Augen Gold intersects 15.13 g/t gold over 8.35 metres at Jerome Mine



    TORONTO, June 20 /CNW/ - Augen Gold Corp. ("Augen Gold" or the "Company")
(TSX-V: AUJ) today announced the results of assays received from the first two
holes drilled during its winter diamond drill program at its 100% owned
past-producing Jerome Gold Mine, south-west of Timmins, Ontario. Between
January 3 and March 10, 2008, Augen Gold completed 10,449 metres of NQ-sized
core drilling in 21 holes to explore the depth and strike extent of the Jerome
Gold Mine. The first two holes were drilled to validate historical drill
holes. Please refer to the drilling map on the website: www.augengold.ca.

    
    Highlights

    -   Initial results have confirmed the results of two historical drilling
        campaigns, yielding potentially economic grades and widths of gold
        mineralization.

    -   Drill hole AG08-02 intersected 15.13 g/t Au over a core length of
        8.35 metres between 133.65 m and 142.00 m, which included an interval
        of 3.60 m grading 31.32 g/t Au. A second zone of mineralization
        grading 7.93 g/t Au was intersected over a core length of 4.00 m
        between 165 and 169 m, including 23.2 g/t Au between 168 and 169 m.

    -   Drill hole AG08-01 intersected 71.2 g/t Au over a core length of
        0.42 m between 165.10 and 165.52 m, and 10.25 g/t Au over a core
        length of 1.04 m between 193.93 and 194.97 m.
    

    "We are more than pleased with the results of the first two holes which
have not only confirmed the results of two historical holes, but also
demonstrate the high grade nature of the deposit. The gold grades received are
well in excess of the historical average grade of the deposit of 6.38 grams
per tonne when the mine was in operation in the 1940s. In particular, the
results from AGC08-02 are very exciting not only for gold but also for its
by-product molybdenum content. These intersections yielded potentially
economic grades and widths. We look forward to further updating the market
with assay results in the coming weeks," says Michael Fowler, President and
CEO of Augen Gold.
    Hole AG08-01 twinned Muscocho Exploration's hole S88-114, which tested
the South Zone 1, returning a value of 11.38 g/t Au over a core length of
4.97 m between 182.03 and 186.99 m. Augen Gold's two shorter intersections are
interpreted as splays of the same zone lying 20 m above and 13 m to the north
of the Muscocho intercept, within a broad alteration zone containing anomalous
gold values greater than 0.1 g/t Au. Hole AG08-01 was extended to intersect
the Main Zone. Only anomalous gold values were returned from the Main Zone,
with the best intercept being 0.19 g/t Au over a core length of 8.64 m between
376.97 and 384.11 m.
    As is typical of the mineralization at the Jerome Mine, high gold values
are accompanied by silver, which was a co-product of mining between 1941 and
1943, and significant amounts of molybdenum. Much of the molybdenite is very
fine grained, but with molybdenum values in the range of 0.5 to 3 pounds per
ton commonly accompanying gold mineralization, we intend to conduct analysis
on its recoverability.

    
    Augen Gold Drill Hole AG08-01:
    -------------------------------------------------------------------------
                        Core Length  True Width   Gold    Silver  Molybdenum
    From (m)    To (m)      (m)         (m)       (g/t)    (ppm)    (ppm)
    -------------------------------------------------------------------------
    165.10      165.52      0.42         0.3       71.2     11.4     1,710
    -------------------------------------------------------------------------
    193.93      194.97      1.04        0.75      10.25      3.3       971
    -------------------------------------------------------------------------


    Muscocho Drill Hole S88-114:
    -------------------------------------------------------------------------
                        Core Length  True Width   Gold    Silver  Molybdenum
    From (m)    To (m)      (m)         (m)       (g/t)    (ppm)    (ppm)
    -------------------------------------------------------------------------
    182.03      186.99      4.97        3.51      11.38      na        na
    -------------------------------------------------------------------------
    na = not available. Molybdenum was not assayed.
    

