Argus Metals Corp.

Argus Metals Corp.

October 31, 2011 16:00 ET

Argus Metals Corporate Update-Drill Assays Pending & Resource Update Contracted for Yukon Program

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 31, 2011) - Argus Metals Corp. (TSX VENTURE:AML) (the "Company" or "Argus") reports that assays are pending for 13 of the 16 Hyland Gold 2011 Project diamond drill holes, all of which have been sent to the assay laboratory. Analytical results for these drillholes are expected shortly and will be announced as soon as they are available. These exploration drilling results include the "South Main TEM", "SE Zone" targets as well as the "CUZ Zone" mineralization and the newly defined "THAS" and "CUZ SUR" exploration targets. Later season diamond drilling focused on the historic "Main Zone" mineralization and will be utilized to upgrade the historic, non-43-101 compliant resource*. Geo-Vector Management Inc. has been contracted to review and update the 1990 non-compliant National Instrument 43-101 resource* estimate of the "Main Zone" at approximately 117,000 ounces of gold (Au) within 3.2 million tonnes grading 1.1 grams per tonne (g/t) Au. The resource update is anticipated to be completed and released in December 2011.

*The reliability of the historical data is unknown but is considered relevant by Company management. The historical data is non-N.I. 43-101 compliant and should not be relied upon. It is the Company's intention to verify the historical data. However confirmation work may produce results that differ substantially from the historic results.

The Company now has completed its 2011 Hyland Gold District exploration programs in the Selwyn Basin, Yukon Territory. Argus shipped a total of 6,364 assay samples (soils, stream sediments, core and rock) to the assay lab this year and still awaits results for approximately 3,762 samples including 2,600m of drill core samples from 13 drill holes. Argus is encouraged by the initial results of the regional geochemical results and mapping, with the identification of a >1 km extension (east) and further delineation the CUZ gold-in-soils geochemical anomaly, the newly identified quartz vein-hosted gold target (CUZ SUR) punctuated by a grab sample assaying 1.3g/t Au and identification of a >40m wide quartz breccia system in the southern Hyland Gold Extension that is over 460 m in vertical extent with several kilometres of strike length. The Company looks forward to investigating these targets and demonstrating the potential for additional deposits with in the Hyland Gold Project.

President Michael Collins comments, "Initial drill results have expanded the 'Main Zone' mineralization and increase the potential size of a maiden 43-101 compliant resource by the end of the year. Preliminary results from regional work on the Hyland Extension, Tina and Ike projects continue to produce high priority geochemical targets for the 2012 season and in the case of the THAS and CUZ SUR zone, drill targets. The Summer 2011 program has succeeded in demonstrating both the potential of the Main Zone Deposit as well the ability to develop additional gold deposits with the Hyland, Ike and Tina claim packages."

All drill core and rock samples from the Hyland Gold 2011 drilling program is being analyzed at ACME Analytical Labs of Vancouver, B.C. utilizing a 1EX ICP 44-element analytical package with G6 Fire Assay finish for gold on all samples. All core samples were split on-site at the Hyland exploration camp and shipped to Acme Analytical Labs preparation facility in Whitehorse where samples are sorted and crushed to appropriate particle size (pulp) and representatively split to a smaller size for shipment to Acme's Vancouver analysis facility. A comprehensive system of standards, blanks and field duplicates was implemented in the 2011 exploration program (regional/diamond drilling) and is being analyzed as chemical assay data becomes available. Paul D. Gray, P.Geo., is the Company's Qualified Person with respect to the Company's Hyland Gold Project and has reviewed and approved this press release.


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 Hyland Gold Project will be as projected; (ii) the 2011 work program will proceed as projected, (iii) that any positive results will result from such program, (iv) that the Company will be able to complete its work program prior to weather causing the close of the season, or (v) that any new resource estimate of the Main Zone will be better than historic estimates. 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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