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Shares outstanding: 36,290,615
TORONTO, Nov. 19 /CNW/ - Augen Capital Corp. ("Augen") (TSX-V: AUG) is
pleased to provide an update on Augen Gold Corp. ("Augen Gold"), in which it
owns a 23.8% interest.
Augen Gold holds 113 unpatented mining claims and 63 patented mining
claims over 19,777 hectares (the "Property") stretching over a 42 kilometer
strike length on the Swayze Greenstone Belt.
The Swayze Greenstone Belt is accessible by year-round roads, nearby
infrastructure, and is located between the mining towns of Sudbury and
Timmins. It has evidenced numerous gold and base metal showings over the
years, some of which are directly on the Property. The geology of the belt is
similar to that of the Timmins and Kirkland Lake belts, where a total of
100 million ounces of gold has been extracted. The Swayze Greenstone Belt
hosts two significant gold deposits: Jerome and Young Shannon.
The Jerome gold deposit, which is directly on the Augen Gold Property,
was mined in the early 1940's, and produced a total of 56,200 ounces of gold
at a grade of 0.19 ounces per ton. The mine was closed in 1943 due to the
labour shortages resulting from the Second World War. When the Jerome Mine
closed, reserves were stated as 335,000 tons at a grade of 0.19 ounces per ton
gold. Following further surface and underground exploration in the 1980's,
Muscocho Explorations Limited estimated a resource of 577,495 tons at a grade
of 0.20 ounces per ton gold for a total of 115,713 ounces of contained gold,
following technical guidelines current at that time (but not compliant with
current guidelines prescribed by NI 43-101). This estimate assumed a mining
width of 4 feet (1.2 m) and a cut-off grade of 0.115 ounces of gold per ton.
The Young Shannon gold deposit, owned by Young Shannon Gold Mines Ltd.,
and directly adjacent to the Augen Gold Property, has a NI 43-101 technical
report supporting 244,588 ounces of indicated and inferred gold resources.
A NI 43-101 technical report ("Technical Report") was completed by Behre
Dolbear & Company Ltd. in August, 2007 which sets recommendations for further
study and planning of additional work, and is available at www.sedar.com. The
Technical Report focuses on the Jerome deposit, where previous operators have
drilled over 200 holes and also sampled the underground workings of Jerome
gold mine. Few drill holes were targeted below the 1,100 foot level and there
has been limited drilling along strike.
Further exploration work will be conducted to calculate a NI 43-101
resource in 2008 which will be used in the preparation of a feasibility study.
Augen Gold believes that there is potential to expand the historical resource
at depth and along strike on the Property.
An airborne survey was conducted by Fugro Airborne Surveys of Mississauga
in November, 2007. The survey utilized magnetic, electromagnetic and
spectrometric methods over 2,928 line kilometers. The survey will provide
additional information on the geology, structure and alteration zones of the
Property. After the interpretation of the airborne survey and along with other
data, Augen Gold will embark on a 10,000 meter drilling program earmarked to
begin in January, 2008. The aim of the drilling program will be to: (a)
explore the Jerome deposit to depth, (b) verify previous drilling results, (c)
test the strike extensions of the Jerome deposit and (d) follow up regional
Board of Directors
Augen Gold is also pleased to welcome Mr. Andy Burns and Mr. Barry Pike
as independent directors. Mr. Burns spent 38 years with Deloitte & Touche and
was most recently senior partner responsible for offices in the Americas,
Europe and South East Asia. He is a Chartered Accountant, Certified Management
Consultant and holds an MBA from the University of Western Ontario. He is on
the board of directors and chairs the audit committee of each of Jaguar Mining
Inc. (TSX/NYSE: JAG) and Gateway Casinos Income Fund (TSX: GCI.UN).
Mr. Barry Pike was the founder of PLM Group in 1987 who grew annual sales
to over $100 million. Mr. Pike serves on the board of directors of the Web
Offset Association of North America and the Special Olympics and is actively
involved in a variety of charitable and social causes.
Augen Gold is pleased to announce that Mr. Christopher Marmont, M.Sc.,
P.Geo, has joined Augen Gold in the role of Senior Vice-President Exploration.
Mr. Marmont has 30 years of geological experience and has worked for numerous
high profile exploration companies internationally and will be responsible for
Augen Gold's exploration program.
In addition, Augen Gold has hired John Walter Communications Inc. to
assist with an investor relations program.
"Augen Gold has made material headway in the last several months. The
completion of the 43-101 technical report was an important step in advancing
the project. We look forward to the interpretation of the airborne survey and
data review to identify drill targets for the upcoming winter program. The
strength of the professional team has been significantly expanded with the
recent appointments to the Board and Senior Management levels," said Michael
G. Fowler, President of Augen Gold Corp.
Christopher Marmont, P.Geo, a Qualified Person as defined by National
Instrument 43-101, has reviewed and approved the contents of this press
About Augen Gold Corp.
Augen Gold Corp is a junior gold exploration company with 19,777 hectares
of mining claims over a 42 kilometer length located in Swayze Greenstone Belt,
including the formerly producing Jerome gold mine and directly adjacent to the
Young Shannon gold deposit. The company's objective is to aggressively explore
the Jerome mine in order to confirm existing and identify additional NI 43-101
compliant gold resources, to explore the gold potential along strike on the
contiguous mining claims, and to continue to expand its property portfolio
with highly prospective mineral assets.
About Augen Capital
Augen Capital Corp. (TSX-V: AUG) ("Augen") is a Toronto-based public
merchant bank specializing in the financing of and investment in emerging
resource companies. Augen manages a merchant banking hard dollar portfolio of
emerging resource stocks including private companies and is an industry leader
in tax-advantaged flow-through investments in Canada's resource sector having
raised over $58 million in flow-through limited partnership assets since
inception. Augen currently has $47 million in flow-through investment
consulting assets, including $28 million raised in 2007 by Augen and its sales
and distribution partner. Augen holds over one hundred gold, base metals and
uranium exploration and development public and private companies with direct
holdings in its merchant banking portfolio and consulting assets in
flow-through limited partnerships.
The TSX Venture has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.
This news release contains certain "forward-looking statements". The
statements that are not historical facts contained in this press release are
forward-looking statements that involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or
achievements to be materially different from any future results, performance
or achievements expressed or implied by the forward-looking statements. There
can be no assurance that forward-looking statements will prove to be accurate,
as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue
reliance on forward-looking statements.
For further information:
For further information: Michael G. Fowler, President, Structured
Products, Augen Capital, President, Augen Gold Corp., Tel: (416) 777-2007 Ext
224, Toll-free: (888) 442-8436 Ext 224; John F. Walter, John Walter
Communications Inc., Tel. (647) 430-0197