Argus Metals Corp.

Argus Metals Corp.

March 07, 2011 09:00 ET

Argus and San Lorenzo DV Consultores Stake Peruvian Gold Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 7, 2011) - Argus Metals Corp. (TSX VENTURE:AML) (the "Company" or "Argus"), in cooperation with San Lorenzo DV Consultores (DVC), has staked the Iron Mountain Gold Project in Ancash Province, Peru. Covering over 60 square kilometres of a district scale porphyry system, the Iron Mountain claims host gold, tungsten and iron/magnetite targets.

Under the terms of the cooperative agreement between the Company and DVC, Argus has an initial 65% interest in the property which can be increased to 90% through US$1 million in expenditures. At that time DVC will have a 90 day option to decide to participate in ongoing expenditures or be diluted down to a 2% NSR of which may be acquired for US$1million per 50% of the NSR.

Historic work on the Iron Mountain Project has returned significant results for gold, silver, tungsten, zinc, lead and iron/magnetite skarns. In specific, gold is found associated with both mesothermal vein systems and with iron/gold skarns. Summarized historical data* is detailed below.

Element Results
  Doce Amigos Program
Ag 2.1 to 43 oz/t
Au .006 to 0.014 oz/t
Pb 15.2 to 58%
Zn 18 to 23%
Fe Found in high grade oxides but not assayed
  1982 Exploration Program
Ag 2.1 oz/t
W 10.30%

*This work was not supervised by a qualified person or third party and the work will have to be verified by the Company.

An initial work program is planned for the end of rainy season in March/April 2011 and will focus on quantifying and prioritizing gold exploration targets. Community agreements in support of Argus' 2011 exploration program were registered with the Peruvian government in December of 2010 and the formal lease permits issued on January 15, 2011.

President Michael Collins comments, "Argus is pleased to be working with DVC in Peru on the Iron Mountain Project. The Company expects that this project will be successful in defining high grade gold targets and believes in the potential for several similar projects with our local partner DVC as Argus continues to focus on driving shareholder value through identifying and exploring gold projects."

Paul D. Gray, P.Geo. is the Company's Qualified Person with respect to the Iron Mountain Project and has reviewed and approved this press release.

The Argus Team also announces it will be exhibiting at the PDAC 2011. Please stop by and visit the Company at Booth 2312, Metro Toronto Convention Center – South Building, Toronto, ON March 6-9, 2011.



Michael Collins, President and CEO

We seek safe harbour.

Certain statements set out in this News Release constitute forward-looking statements. Forward-looking statements (i) are often, but not always, identified by the use of words such as "expect", "may", "could", "anticipate", or "will", and similar expressions; (ii) may describe expectations, opinions or guidance that are not statements of fact and which may be based upon information provided by third parties, or upon the opinions, expectations and estimates of management of the Company as at the date the statements are made; (iii) are subject to a variety of known and unknown risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements, including, but are not limited to risks, uncertainties and other factors that are beyond the control of the Company, risks associated with the industry in general, commodity prices and exchange rate changes, operational risks associated with exploration, development and production operations, delays or changes in plans, risks associated with the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. In light of the risks and uncertainties associated with forward-looking statements, readers are cautioned not to place undue reliance upon forward-looking information. In particular, there is no assurance that (i) mineralization on the Iron Mountain Project will be as projected; (ii) the 2011 work program will proceed as projected, or that any positive results will result from such program. Although the Company believes that the expectations reflected in the forward-looking statements set out in this press release or incorporated herein by reference are reasonable, it can give no assurance that such expectations will prove to have been correct. The forward-looking statements of the Company contained in this press release, or incorporated herein by reference, are expressly qualified, in their entirety, by this cautionary statement.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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