AmMex Gold Mining Corporation
OTC Bulletin Board : AMXG

AmMex Gold Mining Corporation

August 23, 2007 17:11 ET

CORRECTION FROM SOURCE: AmMex Gold Engages John R. Hedges of Tucson Arizona to Update Economic Modeling of their Castle Copper/Molybdenum Property in Arizona

This document replaces the release sent earlier today at 4:15 pm EST

OTTAWA, ONTARIO--(Marketwire - Aug. 23, 2007) - AmMex Gold Mining Corp. (OTCBB:AMXG)(FRANKFURT:R5E)(WKN:A0KE72) is pleased to announce that they have recently engaged John R. Hedges to complete an economic valuation of the Castle Copper/Molybdenum property, located in Tucson Arizona, U.S.A. Historic exploration data, modern mining methods, along with current mining costs and metal prices will be used in this evaluation.

To date, 55 core holes have been drilled at Castle Copper. Most of these holes (38 of 55) were carried out by Phelps Dodge between 1963 and 1966. A preliminary economic valuation completed in 1992 by Donald A. Bourne of Watts Griffis and McOuat in Toronto estimated a drill indicated inventory between 30 and 40 million tons grading 1.6% copper and 0.04% molybdenum with precious metals. In 1992, Watts Griffis reported a reasonable return could be realized mining via an underground ramp and conveyor system with constant copper prices of $US1.20/lb and $US2.10/lb molybdenum. No provision was made for precious metal credits in the valuation.

Bill Reed, Manager of Exploration, commented "An updated economic model using today's costs and prices is an important step in our evaluation of the Castle property and its potential to enhance shareholder value. The copper price is now around $3.40 per pound and molybdenum is over $30 per pound which should prove very beneficial to an updated evaluation."

John Hedges has more than 35 years of management experience in the mining, engineering/construction and financial industries. From 1993 to present, Mr Hedges has been an Independent Consultant to both small and large banks and corporations, hedge funds and private investors. He has assisted in mergers and acquisitions, asset valuations for regulatory agencies and bankruptcies, asset appraisals, market analysis, and investment portfolio analysis. Mr Hedges had key roles in the structuring and successful financing of major mining, industrial and infrastructure projects worldwide with particular emphasis on the Americas. This included most of the copper mines developed in the 1980's (Escondida, Tintaya, Chuquicamata expansion, Cananea expansion, Cerro Verde, Ok Tedi), and many of the Gold mines of North America in the early 1990's.

Mr Hedges has a B Sc, Geology, Engineering Geology, Hydrogeology, from Concordia University and has completed post graduate studies at McGill University in Professional Development Mineral Economics .

On July 9th, 2007, AmMex Gold signed a Letter of Intent to acquire a 100% interest in the Castle property subject to a 45 day due diligence period, a 2.5% NSR and staged payments and work commitments over a five year period (see news release dated July 10th, 2007 for details)

About AmMex Gold

AmMex Gold Mining Corp. is a precious metals exploration and development company. It is management's objective for AmMex Gold to become a gold and precious metals producer by developing projects in Mexico and Nevada, and by acquiring other advanced-stage projects and/or producing mines in proven precious metal districts throughout the world. The Company trades on the OTC market under the symbol "AMXG" and on the Frankfurt Exchange under the symbol "R5E". For more information, please visit the Company's website at (Available in English, and German).

Contact Information

  • AmMex Gold Mining Corp
    Bill Reed, VP of Exploration
    Investor Relations