Cougar Minerals Corp.
CNQ : COUG

July 16, 2008 11:40 ET

Cougar Minerals & Noble Metals Group to Explore Saskatchewan Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 16, 2008) - Cougar Minerals Corp. (CNQ:COUG) ("Cougar") has entered into an exploration agreement with Noble Hydrocarbons Alta Ltd. (NHA), a wholly owned subsidiary of Noble Metals Group Inc., a publicly traded company listed on the TSX Venture Exchange, for the exploration of NHA's oil shale exploration permit located near Hudson Bay, Saskatchewan, by undertaking a diamond drilling program. In the Hudson Bay area, NHA holds an oil shale exploration permit covering parts of five townships and totalling 37,980 hectares (93,851 acres). The property area trends from south of the town of Hudson Bay to the northeast, and the northeast corner of the permit to be explored is contiguous with the southwest corner of coal -permitted ground recently granted by the Saskatchewan government to Goldsource Mines Inc., following Goldsource's recent coal discovery northeast of Hudson Bay.

The exploration rights of NHA are exclusive, and extend from surface to the top of the Precambrian geological layer. Cougar's exploration agreement with NHA provides Cougar with an option to earn a 25% interest in any non-hydrocarbon discovery made in NHA's permitted lands in return for an initial investment in exploration expenses of $550,000.00, which has been advanced by Cougar to NHA. Cougar's interest can be increased to 50% of any non-hydrocarbon resource discovered on NHA's oil shale exploration permit by advancing a further $550,000.00, to be paid by Cougar to NHA by February 15, 2009 for an extended drilling program. The total exploration budget is to be spent by July 31, 2009.

If coal is discovered in the Cougar / NHA exploration program, NHA has confirmed with Saskatchewan Energy and Resources that NHA has the option of converting part of its oil shale exploration permit to coal leases.

The consulting geologist for NHA, Ivan Young, P. Geo., is presently selecting drill targets for the NHA / Cougar exploration program, and will be assisted by Cougar's consulting geologist, Krzysztof Mastalerz, Ph.D., P.Geo., to form the Geological Team identified in the agreement.

Cougar has previously made coal permit applications to the Saskatchewan Ministry of Energy and Resources for a total of 103,680 hectares (1036.8 sq. km.) in two separate areas south of the town of Hudson Bay. The time-frame for the granting of these permits is governed by the provincial regulatory process.

COUGAR MINERALS CORP.

Mike Elson, President

The Canadian Trading and Quotation System Inc. has neither approved nor disapproved of the contents of this press release.

Contact Information

  • Cougar Minerals Corp.
    Mike Elson
    President
    (604) 685-6989
    (604) 687-1327 (FAX)