. GRS)

.