SOURCE: Cigma Metals Corporation

August 17, 2007 18:19 ET

Cigma Metals Corporation Is Pleased to Announce the Initial Drilling Results at the Berezkey-Quartzite Gorka Project on the Company's 14,000 km2 Dostyk Project in Kazakhstan

COOLUM BEACH, AUSTRALIA--(Marketwire - August 17, 2007) - Cigma Metals Corporation (PINKSHEETS: CGMX) (FRANKFURT: C9KA) (the "Company," "Cigma") is pleased to announce the initial drilling Results at the Berezkey-Quartzite Gorka project on the Company's 14,000 km2 Dostyk project in Kazakhstan.

Results for the first drill holes at the Company's Berezkey and Quartzite Gorka targets on the Dostyk gold-polymetallic exploration license show these areas to potentially host a large Gold - Copper - Molybdenum mineralised porphyry system. The initial drilling phase at these two targets is now complete, and all 4 drill rigs are now currently engaged in drill testing the Anninskoye and Nickolaevskoye target areas.

Significant Initial Results for completed holes at the Quartzite Gorka (Q) and the Berezkey (BZ) targets are listed below. Drill Holes with only partial results are not listed.

Q1:   300m @ 0.39 g/t Gold
      from surface
      Incl 45.1m @ 0.23% Copper
      from 155.4m

Q2:   299m @ 0.27 g/t Gold
      Incl 78.7m @ 0.27% Copper
      from 30.3m

Q3:   280.1m @ 0.3 g/t Gold
      Incl 23m @ 0.6% Copper
      from 22m

BZ 1: 300m @ 0.3 g/t Gold
      Incl 120m @ 0.2% Copper

The Quartzite Gorka and Berezkey target areas are separated by approximately 4 km. Based on the previous geological mapping, soil anomalism and previous and current drilling, Cigma is confident that both targets are part of a large copper-porphyry system reflected at the surface by a 6km x 2km mineralized area. Diamond drill hole BZ4, drilled to 504m, has shown that visual mineralisation extends beyond 500m from surface. Results from hole BZ4 are expected in the near future.

Cigma considers the results highly significant as they fit within the ranges of other similar large known deposits in Kazakhstan and elsewhere in the world. The depth and potential strike extent of the mineralisation known to date suggests a possible multi 100 Million tons to a 1 billion tons or more of ore. (See comparison table below.)

A review of the known surface and down hole geology has resulted in a better understanding of the lithologies and structure of the Beryozki-Quartzite area and a more up to date map has been compiled showing the extend of inferred mineralisation.

Cigma is currently testing a total of 6 targets on the Dostyk project.

Cigma Metals Corporation is a mineral exploration company focusing on the exploration and development of its 3 exploration properties totaling 740 square kilometers in the Tomsk Oblast region of Siberia in Russia, and approximately 14,000 square kilometers in the Dostyk region of Kazakhstan. All the project areas were selected due to their proximity to a well-developed infrastructure, known mineral occurrences and from historical records of gold and base metals production. Cigma Metals Corporation's stock trades under the symbol "CGMX.PK" on the NASD OTC Pink Sheets in the United States of America, and under the symbols "C9KA.F" on the Frankfurt Exchange in Germany.

ON BEHALF OF THE BOARD

"Lars Pearl"
Lars Pearl
President and C.E.O.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains statements that plan for or anticipate the future, called "forward-looking statements." In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of those terms and other comparable terminology.

These forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements about: our market opportunity; revenue generation; our strategies; competition; expected activities and expenditures as we pursue our business plan; the adequacy of our available cash resources; our ability to acquire properties on commercially viable terms; challenges to our title to our properties; operating or technical difficulties in connection with our exploration and development activities; currency fluctuations; fluctuating market prices for precious and base medals; the speculative nature of precious and base medals exploration and development activities; environmental risks and hazards; governmental regulations; and conduct of operations in politically and economically less developed areas of the world.

Many of these contingencies and uncertainties can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Forward-looking statements are not guarantees of future performance. These cautionary statements qualify all of the forward-looking statements made in this press release. Specific reference is made to our most recent annual report on Form 10KSB and other filings made by us with the United States Securities and Exchange Commission for more detailed discussions of the contingencies and uncertainties enumerated above and the factors underlying the forward-looking statements. These reports and filings may be inspected and copied at the Public Reference Room maintained by the U.S. Securities & Exchange Commission at 100 F Street, N.E., Washington, D.C. 20549. You can obtain information about operation of the Public Reference Room by calling the U.S. Securities & Exchange Commission at 1-800-SEC-0330. The U.S. Securities & Exchange Commission also maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the U.S. Securities & Exchange Commission at http://www.sec.gov.

We disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.

This press release is for informational purposes only and is not and should not be construed as an offer to solicit, buy, or sell any security.

Results table for Results received to date.

Hole                       Depth                    Int-   Au    Cu  Mo
 ID    North    East    RL   m   Azi dip From  To   erval  g/t   %    %
---- -------- -------- --- ----- --- -- ----- ----- ----- ---- ---- ----
Q 1  51o      75 o     233   300  50 70     0   300   300 0.39
      36, 456  07, 116
                                        155.4   300 146.6 0.52
                                        155.4 233.4    78 0.87
                                        155.4   218  62.6 0.98
                                        155.4 200.5  45.1      0.39

Q 2  51o      75 o     233   300  50 70   0.7   300 299.3 0.27
      36, 486  07, 061
                                          187 228.6  41.6 0.65
                                         30.3   109  78.7      0.23

Q 3  51o      75 o     233 280.1  50 70     0 280.1 280.1  0.3
      36, 438  07, 198
                                            0 110.8 110.8 0.43
                                           22    45    23 1.02  0.6

BZ 1 51o      75 o     240   300 291 70     0   300   300  0.3
      34, 242  05, 356
                                        220.1   300  79.9 0.41
                                        220.1 290.5  70.4 0.37
                                        290.5   300   9.5 0.69
                                        116.1 236.2 120.1       0.2
                                        236.2   300  63.8       0.1
                                         47.6    55   7.4           0.02
                                          139 144.1   5.1           0.03

BZ 2 51o      75 o     240 232.6 291 70     1   119   118  0.3
      34, 210  05, 452
                                          119 139.7  20.7 Mod.Py
                                        139.7 232.6  92.9 0.27
                                        218.6 232.6    14  0.4  0.1

BZ 3 51o      75 o     241   421 291 70     0   421   421 0.23
      34, 285  05, 376
                                        390.5   416  25.5 0.44
                                          398   416    18      0.18

Contact Information

  • For Further information, please call:
    Lars Pearl
    Phone: (+61) 4111-56177
    Address: 1 Edith Place, Coolum Beach, Australia 4573
    Website: www.cigmametals.com