Augyva Mining Resources Inc.
TSX VENTURE : AUV

Augyva Mining Resources Inc.

December 14, 2011 08:00 ET

Augyva is Pleased to Announce Duncan Lake Iron Ore Project - 2011 Phase II Interim Drill Results

MONTREAL, QUEBEC--(Marketwire - Dec. 14, 2011) - Augyva Resources Inc. ("Augyva" or the "Company") (TSX VENTURE:AUV) is pleased to announce the Duncan Lake Iron Ore Project - 2011 Phase II Interim Drill Results. The 2011 Phase II interim drilling program at the Duncan Lake property (the "Property") was managed by Augyva and consisted of 8,404 meters of diamond drilling in 25 NQ sized drill holes located in claim Blocks 3 and 6. The program successfully outlined magnetite dominant zones with strike lengths of 2.3 km in Block 3 and 1.0 km in Block 6.

Augyva's 2011 Phase II program follows a previously announced Phase I program of 10,460 meters drilled in 52 holes in 2008 and 2009. Following completion of Augyva's 2011 Phase II interim drilling program, an extension to Phase II is now under the management of Augyva's joint venture partner, Century Iron Mines Corporation and its subsidiaries and affiliates, ("Century"), who on November 11, 2010 completed funding to achieve a 51% interest in the Property and became the operator of the joint venture. Up until December 1st, 2011, Century had completed, in addition to Augyva's Phase II drilling, 29,651 meters of drilling in 82 NQ sized drill holes. Ongoing drilling by Century is expected to further increase drilling within the Phase II program and in Q2 2012 it intends to update the Property's National Instrument 43-101 ("NI 43-101") compliant resource estimate and subsequently prepare a Preliminary Economic Assesment ("PEA").

The NI 43-101 Technical Report dated February 3, 2010, by MetChem, Canada Inc., filed on SEDAR, estimated the Property contains measured and indicated resources of 31,315,000 tonnes of 23.74% Fe and inferred resources of 821,135,000 tonnes of 24.56% Fe.

Peter R. Jones, Augyva's Chairman and Interim CEO said "Phase II interim drilling results clearly show the iron formation's impressive grade consistency". He went on to say, "The ongoing Phase II drill program being completed by Century, our JV partner, is on track and we look forward to providing a NI 43-101 update and a PEA to our shareholders in 2012. Additionally, the involvement of WISCO Resources, who have recently agreed upon the definitive terms of joint venture agreements between themselves and Century, provides for the investment of $40 million into the Duncan Lake Iron Ore Project which we believe positions Augyva to continue to deliver value to its shareholders given its eventual 35% interest in the Project."

Augyva also wishes to communicate to its shareholders that a re-launch of its corporate website and an updated corporate presentation should be available in the coming weeks. Mr. Jones further comments that "Augyva's board of directors wishes to express its gratitude to shareholders for their patience and support through this transition period. With continued operational results and the ongoing previously disclosed strategic review, the Company is well positioned to enhance shareholder value in 2012."

Duncan Lake - 2011 Phase II Interim Drill Results:

The following intercepts were defined by a 16% Fe cut off and an 8m minimum mining width. Collar coordinates are in UTM coordinate system Zone 18N NAD83 and were surveyed with a Differential GPS. Down hole surveys were completed with a gyroscope and cross-checked with a DeviFlex survey. In the following table the column title "width (m)" is drill interception width and Century's ongoing drill program will be used to determine true widths.

