North American Gem Inc. to Commence the 2008 Diamond Drilling Program on the Louise Lake Project

    VANCOUVER, Jan. 9 /CNW/ - North American Gem Inc. (TSX-V symbol: NAG) is
pleased to announce that the permit application for the proposed 2008 diamond
drilling program on North American Gem's Louise Lake Project has been
approved. The road-accessible Louise Lake property is located 35 kilometers
west of Smithers, British Columbia, Canada, a full-service community with
excellent access to highway, rail and electrical power infrastructure.
    The diamond drill program is set to commence approximately during the
week of January 21th, 2008. This will consist of a minimum of 4,400 meters of
"NQ"-sized core in approximately 11 to 13 holes, focusing on the northward
extension of the "Main Zone" a tabular, north-dipping
copper-gold-molybdenum-silver deposit. The deposit extends to a depth of about
270 meters, where it is abruptly truncated by a flat-lying thrust fault,
called the "Terminator".
    The proposed 2008 program will include targeting of the interpreted
portion of the deposit underlying the flat-lying "Terminator" fault northwest
of the Main Zone. Results from Hole LL-07-15, collared northwest of the Main
Zone in 2007, revealed low-grade mineralization beneath the "Terminator"
having a similar fabric and geochemical signature to the Main Zone. This
represents the first intercept of sub-Terminator mineralization to date,
suggesting the underlying "fixed" portion of the deposit may occur further
northwest of the Main Zone.
    The 2008 program will also target the north-eastern portion of the Main
Zone near areas of higher grade gold intercepts returned in 2007, including a
26.1-metre intercept grading 0.769 g/t gold and 0.477% copper (see NAG news
release dated May 9, 2007). The program should be completed by mid-March,
    Table 1 lists the updated resource estimates per category:

    Table 1: 2007 updated SRK classified mineral resources, Main Zone, Louise
    Lake Project
    Mineral          Tonnes        Cu (%)      Mo (%)     Au (g/t)   Ag (g/t)
    Indicated      26,000,000       0.231       0.008        0.22        1.01
    Inferred      125,000,000       0.239       0.009        0.23        0.99
    (*) All resources quoted at 0.15% copper cut-off


    The 2007 estimate uses an actual copper cut-off value of 0.15%, rather
than the "copper equivalent" (CuEq) cutoff value of 0.25% used in the 2006
estimate. Comparison of the two estimates using the 0.25% CuEq cutoff instead,
with identical metal prices, indicates that the 2007 estimated tonnage has
been increased by 8%, with very similar metal grades. Grades of the Indicated
Resource category, which has been increased to 26,000,000 tonnes from
6,000,000 tonnes, are also substantially increased from 2006 values.
    The Main Zone hosts an unusual mineral assemblage, with copper occurring
as an equal mixture of enargite and chalcopyrite. The 2004 through 2006
programs extended the known dimensions of the east-west striking, moderately
north-dipping tabular Main Zone both to the west and east, as well as down-dip
to the north. By 2006, the Main Zone was known to be at least 970 meters long,
up to 170 meters wide, and extending to a depth of 250 - 270 meters, where it
is abruptly truncated by the flat-lying "Terminator" fault.
    This News Release was reviewed and approved by Carl Schulze, BSc, PGeo,
Qualified Person for the project, in accordance with regulations under
National Instrument 43-101. All sample analysis will be completed by ALS
Chemex of North Vancouver, British Columbia, Canada. The diamond drilling
program will be conducted by Britton Brothers Diamond Drilling of Smithers,
British Columbia.

    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
    "Charles Desjardins"

    Charles Desjardins
    President and Director


    Cautionary note:
    This report contains forward looking statements, particularly those
regarding cash flow, capital expenditures and investment plans. Resource
estimates, unless specifically noted, are considered speculative. The company
has filed a National Instrument 43-101 resource estimate on the Louise Lake
property. Any and all other resource or reserve estimates are historical in
nature, and should not be relied upon. By their nature, forward looking
statements involve risk and uncertainties because they relate to events and
depend on factors that will or may occur in the future. Actual results may
vary depending upon exploration activities, industry production, commodity
demand and pricing, currency exchange rates, and, but not limited to, general
economic factors.
    Cautionary Note to US investors: The U.S. Securities and Exchange
Commission specifically prohibits the use of certain terms, such as "reserves"
unless such figures are based upon actual production or formation tests and
can be shown to be economically and legally producible under existing economic
and operating conditions.

For further information:

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

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