North American Gem Inc. Samples 2.275% U3O8 at the Bonny Fault Property, Northern Alberta



    VANCOUVER, Oct. 29 /CNW/ - North American Gem Inc. (TSX-V symbol: NAG) is
pleased to announce results of the summer exploration program at its Bonny
Fault Uranium property. The Property encompasses approximately 64,128 hectares
(158,464 acres) of mineral tenures located in northeastern Alberta, just north
of the Athabasca Basin. Exploration consisted of reconnaissance prospecting
and sampling to confirm historic showings of high grade, surface uranium
mineralization and also to ground check targets identified from a 2006
airborne radiometric survey flown over the property.
    Analysis of the 2006 airborne geophysical program had identified 276
linear and point-source uranium anomalies, and several major structures of
interest. Forty-one of these are considered higher priority targets as
selected by Mr. Jeremy S. Brett, M.Sc. P.Geo., Senior Geophysical Consultant
for MPH Consulting Limited of Toronto. Many of these uranium anomalies are
coincident with either foliation-parallel or major cross-cutting
structures/faults. In addition, several are located on or near the Bonny Fault
or sub-parallel faults, which are major NW trending faults that cross-cut the
local foliated rocks and may have been conduits for uranium-bearing fluids
from the now eroded Athabasca sandstones which once overlaid the area. The
absence of sandstone over the property is amenable to shallow drilling to test
anomalies allowing for more cost-efficiency.
    During the 2007 ground reconnaissance follow-up and prospecting, a total
of 130 rock samples were taken, 12 of which assayed 0.1% U3O8 or greater to a
high 2.28% U3O8. Uranium mineralization was confirmed at Cherry Lake and
Spider Lake, with several samples assaying greater than 0.1% U3O8 to a high of
0.177% U3O8 found at Cherry Lake. The highest assay for Molybdenum was 0.19%
with the same sample assaying 0.152% U3O8 found in the Cherry Lake area. All
samples were assayed at the SRC Geoanalytical Laboratory in Saskatoon,
Saskatchewan.
    Significant historic Uranium mineralization had been identified at Cherry
Lake, Twin Lakes, Small Lake, Big Bend, Pythagoras Lake, Spider Lake, Holmes
Lake and Carrot Lake; and elsewhere. Two examples of this mineralization are
described below:
    At the Carrot Lake Uranium showing, which is located near the South end
of Andrew Lake, at least 33 trenches and pits were dug to explore
mineralization within basement gneiss, granite and pegmatite. Anomalous
radioactivity appears present within a structurally controlled zone about
1.6 km long. Three samples collected from the North Zone in 1992 ranged from
0.09 to 2.11% U3O8. The mineralization consists of small veins and pods of
pitchblende and thucholite along fractures.
    At the Big Bend Uranium Showing, which is located about 400-m west of
Andrew Lake, Godfrey (1958) collected three samples during the mid-1950's, as
follows:

    
    Table 1. Historical Uranium and Molybdenum Samples from the Bonny Fault

    Sample No.            U3O8 %             Mo %
    JG-58-44-1A            1.03              0.69
    JG-58-44-1B            3.93              1.03
    JG-58-44-1C            3.29              1.40

    (*)Figures in this chart were produced prior to NI 43-101.
    

    Subsequently, four holes were completed in the area to test surface
radioactive anomalies, with the best intersection reported as 0.26% U3O8
across 1 m, within a brecciated band of biotite schist.
    Several historic showings, some of which are highlighted in table 1 were
supported by airborne radiometrics. The highest assays, from the 2007 Ground
Program, of 2.28% U3O8 and 1.10% U3O8, found in the Bayonet Lake area
(adjacent to the Bonny Fault) were also supported by the airborne radiometrics
as high priority targets. In addition, a soil sample assaying 53 ppm U was
collected from this location.
    A sample with 0.31% U3O8 was also taken from a historic showing further
south along the Bonny Fault in the Holmes Lake area. The new data gathered
during the 2007 exploration supports the historic and indicates anomalous and
elevated uranium concentrations along the Bonny Fault.

