St. Eugene Reports 90% Gold Recovery and Up to 93% Silver Recovery at Amisk Joint Venture

TORONTO, ONTARIO -- (Marketwire - Aug. 8, 2011) - St. Eugene Mining Corporation Limited (TSX VENTURE: SEM) ("St. Eugene" or the "Company") is pleased to announce positive results from metallurgical test work from the Amisk Gold Project in northeastern Saskatchewan, Flin Flon Greenstone Belt. The metallurgical test work has demonstrated that gold recovery of 90% and silver recovery of up to 93% can be obtained at the Amisk Gold Project using cyanidation with carbon-in-pulp technology.

Jennifer Boyle, President and CEO of St. Eugene commented, "These positive metallurgical results speak to the quality of the resource at the Amisk Gold Project, but more importantly, they demonstrate that gold and silver recoveries can be successfully achieved with simple conventional leaching processes".

The Amisk Gold Project is a Joint Venture between Claude Resources Inc. and St. Eugene. St. Eugene holds a 35% participating interest in the Amisk Gold Project and Claude Resources holds a 65% interest and is the operator of the Joint Venture.

Three composite samples from the high grade, average grade and low grade ore, weighing a total of 217 kg were selected from the diamond drill core collected during the 2011, 2010 and historic drill programs. The best recoveries were achieved using the finest grind at 80% passing 72 microns and the predicted grind required for the best recovery is 80% passing 75 microns (200 mesh). Cyanide leaching tests were performed on average ore at various grind sizes. The results have returned an average of 89.4% recovery for gold, ranging from 85.2% to 91.7% and an average of 80.8% recovery for silver, ranging from 66.4% to 92.8%. Finer grinds resulted in higher recoveries for all metals, with peak recoveries for the medium grade composite of 91% for gold and 92.8% for silver. Details of the metallurgical results are presented in the table below:

					Sodium 		
	Grade 	Grade 	Au 	Ag 	Cyanide 	Lime 	Grind
	Au 	Ag 	Recovery 	Recovery 	Consumption 	Consumption 	80%
Composite ID 	(g/T) 	(g/T) 	(%) 	(%) 	(kg/T) 	(kg/T) 	(microns)
Low Grade 	0.50 	7.4 	89.8 	70.9 	1.24 	0.51 	72
Average Grade 	0.85 	9.2 	85.2 	88.9 	0.71 	0.50 	146
Average Grade 	0.85 	9.2 	89.1 	84.8 	0.90 	0.43 	117
Average Grade 	0.85 	9.2 	91.0 	92.8 	0.87 	0.46 	72
High Grade 	1.68 	8.4 	91.7 	66.4 	1.15 	0.42 	92

Metallurgical and grinding mill engineering test work was conducted by Inspectorate Metallurgical Division of Richmond, British Columbia and was managed by John Starkey, P.Eng, a Qualified Person under National Instrument 43-101.

Tania Ilieva, P.Geo., is the Qualified Person who has reviewed and approved the contents of this news release for and on behalf of St. Eugene. Brian Skanderbeg, P.Geo. and M.Sc., Claude's Vice- President Exploration, is the Qualified Person who has reviewed and approved the contents of this news release for and on behalf of Claude.



CAUTION REGARDING FORWARD-LOOKING INFORMATION

This news release of St. Eugene contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause St. Eugene's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "potential" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Forward-looking statements in this document include statements regarding St. Eugene's expectations regarding ownership, entitlements, drilling and exploration activities on properties in which St. Eugene has, or believes it has an interest. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from St. Eugene's expectations. St. Eugene undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change, unless otherwise required by law.


Neither the 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.



Contact Information

St. Eugene Mining Corporation Limited
Jennifer L. Boyle, B.A., LL.B.
Chief Executive Officer
T: (647) 344.3158 C: (416) 904.2714
jennifer@capexgroupinc.com

St. Eugene Mining Corporation Limited
Wes Hanson, P. Geo.
Chairman of the Board
T: (647) 344.3158
wes.hanson@me.com