September 28, 2010 09:40 ET

J.A.G. Mines Ltd./Lac St. Jean Property: Completion of the Fourth Year (2009-2010)

Oil and Gas Exploration Program Promising Results

MONTREAL, QUEBEC--(Marketwire - Sept. 28, 2010) - J.A.G. Mines Ltd. («JAG»)(TSX VENTURE:JML) is pleased to announce that it has completed the fourth year of its exploration program on its Lac St. Jean Property (Quebec) during which a ground gravimetric survey was conducted on the eastern shore of Lac St-Jean, from St-Méthode to St-Gédéon, and a shallow-water waterborne Magnetometric survey, on the surface of the lake. Regional structural features underlined by the combined results of both surveys suggest basement uplift in the central part of the lake, close to Chambord, and the subdivision of the Ordovician carbonate platform into two basins of unequal dimensions and depths. The larger and deeper basin being located in the North-Western part of the lake (from St-Méthode to Roberval) and the smaller in its South-Eastern part (from Chambord to Metabetchouan). Basement uplift is suggested by high and positive gravimetric and magnetic anomalies and explains the spatial distribution of Soil Gas anomalies identified by JAG in 2008 which appear to be preferentially located where the Ordovician carbonate platform is thicker. Those results allow JAG to better define the areas where further exploration should be targeted.

Since the end of 2006, JAG is actively exploring for Oil and Gas in the Lac St. Jean area, where it holds five exploration permits covering 99,945 hectares. JAG has developed a comprehensive two phase research program which can be consulted on SEDAR. The objective of Phase 1 is to determine the petroleum-generative potential of the sedimentary rock sequence and identify the eventual surface expression of hydrocarbon-induced soil and sediment alterations. In Phase 1, JAG has chosen to use a step by step integrated interdisciplinary approach combining geology, subsurface geophysics, Soil Gas and other surface geochemical exploration methods, in order to identify the eventual occurrence of micro-seeps and their associated light hydrocarbons. Collected results during Phase 1 should enable JAG to define targets before conducting more detailed exploration and more conventional surveys during Phase 2.

JAG has invested some additional $ 200,000 during the fourth year of its exploration program, bringing its total investment on the Lac St-Jean property to $ 500,000. The property covers an Ordovician sedimentary rock succession which has traditionally been correlated with better exposed St. Lawrence Lowlands strata to the south (e.g. Trenton limestone and Utica Shale). The area remains largely unexplored for Oil and Gas, however, promising results obtained so far encourage JAG to carry on its exploration program.

This press release was prepared by Dr. Marc Richer-LaFlèche, geologist and Mrs. Geneviève Camiré also geologist.

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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