Amerigo Resources Declares Dividend

VANCOUVER, Aug. 5 /CNW/ - AMERIGO RESOURCES LTD. (Vancouver, British
Columbia) announced today that its Board of Directors has approved a policy of
paying semi-annual dividends with the first dividend of Cdn 4.5 cents per
common share payable on September 1, 2005 to shareholders of record August 19,
2005.
The Company views common share dividends as an important part of a
shareholder's return on investment. The nature of the Company's present
operations at MVC and current market conditions lend themselves to the payment
of a regular dividend, and it is the present intention of the Board of
Directors to pass on the benefits of strong copper and molybdenum prices to
shareholders.
The Company's dividend policy will be, under normal circumstances and
after taking into account the Company's cash flow, short term and long term
needs and objectives, to declare and pay dividends on the Common Shares
averaging at least one-third of reported net earnings over a period of years.
The declaration of each dividend, however, is in the discretion of the Board
of Directors which reserves the right to adjust or terminate the declaration
and payment of dividends from time to time according to the prevailing
business environment and cash needs of the Company.

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Amerigo Resources Ltd. is a Canadian copper and molybdenum producing
company forecasting 15,000 tonnes of copper production and 600,000 pounds of
molybdenum in 2005 from its MVC operations near Santiago, Chile. Tel:     
(604) 681-2802; Fax: (604) 682-2802; Web: www.amerigoresources.com; Listing:
ARG:TSX

The Toronto Stock Exchange has not reviewed nor accepted responsibility
for the adequacy or accuracy of the contents of this news release, which
has been prepared by management.

Statements contained in this news release that are not historical facts
are forward-looking statements as that term is defined in the Private
Securities Litigation Reform Act of 1995. Such forward-looking statements are
subject to risks and uncertainties which could cause actual results to differ
materially from estimated results. Such risks and uncertainties are detailed
in the Company's filings with the TSX and on SEDAR.