Shares outstanding 32,400,614
TORONTO, Oct. 26 /CNW/ - Augen Capital Corp. ("Augen") (TSX-V: AUG) is
pleased to report the following developments in its merchant banking division:
Augen has established Augen Gold Corp. ("AGC"), a private company, to
acquire a large claim group in the Swayze Greenstone belt between Sudbury and
Timmins. The claim group consists of approximately 63 patented and 119 staked
claims covering 7,280 acres in a largely contiguous block covering a
significant portion of 6 townships (the claims and includes, on the patented
claims, the mining rights to the Jerome Mine. The latter has historically
measured resources of gold (non NI-43-101 compliant) in addition to silver and
molybdenum values. Gold occurrences are ubiquitous through-out the length of
the property and a thorough exploration program has never been undertaken
outside of the former producing Jerome mine area. Augen raised $2.75 million
by way of private placement to fund the purchase of the claims and provide
interim working capital. Augen currently owns 27.2% of the issued shares of
AGC which represents a core holding in the merchant banking portfolio.
Augen has also established Polar Bear Exploration Inc. ("PBE"), a private
company, to acquire an extensive number of claims in the Hudson Bay/James Bay
area of northern Ontario, south east of the coastal town of Pewanuck and south
west of Polar Bear Provincial Park. Twenty-five claim groups (the "Property")
have been staked in PBE and Augen currently owns 76% of PBE with the balance
owned by a private prospecting group. PBE has utilized the services of
Terraquest Ltd. and Scott Hogg and Associates, geophysical services, and now
has well defined drill targets based on magnetic anomalies over an area of
approximately 80 km x 30 km. Targets are nickel, copper, and precious metals
in a volcanic sulphide formation as well as a separate trend that may contain
diamonds in kimberlitic intrusives.
The business of Energy Fuels Inc (TSX-V: EFR) ("EFI"), formerly Volcanic
Metals Exploration with Augen as controlling shareholder has been restructured
into a uranium development and production company. Augen successfully
recruited George E.L. Glasier, a recognized uranium expert as President & CEO
in January 2006. Certain changes have been effected to management and the
board of Augen and EFI. J. David Mason, Chairman of Augen, has stepped down as
Chairman and Director of EFI to concentrate full time on his roles as Chairman
and Managing Director of Augen. J. Birks Bovaird, has stepped down as a
Director of Augen and will continue as director in EFI. Michael Skutezky,
former Secretary & Group General Counsel of Augen, has stepped down and will
continue as Secretary & Group General Counsel in EFI. Ian C. Peres, CFO of
Augen, continues as CFO and Director of EFI to represent Augen's interest in
the company, and assist in the transition. Augen continues to hold a
significant position in EFI and will continue to support the company going
forward in this exciting initiative.
About Augen Capital
Based in Toronto, Augen is a merchant bank specializing in the financing
of early-stage resource companies and is an industry leader in tax-advantaged
flow-through investments in Canada's resource sectors. The Company has over
$45 million in assets under management, including a core portfolio of emerging
resource stocks, three Resource Flow-Through Limited Partnerships, and its
mutual fund, Augen Resource Strategy Fund. Through a distribution force of
national MFDA and IDA firms, Augen offers high-income and high net worth
individuals resource flow-through tax sheltering, together with exposure to
mineral, oil and gas exploration companies that are selected to potentially
outperform the market. Investors in Augen, the public company, benefit from
positions in over 150 emerging resource companies and merchant banking
revenues derived from early stage financings.
For more information on Augen Capital, visit our website at
www.augencc.com
The company's public documents may be accessed at www.sedar.com
The TSX Venture has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.
This news release contains certain "Forward-Looking Statements" within
the meaning of Section 21E of the United States Securities Exchange Act of
1934, as amended. All statements, other than statements of historical fact,
included herein are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will prove to be
accurate, and actual results and future events could differ materially from
those anticipated in such statements. Important factors that could cause
actual results to differ materially from the Company's expectations are
disclosed in the Company's documents filed from time to time with the British
Columbia Securities Commission and the United States Securities & Exchange
Commission.
%SEDAR: 00008335E
