Argus Metals Corp.
TSX VENTURE : AML

Argus Metals Corp.

September 27, 2011 11:39 ET

Argus Metals Intersects 0.80g/t Gold and 3.28g/t Silver over 39.4 m Expanding the Hyland Gold Project "Main Zone" Deposit

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 27, 2011) - Argus Metals Corp. (the "Company" or "Argus") (TSX VENTURE:AML), reports analytical results from the first three 2011 drill holes at Hyland Gold Project, Selwyn Basin, Yukon. Additional assay results are pending from 13 drill holes already sampled and at the lab for analyses as the 2011 Hyland diamond drilling campaign continues.

Highlights include:

  • HY-11-29 - 39.4 metres of 0.80 g/t gold and 3.28 g/t silver from 71.6 metres to 111.0 metres depth
  • HY-11-31 - 42.2 metres of 0.78 g/t gold and 2.38 g/t silver from 143.8 metres to 186.0 metres depth
    • including 9.2 metres of 1.79 g/t gold and 0.36 g/t silver from 143.8 metres to 153.0 metres depth
  • HY-11-30 – 1.5 metres of 1.56 g/t gold from 75.0 to 76.5 metres (a zone of no recovery of 7.5 metres and then 3 metres of 0.33g/t gold and 11g/t silver (at 84 to 87 meters depth, the hole was subsequently abandoned due to technical drilling issues)

President Michael Collins comments, "We are pleased with the continued progress on the Hyland Gold Project. The exploration focus for 2011 is twofold: expanding the know area of mineralization at the "Main Zone" deposit while identifying and drilling newly defined geochemical targets. Drill results received thus far demonstrate the ability to expand the known oxide mineralization of the "Main Zone" to depth and test the upper boundary of the sulphide zone. With the property-wide geochemical sampling and mapping programs now complete, the Company expects a consistent flow of assay data on newly defined targets to complement ongoing drilling activities."

Assays are pending for an additional 13 drill holes that have been sent to the assay laboratory. Exploration diamond drilling results are expected soon for the "South Main TEM, "SE Zone" targets as well as the "CUZ Zone" mineralization and the newly defined "THAS" and "CUZ SUR" exploration targets. Diamond drilling is now focused on the historic "Main Zone" mineralization until winter conditions preclude further work. Geo-Vector Management Inc. has been contracted to review and update the 1990 non-compliant National Instrument (N.I.) 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 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.

All soil sampling and regional/local geological mapping programs on the Hyland, Hyland Extension, Ike and Tina Projects has been completed for the 2011 season. Over 2,884 soil samples, 371 stream sediment samples and 287 rock samples were collected during the four month program from ridge and spur, contour and grid sampling programs on the projects. Over 350km2 of the 500km2 Argus Hyland Gold District mineral claim package has been mapped and initially geochemically sampled during the 2011 exploration season. Portable XRF analytical equipment was utilized to identify areas of interest for immediate prioritization and follow-up programs and in two cases, resulted in exploration drilling.

All drill core 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 are 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.

ON BEHALF OF THE BOARD OF DIRECTORS

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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