Molybdenum

[Arctec]

NORTH AMERICAN GEM INC.1788-650 West Georgia StreetVancouver, B.C. V6B 4N8Telephone [phone]Toll Free 1-866-683-5445Facsimile (604) [e-mail] North American Gem Inc. Provides Drilling Update and Announces the Arrival of a Second Drill at Louise Lake March 2, 2007: North American Gem Inc. (TSX-V symbol: NAG) welcomes the arrival and activation of the second drill to the Louise Lake property. Britton Brothers Drilling of Smithers ,B.C., is currently drilling the third and fourth holes of the program consisting of approximately 3,800 metres of "NQ"-sized core (in 13 holes). Further drilling may occur if conditions permit. The road-accessible Louise Lake property is located 35 kilometres west of Smithers, a full-service community with excellent access to highway, rail and electrical power infrastructure. This drilling program is designed to test extensions of mineralization comprising the "Main Zone", a tabular, north-dipping copper-gold-molybdenum-silver deposit. The deposit extends to a depth of about 270 metres, where it is abruptly truncated by a flat-lying thrust fault, called the "Terminator". The final report by SRK Consulting also stated that the Main Zone deposit remains open to the north, along its down-dip extension. It also remains open along strike to the west and also along its southern, footwall contact. Thus, three holes will test the northern down-dip extension; one of these will be located somewhat east of known mineralization to simultaneously test the eastern strike extent. One hole will test the western strike extension and two will test the southern contact. The report suggests the presence of a separate mineralized body north of the western part of the Main Zone; this will be tested during this program. Five interior holes will be drilled within deposit boundaries, focusing on upgrading of the resource base to the indicated category. The SRK Consulting report indicated that the Main Zone occurs within a faulted block, which has been offset to the west-southwest along the Terminator fault. Therefore, the underlying portion hosting the sub-"Terminator" extension of the Main Zone occurs somewhere to the east-northeast. A geophysical anomaly comparable to that associated with the Main Zone itself occurs about one kilometre east of the zone. A single hole will target this anomaly to determine if it represents the underlying portion of the Main Zone. This News Release was reviewed and approved by Carl Schulze, BSc, PGeo, Qualified Person for the project, in accordance with regulations under National Instrument 43-101. All sample analysis was done by ALS Chemex of North Vancouver, British Columbia, Canada. The metallurgical study was done by G & T Metallurgical Services of Kamloops, British Columbia, Canada.Upcoming PDACNorth American Gem Inc. would also like to announce that the Company will be exhibiting at the upcoming PDAC Investors Exchange - Mining Investment Show. Please visit our Booth #4401 on March 6-7th for updates on our exciting properties.