    Augen Gold's drill hole AG08-02 twinned Osprey Gold Corporation's hole
JX04-24, testing the Main Zone. Osprey's hole steepened slightly and
intersected the Main Zone at a vertical depth of 125 m. Augen Gold's drill
hole AG08-02 flattened slightly and intersected the Main Zone at a vertical
depth of 100 m. Hole AG08-02 penetrated old workings on the 350 foot level
(106.7 m), at down-hole depth of 144 to 146 m. Two intersections interpreted
as the North Main Zone were encountered by AG08-02 between 160 and 163 m and
between 165 and 169 m:

    
    A detailed description of results from Augen Gold Drill Hole AG08-02 is
    shown in the table below:
    -------------------------------------------------------------------------
                        Core Length  True Width   Gold    Silver  Molybdenum
    From (m)    To (m)      (m)         (m)       (g/t)    (ppm)     (ppm)
    -------------------------------------------------------------------------
    133.65     142.00      8.35        5.90      15.13     2.75       804
    -------------------------------------------------------------------------
    Including:
    -------------------------------------------------------------------------
    133.65     138.00      4.35        3.08      27.95      4.8     1,417
    -------------------------------------------------------------------------
    Individual Samples
    -------------------------------------------------------------------------
    133.65     134.25       0.6        0.42       32.4      5.6       867
    -------------------------------------------------------------------------
    134.25     135.25      1.00        0.71       22.7      2.9     1,140
    -------------------------------------------------------------------------
    135.25     136.25      1.00        0.71       36.4      7.9     2,100
    -------------------------------------------------------------------------
    136.25     137.25      1.00        0.71       34.2      5.0     1,590
    -------------------------------------------------------------------------
    137.25     138.00      0.75        0.53       11.8     1.73       467
    -------------------------------------------------------------------------
    138.00     139.00      1.00        0.71       2.74      0.9       137
    -------------------------------------------------------------------------
    139.00     140.00      1.00        0.71       1.24     0.25       206
    -------------------------------------------------------------------------
    140.00     141.00      1.00        0.71       0.24      0.7        95
    -------------------------------------------------------------------------
    141.00     142.00      1.00        0.71       0.52     0.25       113
    -------------------------------------------------------------------------
    142.00     144.00     Underground workings
    -------------------------------------------------------------------------
    144.00     147.00      3.00        2.12       1.37    (less       228
                                                           than)
                                                            det
    -------------------------------------------------------------------------
    144.00     144.65      0.65        0.46       0.49    (less     3,333
                                                           than)
                                                            det
    -------------------------------------------------------------------------
    144.65     145.75      1.10        0.78       2.64      4.5       9.5
    -------------------------------------------------------------------------
    145.75     146.00      0.25        0.18       0.13    (less        65
                                                           than)
                                                            det
    -------------------------------------------------------------------------
    146.00     147.00      1.00        0.71       0.86    (less        37
                                                           than)
                                                            det
    -------------------------------------------------------------------------
    160.00     163.00      3.00        2.12       2.12     1.77       521
    -------------------------------------------------------------------------
    165.00     169.00      4.00        2.83       7.93     1.43       755
    -------------------------------------------------------------------------
    Including:
    -------------------------------------------------------------------------
    168.00     169.00      1.00        0.71       23.2     5.68       784
    -------------------------------------------------------------------------
    (less than) det = below detection limit


    These results proved to be better than those obtained by Osprey Gold Corp.
in its 2004 drill hole JX04-24, but the same mineralized zones were
intersected in both Augen Gold's and Osprey's holes.

