Augustine Ventures Inc.

Augustine Ventures Inc.

September 08, 2011 13:10 ET

Augustine Ventures Doubles Property Interests in Wawa

TORONTO, ONTARIO--(Marketwire - Sept. 8, 2011) - Augustine Ventures Inc. (CNSX:WAW)("Augustine" or the "Company"). is pleased to announce that it has entered into an agreement with Kalac Holdings Ltd. ("Kalac") for the purchase of 22 mining claims in Wawa Ontario (the "Property Acquisition Agreement") totalling 161 claim units or 2576 hectares, known as the Oakley Lake Property, in McMurray and Naveau Townships in Wawa, Ontario (the "Property").

Under the terms of the agreement, Kalac will sell and transfer a 100% undivided interest in and to the Property subject to a 2% Net Smelter Royalty ("Net Smelter Royalty") in consideration of $30,000 cash and the issuance of 2,000,000 shares in the capital stock of Augustine (the "Purchase Price"), subject to any necessary regulatory approvals. It is anticipated that the purchase will close within the next five (5) business days. The shares issued will be subject to a four month hold period as required by applicable securities regulation.

The parties have further agreed that Augustine shall have the option to purchase one-half of the Net Smelter Royalty (i.e. 1% of Net Smelter Returns) at any time up to the commencement of commercial production from the Property, for the price of $1,000,000.

Wayne Isaacs, Chairman and CEO of Augustine stated that, "This is a great acquisition for the Company. With these acquired claims we have effectively doubled our current property position in Wawa. In addition, the acquired claims are contiguous to the eastern border of our existing claims which will greatly increase the economies of scale in our ongoing low cost exploration program in Wawa. With the NI 43-101 Mineral Resource Estimate currently underway on our Surluga Property in Wawa, we are looking forward to expanding our exploration activities in the area."

About Augustine Ventures Inc.

Augustine Ventures Inc. is a junior gold exploration company which has secured an option to earn a 60% interest in the Wawa Gold Project which encompasses 2,345 hectares in McMurray Township, southeast of the town of Wawa. Over 95 percent of the property consists of leases and/or patents for both mineral and surface rights that are easily accessible. The property has a known depth extension to 600 meters, a history of past production from the known deposits and a large number of untested but documented gold occurrences on the property. Augustine recently completed private placements for gross proceeds of $2,550,000 in flow through and non-flow through financing. The purpose of the private placements was to satisfy financial obligations with respect to the Wawa Option Agreement and for general and administrative purposes.

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