    
    Table 2. Results of 2007 Ground Prospecting at the Bonny Fault
             (Conversions)

    --------------------------------------------------------
    Sample ID    General Area   U ppm  % U3O8  lbs/ton U3O8
    --------------------------------------------------------
    37821        Bayonet Lake   19300   2.275     45.51
    --------------------------------------------------------
    37820        Bayonet Lake    9320   1.098     21.98
    --------------------------------------------------------
    37795         Holmes Lake    2600   0.307     6.131
    --------------------------------------------------------
    37839         Cherry Lake    1500   0.177     3.537
    --------------------------------------------------------
    37859         Cherry Lake    1290   0.152     3.042
    --------------------------------------------------------
    37880         Cherry Lake    1110   0.131     2.617
    --------------------------------------------------------
    37819         Cherry Lake    1040   0.123      2.45
    --------------------------------------------------------
    37838         Cherry Lake     990   0.117      2.33
    --------------------------------------------------------
    37794         Holmes Lake     950   0.112      2.24
    --------------------------------------------------------
    37717         Spider Lake     937   0.110      2.21
    --------------------------------------------------------
    37718         Spider Lake     923   0.109      2.18
    --------------------------------------------------------
    37854         Spider Lake     920   0.108      2.17
    --------------------------------------------------------

    (*)% U3O8 = 1.179 x U ppm
    (*)1% U3O8 = 20 lbs U3O8/short ton
    (*)Figures in this chart were produced in accordance to NI 43-101.
    

    Several historic anomalies remain to be ground checked. Preliminary
results of the 2007 field exploration program are encouraging. Further
prospecting over many more priority targets is expected in early 2008. A
helicopter will be utilized to access showings that were unattainable via
fixed wing aircraft. The 2008 prospecting will also accompany detailed mapping
of the higher priority areas in preparation of an impending drill program.
    "The uranium numbers collected in this recent ground exploration program
definitely support and add validity to the historical numbers collected from
the Bonny Fault Program," said Charles Desjardins, President of North American
Gem Inc. "To confirm high uranium numbers in areas with little to no
overburden (sandstone) will allow for a cost-efficient shallow drill program
as potential finds could be at or near surface."
    The Bonny Fault Property is located within the Precambrian Shield of
northeastern Alberta within the Churchill structural province. It is situated
in the Taltson magmatic zone, which to the south, constitutes the basement of
the western Athabasca Basin. Local geology within the property consists of a
wide range of massive to foliated granitoids, meta-sedimentarys and
metavolcanic rocks. Several major faults affect most of the rock units; these
faults include the northwesterly-trending Bonny Fault, and several subsidiary
faults that complicate the structural setting. Faults in this region are
expressed as early shear zones that are characterized by mylonites and by
later more shallowly seated ductile-brittle and brittle fault zones.
Retrograde greenschist facies minerals indicate a Palo-Proterozoic to possibly
Meso-Proterozoic age for this large scale faulting, which has been favourable
for other economic uranium deposits within the Precambrian Shield in the
Uranium City area of north-central Saskatchewan.
    The field work was carried out under the supervision of Jody Dahrouge,
P.Geol., a qualified person under National Instrument 43-101, of Dahrouge
Geological Consulting Ltd. of Edmonton, Alberta.

    About North American Gem Inc.

    North American Gem Inc. (TSX-V symbol: NAG) is a junior exploration
Company based in Western Canada. The Company's primary goal is to explore for
Uranium, Molybdenum, Gold, Copper and other base metals in Canada. The Company
is actively pursuing several opportunities, including the Louise Lake
copper-gold-molybdenum-silver project located in British Columbia. The Company
is also pursuing its uranium projects, consisting of the Whiskey Gap, Del
Bonita, Western Basin, and Bonny Fault projects, all located in Alberta. In
addition the Company is also pursuing its Mosquito Gulch uranium property
located in the North West Territories and the Ranger Lake Uranium property
located in Ontario.

    On Behalf of the Board of Directors
    NORTH AMERICAN GEM INC.

    "Charles Desjardins"

    Charles Desjardins
    President and Director

    The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. Statements in
this press release other than purely historical information, historical
estimates should not be relied upon, including statements relating to the
Company's future plans and objectives or expected results, are forward-looking
statements. News release contains certain "Forward-Looking Statements" within
the meaning of Section 21E of the United States Securities Exchange Act of
1934, as amended. Forward-looking statements are based on numerous assumptions
and are subject to all of the risks and uncertainties inherent in the
Company's business, including risks inherent in resource exploration and
development. As a result, actual results may vary materially from those
described in the forward-looking statements.





For further information:

For further information: 430 - 609 Granville Street, Vancouver, BC,
Canada, V7Y 1G5, Phone (604) 683-5445, Facsimile (604) 687-9631,
info@northamericangem.com, www.northamericangem.com

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