Argus Metals Corp.
TSX VENTURE : AML

Argus Metals Corp.

June 20, 2011 12:47 ET

Argus Metals Corp.: Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 20, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Argus Metals Corp. ("Argus" or the "Company") (TSX VENTURE:AML) announces that, further to its news release of June 3, 2011, its non-brokered private placement to raise $1,500,000 will be distributed at a price of $0.10 per Unit of the Company (12,000,000 units). Each Unit will consist of one common share and one half of one common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase one common share of the Company for a period of 18 months from the closing date at a price of $0.25 per share, provided that should the closing price of the Company's shares be at least $0.35 per share for 20 consecutive trading days at any time following four months after the date of closing, the Company may reduce the remaining exercise period of the Warrants to not less than 30 days following the date of giving notice.

Closing of the Offering is anticipated to occur on or before July 20, 2011 and is subject to receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. Securities issued under the Offering will be subject to a four month hold period which will expire four months from the date of closing.

The proceeds from the Offering will be used to continue exploration on the Company's exploration projects and for general working capital purposes.

The Company also announces that the Phase I exploration program at Iron Mountain is complete. Mapping and sampling defined numerous high priority exploration targets for follow up work. 746 samples have been sent for assay by 42 element ICP, cyanide leach and FeO analysis. Further work is planned for August. The Hyland Gold project is now operational with drilling expect to commence this week.

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

For additional information please visit the Company's website at argusmetalscorp.com.

On behalf of the board of Directors,

Michael Collins, CEO and Director

The Units have not been registered under the United States Securities Act of 1933, as amended (US Securities Act), and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This news release does not constitute an offer to sell or a solicitation of an offer to buy such Units in any jurisdiction in which such an offer or sale would be unlawful. Certain statements in this press release may be considered forward-looking information, including those relating to the "expectations", "intentions" or "plans" of the Company, and there is no guarantee the above mentioned private placement will close on the basis announced, or at all. Such information involves known and unknown risks, uncertainties and other factors – including the approvals of regulators, availability of funds, the results of financing and exploration activities, the interpretation of drilling results and other geological data, project cost overruns or unanticipated costs and expenses and other risks identified by the Company in its public securities filings -- that may cause actual events to differ materially from current expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation to update or revise any forward-looking statements, except to the extent required by law, whether as a result of new information, future events or otherwise.

Neither 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 release.

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