September 8, 2010: North American Gem Inc. (NAG) (TSX-V symbol: NAG) has amended the terms of the non-brokered private placement originally announced on August 4th, 2010. The Company, subject to the approval of the TSX Venture Exchange, intends to issue up to 12,500,000 units at a price of $0.08 per unit for total proceeds of up to $1,000,000.

Each unit will consist of one common share and one full warrant. One warrant will entitle the holder to purchase one additional common share of the company at a price of 10 cents per share for the first year, 12 cents per share on the second year and 15 cents per shares until expiration on the third year.

The proceeds of the private placement will be used for general working capital and exploration. A finder's fee may be payable according to the policies of the TSX Venture Exchange.

North American Gem Inc. (TSX-V symbol: NAG) is a junior resource company in Western Canada. The company's major focus is expanding its coal mining operations at its flagship properties in Kentucky. In addition, the company has interests in coal, copper, molybdenum, and other base metals in Canada.

On Behalf of the Board of Directors
NORTH AMERICAN GEM INC.
"Charles Desjardins"

Charles Desjardins
President and Director

"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."

Cautionary note:
This report contains forward looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. The production rate and mine-life projections have been made without support of a feasibility study, there is no certainty the proposed operations will be economically viable. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.