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Gold/Mining/Energy : Baron Gold Corp.(former Veto Res.) BXG.VSE

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To: Ron Waller who wrote (13)8/28/1997 2:23:00 PM
From: Judy Ryon   of 30
 
Hi Ron!

The following is the latest news release regarding getting under way with our drilling on the Strebe Gold property, and...guess what...we have diamond indicator minerals on the "Fox" property in Alberta! (Its the important first step in discovering diamonds!)

With September just around the corner, assays coming out next week on the 140 grab samples from the Strebe, and drill results later in the month, I think Baron can look forward to a much improved market.

Cheers! Judy.............

BARON GOLD CORP. (BXG.V) NEWS RELEASE

August 25, 1997

DRILLING TO BEGIN ON STREBE GOLD PROPERTY IN BC

We are pleased to announce that the drill is enroute to the "Strebe" property. Drilling is expected to get under way this week and continue through the weekend. Additionally, a total of 140 samples recovered from trenching have been sent to the labs for assaying, with results expected early September. Many of the samples show visible gold.

Recently, Baron Gold Corp. was able to recover assay information from drilling done on the "Strebe" in 1988. The information verified a section of a drill core with gold assays of 14.7 ounces per ton (over one foot) and other samples grading in the multiple ounce per ton.

The objective of the 1997 drill program is to increase the indicated and inferred reserves from 75,000 ounces of gold, to between 250,000 and 400,000 ounces.

Baron Gold Corp. has optioned 100% interest in the "Strebe" property.

DIAMOND INDICATOR MINERALS FOUND ON THE "FOX" PROPERTY IN ALBERTA

A total of 31 potential diamond indicator minerals have been recovered from 312 kg. of random samples collected on the surface of the "Fox" property. These indicator minerals have been sent to a specialized lab for further testing of quality. Results are expected mid September.

Baron Gold Corp. holds a 50% interest in the "Fox" diamond property with Levelland Energy and Resources Ltd. The property is located in northeastern Alberta near the "Ashton" diamond discovery.

As we make progress we will be putting out frequent reports.

ON BEHALF OF THE BOARD,
BARON GOLD CORP.

"Harvey D. Dick"

Harvey D. Dick
PRESIDENT

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy of this release.
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