Southern Arc Minerals Inc.

Southern Arc Minerals Inc.

May 03, 2007 08:30 ET

Southern Arc Minerals Inc.: Commencement of Drilling at J3 Prospect, Sumbawa Island, Indonesia

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 3, 2007) - Southern Arc Minerals Inc. (TSX VENTURE:SA) is pleased to announce the commencement of a short scout diamond drilling program at its J3 Prospect located on Sumbawa Island, Indonesia.

The J3 Prospect is situated in the southeastern corner of SA's Taliwang property, approximately 12 km north of Newmont's Batu Hijau porphyry Cu-Au mine. J3 was discovered by Newmont during first pass regional exploration in 1987 and subsequently targeted during further geochemical and geophysical programs. Au-Ag mineralization was identified from a contact zone of a shallow westward dipping silicified limestone and an altered volcaniclastic sediment unit.

The results of subsequent surface mapping and outcrop sampling (both manual and diamond rock sawing) by SA have been detailed in previous news releases NR 07-02 and NR 07-09, dated February 07, 2007 and April 18, 2007, respectively. Outcrop sampling of jasperoid ledges, which have been outlined over an area of 60,000 m2, has returned numerous intersections in excess of +5.0 g/t Au/+50 g/t Ag to a maximum tenor of 216.0 g/t Au/330 g/t Ag over 3.0 metres. A recent orientation IP ground survey over the area of interest defined geophysical signatures suggestive of subsurface lateral extensions of known jasperoid surface mineralization. Modeling suggests that these subsurface bodies are flat-lying, with lesser north-south structural feeder zones postulated in the eastern grid area. Further to the west similar geophysical signatures have been noted in areas of subcropping jasperoid and extensive talus scree fields.

A program of 6 to 7 shallow (50 to 75 m) scout diamond drill holes has commenced to test subsurface extensions of known surface jasperoid mineralization. In some instances holes will be scissored to test for potential footwall mineralization, as well as to confirm the geometry of the jasperoid body.

The J3 Prospect geological and geochemical signatures indicate the potential for carbonate replacement Au-Ag mineralization, with a model of steeply-dipping fault/fracture structures channeling Au-Ag rich hydrothermal fluids into flat-lying receptive carbonate horizons.

On behalf of the Board of Southern Arc Minerals Inc.

John Proust, President and CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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