    The results of Osprey's Drill Hole JX-04-24 are as follows:
    -------------------------------------------------------------------------
                        Core Length  True Width   Gold    Silver  Molybdenum
    From (m)    To (m)      (m)         (m)       (g/t)  (ppm)(xx) (ppm)(xxx)
    -------------------------------------------------------------------------
    137.59     163.07      25.48       18.01     1.79(*)    1.36       280
    -------------------------------------------------------------------------
    Including:
    -------------------------------------------------------------------------
    148.50     153.01       4.51        3.19     7.14       3.56       833
    -------------------------------------------------------------------------
    173.22     177.58       4.36        3.08     1.83       3.72       501
    -------------------------------------------------------------------------
    (*)   Cut-off of 0.1 g/t Au
    (xx)  1 ppm (geochem) = 1 g/t (assay)
    (xxx) 454 ppm = 1 pound per metric tonne
    

    Sample Processing

    All core was photographed, measured and logged geologically and
geophysically. Alteration zones and significant quartz veins or
sulphide-bearing intervals are marked for sampling and sawn in half. Standards
and blank samples are inserted at regular intervals. Half of the sawn core is
retained and half taken directly by Augen Gold personnel to ALS Chemex's
preparation laboratory in Timmins. There it is crushed and pulverized and
pulps are forwarded to Chemex's analytical laboratories for gold assay and
multi-element trace geochemical analysis. Random samples are riffle split
after crushing and each pulverized split is analysed. Gold is determined by
fire assay-ICP. Samples reporting more than 10 g/t Au were re-analyzed by the
gravimetric method to produce the reported values. Trace elements are
determined using a four-acid 'Total digestion' followed by ICP. All core is
stored in core racks at the Jerome Mine site.
    The estimated true widths of the vertically-dipping mineralized zones are
estimated as 7/10 of the core length. Composited grades have been calculated
using a cut-off of 0.5 g/t Au. Sample lengths are 1.0 m or less. Grades have
not been capped. Both holes were collared with a dip of -48 degrees on an
azimuth of 35 degrees, perpendicular to the strike of the known mineralized
zones.

    About Augen Gold

    Augen Gold Corp. is a junior gold exploration company with 24,042
hectares of mining claims over a 45-kilometre 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 determine the gold
potential along strike on the contiguous mining claims, and to continue to
expand its property portfolio with highly prospective mineral assets.
    The information contained in this news release has been prepared by Augen
Gold's Senior Vice-President, Exploration, Christopher Marmont, P.Geo., who is
the qualified person for the Company's Jerome Project under the definitions
established by National Instrument 43-101. The diamond drilling program was
conducted under direct supervision of Mr. Marmont.
    Please refer to Augen Gold's web-site for maps, photographs, geological
details and additional information.

    For more information on Augen Gold, visit our website at www.augengold.ca
    The Company's public documents may be accessed at www.sedar.com

    The TSX Venture has not reviewed and does not accept responsibility for
    the adequacy or accuracy of this release.

    This news release contains forward-looking statements. These statements
are based on information currently available to the Company and the Company
provides no assurance that actual results will meet management's expectations.
Forward-looking statements include estimates and statements that describe the
Company's future plans, objectives or goals, including words to the effect
that the Company or management expects a stated condition or result to occur.
Forward-looking statements may be identified by such terms as "believes",
"anticipates", "expects", "estimates", "may", "could", "would", "will", or
"plan". Since forward-looking statements are based on assumptions and address
future events and conditions, by their very nature they involve inherent risks
and uncertainties. Actual results relating to, among other things, results of
exploration, project development, reclamation and capital costs of the
Company's mineral properties, and the Company's financial condition and
prospects, could differ materially from those currently anticipated in such
statements for many reasons such as: changes in general economic conditions
and conditions in the financial markets; changes in demand and prices for
minerals; litigation, legislative, environmental and other judicial,
regulatory, political and competitive developments; technological and
operational difficulties encountered in connection with the activities of the
Company; and other matters discussed in this news release. This list is not
exhaustive of the factors that may affect any of the Company's forward-looking
statements. These and other factors should be considered carefully and readers
should not place undue reliance on the Company's forward-looking statements.
The Company does not undertake to update any forward-looking statement that
may be made from time to time by the Company or on its behalf, except in
accordance with applicable securities laws.





For further information:

For further information: Michael G. Fowler, President and Chief
Executive Officer, Tel: (416) 777-2007 Ext 224, Toll-free: (888) 442-8436 Ext
224; John F. Walter, John Walter Communications, Tel: (647) 430-0197

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