Auriga Gold Corp.

Auriga Gold Corp.

June 22, 2011 09:24 ET

Auriga Gold Provides Further Assay Results From Its Confirmation Drill Program at the Maverick Gold Project, Manitoba; Including 4.7 Meters of 7.85 g/t Gold

TORONTO, ONTARIO--(Marketwire - June 22, 2011) - Auriga Gold Corp. (TSX VENTURE:AIA) ("Auriga Gold" or the "Company") is pleased to report the final set of assay results from the Phase 1 and 2 drilling programs at the Maverick Gold Property, located 65 km northeast of Flin Flon, Manitoba. The results from the confirmation drill program will be incorporated into the initial NI 43-101 resource estimate, currently being prepared by P&E Mining Consultants and expected to be completed in early summer.

The Puffy Lake Deposits consists of a number of east-dipping, parallel, mineralized vein structures including the Upper, Sheridan, Main and Lower Zones. Four drill holes (A3-08, A3-10, A3-11, and A3-13) reported in this release were confirmation holes that tested areas of the historic (Non- NI 43-101) resource blocks contained in the Puffy Lake deposit. Specifically, A3-10 tested the Lower Zone in the southern area of the Puffy Lake deposit and intersected 4.78 meters grading 7.85 g/t gold. While, A3-13 tested the Upper Zone in the central area and intersected 1.56 meters grading 10.48 g/t gold.

A second set of four drill holes (A3-38, A3-39, A3-40, and A3-41) tested the near surface mineralization associated with Main and Lower Zones in the northern area of the Puffy Lake deposit. Hole A3-39 intersected three gold bearing veins, including 5.05 meters grading 4.79 g/t gold. This result combined with previously announced intersections in hole A3-36 with 1.72 meters grading 28.41 g/t gold and A3-37 with 2.20 meters grading 16.25 g/t gold (press release dated May 17, 2011) confirm significant near surface mineralization in this section of the deposit. One hole (A3-35) tested the near surface projection of the Sherridon Zone in the central area of the deposit.

Richard Sutcliffe, Auriga Gold's CEO, commented, "Our initial drill program on the Puffy Lake deposit successfully confirmed gold mineralization in the resource blocks identified by the previous operators. We are very pleased with the consistency and continuity of the mineralized vein structures and the high gold grades intersected. This new data will be combined with the historical drill results to complete an NI 43-101 resource estimate and mineralization model".

HoleLocationAzimuth/DipFrom (m)To (m)Length (m)Au gpt
Confirmation Drilling
Northern Near Surface Mineralization
A3-40373174/61006000/-90no significant assays
Sherridon Zone Near Surface Mineralization
note: true widths are currently estimated at 85-90% of drilled widths

A plan section showing the location of the diamond drill holes in relation to historical reserve blocks is available on the Company's website at

Auriga Gold expects to commence a summer drill program in July that will focus on increasing gold resources at the Puffy Lake mine property and the adjacent and on strike properties. In addition, we have initiated the mine redevelopment program with an environmental study, reactivation of existing mining permits and an evaluation of the cost to refurbish the on-site 1,000 tonne per day mill.

About Auriga Gold

Auriga Gold Corp. is a Canadian mine development and exploration company which is developing the Puffy Lake Mine and expanding gold resources on its Puffy Lake and Nokomis properties (the "Maverick Gold Project"). The Company plans to upgrade and expand the historic resources at the Maverick Gold Project and bring the Puffy Lake Mine back into production. The Puffy Lake Mine includes a 1,000 tpd flotation mill, a developed underground ramp to 135 metres depth, is road accessible and close to existing mining infrastructure. In 1993, Kilborn Engineering Pacific Ltd. estimated that the property contained probable resources of 1,346,200 tonnes of mineralization @ 8.57 g/t Au and possible resources of 833,700 tonnes @ 7.15 g/t Au. The resource was estimated as part of a 1993 feasibility study prepared for Pioneer Metals and uses a cut-off grade of 3.5 g/t Au and a minimum mining width of 1.2 metres. The Maverick Gold Project is located in the Flin Flon Greenstone Belt of Central Manitoba.

NI 43-101: A qualified person has not done sufficient work to verify the historical resource estimates at Puffy Lake and Nokomis. These historic estimates predate NI 43-101, are not compliant with current definitions, have not been verified by the company and consequently should not be relied on by investors. The historical estimates are provided as an indication of historically reported estimates.

Qualified Person

The Company's Qualified Person ("QP") for the drill program at the Maverick Gold Project is Bruce Mackie, P.Geo. As QP, Mr. Mackie has prepared or supervised the preparation of the scientific or technical information for the property and has verified the data disclosed in this press release.

Sample Preparation, Analyses and Security

The assay and sample information as well as geological descriptions are taken from drill logs as prepared by the project geologists for the drill program. All drill cores are NQTW in size and assays are completed on split or sawed half-cores, with the second half of the core kept for future reference. The samples are put into rice bags which are sealed with security locks for shipping directly to Accurassay Laboratories, an accredited assay laboratory, in Thunder Bay, Ontario. The samples are analysed using standard fire assay procedures with an AA/ICP finish, using 50g aliquots. Assay results greater than 2.50 gram per tonne will be rerun using a gravimetric finish. In addition to the standard quality control of the laboratory, a series of blanks and standards are inserted in every shipment for quality control purposes.

Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. A feasibility study has not been completed and there is no certainty the disclosed targets will be achieved nor that the proposed operations will be economically viable. This press release is not and is not to be construed as an offer to buy or sell securities in the United States.

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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