Merrex Concludes Option with Aur Resources and Increases Interest in the Jubilee Zinc Deposit

Market Wire, September, 2006

Gregory Isenor, President and CEO of Merrex Gold Inc., ("Merrex") (TSX VENTURE: MXI) is pleased to make the following announcement.

Agreement with Aur Resources

Merrex has concluded an agreement with Aur Resources Inc. ("Aur") giving Merrex the right to acquire 100% interest in that portion of the Jubilee zinc deposit not already owned by Merrex and giving Aur a one-time right to back-in to acquire 50% interest in the overall Jubilee Property. The Jubilee Property, located in Cape Breton, Nova Scotia, is the 228 claim combined land positions of Aur and Merrex which includes the Jubilee deposit.

Aur is a Toronto-based, international mining company active in the acquisition, exploration, development and mining of mineral properties with a strong emphasis on copper. Aur currently has three copper mines in production, the Quebrada Blanca and Andacollo mines in Chile and the Louvicourt Mine in Quebec. Of particular interest to Merrex management is Aur's Duck Pond copper-zinc deposit in Newfoundland which is now in development.

"We are pleased to conclude this agreement with Aur" commented Merrex President Gregory Isenor. "This option agreement will give Merrex complete control over the known mineralized areas of the Jubilee Deposit including the Main Zone and Northwest Extension, the Road Zone and the Northeast Extension. Furthermore, we are particularly excited about the possibility of Aur joining us as a joint venture partner as the exploration of Jubilee progresses."

The Option Agreement

Under the agreement Merrex may earn a 100% interest in Aur's 23 mineral claims (the "Aur Claims") contiguous to Merrex's 205 claims (the "Merrex Claims") in Nova Scotia.

To earn the agreed interest Merrex must make annual cash payments aggregating $80,000 and incur either $1,000,000 of exploration expenditures on the Aur Claims or $2,000,000 of exploration expenditures on the combined Aur Claims and Merrex claims with a minimum of $500,000 on the Aur Claims, all over a three year period.

Merrex will be the operator during its earn-in period.

If Merrex exercises its option and acquires the Aur Claims and upon Merrex having incurred aggregate exploration expenditures of $2,000,000 on the combined Aur Claims and Merrex Claims, then Aur shall have the right for a period of 90 days to elect to back-in for a 50% interest in the combined Jubilee Property by incurring exploration expenditures equal to 200% of the Merrex expenditures (a minimum of $4,000,000) on the combined Jubilee Property. Aur will be the operator during its back-in period.

Upon the completion of the Aur back-in the parties will enter into a joint venture for the further exploration and development of the Jubilee Property.

Further, if Merrex exercises its option and acquires the Aur Claims and Aur elects not to back in, then Aur shall receive a Net Smelter Return of 2% provided that 1% of such Net Smelter Return may be purchased for $1,000,000

The Jubilee Deposit

The Jubilee Deposit is a carbonate-hosted, stratabound zinc, lead, barite deposit that has been classified to date as showing affinity with both "Irish Style" base metal deposits and the broad Mississippi Valley Type (MVT) deposit class. Mineralization at Jubilee is hosted by carbonate rocks of the Early Carboniferous age, with the principal base metal sulfides being sphalerite and galena. This mineralization occurs as replacements of host rock in breccia zones that parallel fault structures in the Jubilee area. Several other fault structures with excellent potential are present in the area and require exploration. In addition, recent drilling has shown that the Jubilee fault itself is mineralized and this target has not yet been explored.

Notwithstanding that in excess of 150 holes have been drilled on Jubilee Deposit to date, mineral resources or reserves considered compliant with National Instrument 43-101 (NI43-101) have not been established. However, Savage Resources Canada Company (Savage) prepared an in-house estimate in 1998 of 1,560,000 tonnes (rounded) grading 5.49% zinc and 1.4% Pb. Although this resource was not classified in accordance with NI 43-101, Merrex considers the historic figures to be relevant and reliable to future property evaluation by demonstrating continuity and character of mineralization. Associated drilling results indicate that the Jubilee deposit remains open to the northwest along the Jubilee Fault and also along mineralized, northeast trending secondary faults which provides significant potential to increase the resource base.

The 2005 Program and 2006 Plans

During September and October 2005 Merrex conducted an 872 meter five-hole diamond drill program within the Jubilee deposit to begin confirmation of the grade and character of zinc-lead mineralization occurring within the previously drilled Main Zone and Jubilee Fault. The results of that drill program increased confidence in the previously reported resource estimates and the next drill program planned for fall 2006 will focus on establishing a NI43-101 compliant resource for the Jubilee Deposit.