Hole ID Block Northing Easting Elevation (m) Dip Azimuth From (m) To (m) Width (m) Fe %
DUN-11-39 3 323925 5937033 159 -50 135 NSA
DUN-11-41 3 324227 5937013 161 -50 135 63.2 76.4 13.2 26.0
135.7 159.3 23.6 23.6
250 261.7 11.7 23.1
302.4 327.2 24.8 29.8
329.8 342 12.2 21.8
351 363.7 12.7 21.4
382.5 425.6 43.1 27.2
DUN-11-44 3 324366 5937156 157 -50 135 119.5 154 34.5 30.9
172.8 205.7 32.9 27.4
244.6 294.7 50.1 30.3
303.7 326.1 22.4 30.4
330.1 340 9.9 33.1
343.1 380.2 37.1 28.0
388.7 401.6 12.9 25.6
DUN-11-51 3 324691 5937681 155 -50 135 200.4 274.4 74.0 25.8
DUN-11-54 3 324877 5937494 158 -50 315 140.1 161.1 21.0 26.3
177.9 195 17.1 29.5
DUN-11-58 3 324779 5937797 158 -50 135 186.4 240.8 54.4 27.3
DUN-11-59 3 324777 5938159 157 -50 135 NSA
DUN-11-62 3 324987 5937805 160 -50 315 NSA
DUN-11-239 3 324174 5936782 165 -50 315 56.2 99 42.8 21.9
118.5 208.75 90.3 21.5
DUN-11-241 3 324480 5936760 166 -50 315 97.4 141.8 44.4 21.1
146.8 164.5 17.7 24.3
178.3 211.8 33.5 24.7
214.1 240.6 26.5 28.1
311.5 331.7 20.2 24.6
361 382.2 21.2 31.6
DUN-11-243 3 324474 5937046 156 -50 315 31.5 73 41.5 25.5
95.4 122.5 27.1 27.0
132 143.25 11.3 22.7
206.3 229.6 23.3 18.2
DUN-11-244 3 324681 5936840 159 -50 315 234.2 245.7 11.5 21.7
253.1 385.5 132.4 31.3
388.6 411.4 22.8 25.8
438.5 476.8 38.3 27.7
481.5 527.1 45.6 31.3
DUN-11-342 3 324109 5936564 168 -50 315 63 102 39.0 28.1
DUN-11-349 3 324567 5936672 169 -50 315 285.9 449.3 163.4 23.4
505.5 530.6 25.1 23.6
DUN-11-64 6 326523 5935203 166 -50 340 131.5 154.3 22.8 26.1
DUN-11-67 6 326714 5935272 156 -50 340 NSA
DUN-11-74 6 326942 5936398 152 -50 340 13.4 84.7 71.3 23.5
99.3 163.1 63.8 31.4
194.8 233.1 38.3 31.5
239.5 277.8 38.3 27.7
DUN-11-75 6 327012 5936209 156 -50 340 158.6 171.4 12.8 17.0
189 208.5 19.5 25.4
219.5 283.3 63.8 26.7
321.5 340.9 19.4 26.4
DUN-11-76 6 327086 5936003 158 -50 340 170.4 250.5 80.1 21.7
321.1 341.9 20.8 26.5
DUN-11-77 6 327168 5936364 154 -50 340 70.1 85.5 15.4 29.7
131.4 150.8 19.4 27.2
177.5 192.9 15.4 31.3
DUN-11-78 6 327239 5936168 152 -50 340 NSA
DUN-11-79 6 327212 5936537 152 -50 340 76.5 95.5 19.0 34.4
DUN-11-80 6 327363 5936416 152 -50 340 189.3 202.2 12.9 24.6
267.3 277.9 10.6 32.0
370.8 400 29.2 29.1
DUN-11-81 6 327524 5936555 151 -50 340 46.4 67.8 21.4 27.5
83.2 131.4 48.2 24.2
170.4 258.8 88.4 30.2
DUN-11-82 6 327684 5936697 147 -50 340 63.2 95 31.8 32.2
115.5 133.1 17.6 26.1

(NSA - no significant assay)

Duncan Lake Property Claim Blocks and Immediate Area.

A map is available at the following address: http://media3.marketwire.com/docs/aug1214.JPG

About the Duncan Lake Property

The Duncan Lake property is in Quebec and within approximately 110 km of the shore of James Bay, 575 km north of Matagami and is accessed via paved Highway 109. The property is subdivided into six separate mineralized zones 1 through 6 with Blocks 1, 2, and 5 located southwest of Highway 109 and Blocks 3, 4 and 6 northeast of Highway 109. The Property consists of 531 mineral claims totaling 25,602.54 hectares.

The Property is subject to an Option and Joint Venture agreement, dated May 20, 2008, between Century and Augyva. On November 11, 2010, Century completed its funding of $6,000,000 to earn an initial 51% interest in the Property in accordance with the Option and Joint Venture agreement. Pursuant to the Option and Joint Venture agreement, and after earning the initial 51% interest, Century became the operator of the Joint Venture and has the option to increase its interest in the Property to 65% by expending a further $14 million during the following 4 years thereafter.

Quality Assurance, Quality Control and Qualified Person

Sample preparation was contracted to the Centre d'études appliqués sur le Quaternaire ("CEASQ"), an independent sample preparation facility located in Chibougamau. Pulps were then shipped to ALS Canada Ltd ("ALS") in Vancouver, British Columbia, which is independent of Augyva. The samples were analyzed via lithium borate XRF, and sulphur was determined by Leco furnace. Iron was reported as total ferric iron and calculated as total iron by Augyva.

The QA/QC program included the insertion by CEASQ of systematic standards, blanks and duplicate samples within every sample batch submitted to ALS. In addition, ALS inserts its own duplicate samples. The results from these control samples indicate acceptable consistency of analysis.

This press release has been prepared under the supervision of Mr. Rejean Girard (P.Geo.) of IOS Services Géoscientifiques Inc, who is an independent consultant and a "qualified person" (as such term is defined in National Instrument 43-101). Mr. Girard has verified the technical data disclosed in this press release, including sampling, analytical and test data.

About Augyva Mining Resources Inc.

Augyva is an exploration and development company holding five (5) properties located in the James Bay and Abitibi regions of the Province of Quebec. Its major project is its interest in the Duncan Lake Iron Ore Property located in the western part of the La Grande Greenstone Belt. The property is accessible by road and covers 25,602.54 hectares. A National Instrument 43-101 compliant technical report on the mineral resource was prepared by Met-Chem Canada Inc. dated February 03, 2010. The Duncan Lake Iron Ore Property is subject to a joint venture agreement between Augyva Resources and Century Iron Mines Corporation which has earned a 51% interest and is currently making additional exploration expenditures to increase their interest to 65%.

In addition to the Duncan Lake Iron Ore Project, Augyva holds a 100% interest in four other mineral properties, namely: Yasinski and Kali in the James Bay region and Senneville and Malartic in the Abitibi region. At these mineral properties, the exploration focus is for other than iron ore.

This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Augyva's disclosure documents on the SEDAR website at www.sedar.com. Augyva does not undertake to update any forward looking information except in accordance with applicable securities laws.

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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