Kinbauri Gold Corp.
TSX VENTURE : KNB

Kinbauri Gold Corp.

May 16, 2006 11:23 ET

Kinbauri Gold Corp.: High Grade at Pozo Del Ingles Including 10.3g Au/t Over 1m

CARP, ONTARIO--(CCNMatthews - May 16, 2006) - Kinbauri Gold Corp (TSX VENTURE:KNB) is pleased to announce the results of the three holes drilled on the Pozo del Ingles vein system during the recently completed drill program at its Corcoesto gold project in northwestern Spain. The holes were drilled to test the continuity and strength of zone P.I. 20 at depth and the extent of two high grade shoots (P.I. 20W and P.I. 20E) within P.I. 20. All significant intercepts are listed in Table 1.



DDH 06K14, drilled to a depth of 485.05m on section 3710E, intercepted
the hanging wall of P.I. 20 (P.I. 20H) at a down-hole depth of 275m and
the foot wall of P.I.20 (P.I. 20F) at a down-hole depth of 340m. High
grade gold intercepts in DDH 06K14 included:

- 5.30g/t over 1m beginning at 236.6m (P.I. 27);
- 6.41g/t over 2m beginning at 276.65m and including 11.74g/t over
1m (P.I. 20H);
- 5.45g/t over 4.5m beginning at 340m and including 7.95g/t over 2m
(P.I. 20F).

The P.I. 20F intercept was approximately 130m down-dip and 50m
laterally from the P.I. 20 intercept on DDH 05K5, which intersected
10.64g Au/t over 2 m at a down-hole depth of 212.2m .

DDH 06K20, drilled to a depth of 289.55m on Section 3460E to test the
extension of P.I. 20W, had the following high grade gold intercepts:

- 10.26g/t over 2.5m beginning at 222m and including 18.6g/t over
1m;
- 4.93g/t over 3.55 beginning at 264.75m and including 8.4g/t over
1.4m.

The first intercept appears to correlate with an intercept,
approximately 110m up-dip within P.I. 20W, in DDH 05K2 of 19.34g/t
over 2.5m beginning at 137m and including 45.83 g/t over 1m.


DDH06K17, drilled to a depth of 282.55m on section 3585E, had one high grade gold intersection of 6.97g/t over 1.1m beginning at 243.6m. This represents a significant drop-off in gold values from the closest intercept within P.I. 20E , approximately 100m up-dip. There 13.48g/t over 2.6m beginning at 112.5m and including 22.17g/t over 1.5m was intercepted in DDH COR205.

Kinbauri's drill programs at Corcoesto to date have been focused on expanding high grade resources at depth for underground mining. In light of appreciating gold prices, Kinbauri is re-evaluating complementary open pit development at Corcoesto and is planning a drill program of about 6,400m to increase resources extractable by open pits and/or ramps. In 2003, Rio Narcea Gold Mines, Ltd. (RNGM) was developing a plan to open pit mine a series of vein systems at Corcoesto; Kinbauri will be re-assessing these plans as part of its summer program.

The program at Corcoesto is being supervised by Dr. C.F. Gleeson, P.Eng., Kinbauri's Vice-President of Exploration and a qualified person under N.I. 43-101. For details of Kinbauri's treatment of samples and quality control program, please refer to Kinbauri press release of March 2, 2006.

Kinbauri is a junior gold exploration company with 9,469,189 common shares issued and outstanding and 10,217,189 fully diluted. Kinbauri can earn a 65 percent interest in Corcoesto from RNGM by expending 4,000,000 euros over five years (for full details, refer to press release of March 7, 2005). Kinbauri has met its required expenditures for the first year ending April 1st, 2006 and a significant portion of its second year requirements.

This press release was prepared by Dr. V.N. Rampton, P.Eng. in his capacity as a qualified person.

THIS PRESS RELEASE WAS PREPARED BY KINBAURI GOLD CORP. AND THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED OR DISAPPROVED THE CONTENT OF THIS RELEASE.

This press release contains certain forward-looking statements, which are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected. Kinbauri undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.



Table 1. DDH 06K14, DDH 06K17 and DDH 06K20 significant
intercepts (i)

-------------------------------------------------------------
06K14 (drilled to depth of 480.05m on section 3710E)
From (m) Intercept (m) Grade (g Au/t)
232.00 1.00 2.36
233.00 1.50 1.37
-------------------------------------------------------------
236.60 1.00 5.30
-------------------------------------------------------------
275.00 1.65 1.86
276.65 1.60 1.09
278.25 1.00 11.73
-------------------------------------------------------------
319.00 1.00 3.06
-------------------------------------------------------------
332.80 1.00 1.25
-------------------------------------------------------------
338.00 1.00 1.64
340.00 1.50 4.70
341.50 1.00 1.56
342.50 1.00 7.50
343.50 1.00 8.40
-------------------------------------------------------------
378.00 1.00 1.54
-------------------------------------------------------------
385.50 1.50 1.11
-------------------------------------------------------------
399.50 1.50 1.71
401.00 1.00 2.51
-------------------------------------------------------------
425.50 1.50 2.31
-------------------------------------------------------------
-------------------------------------------------------------
06K17 (drilled to depth of 282.55m on section 3585E)
From (m) Intercept (m) Grade (g Au/t)
47.80 1.00 2.66
-------------------------------------------------------------
187.00 1.00 2.40
-------------------------------------------------------------
243.60 1.10 6.97
-------------------------------------------------------------
-------------------------------------------------------------
06K20 (drilled to depth of 289.55m on section 3460)
From (m) Intercept (m) Grade (g Au/t)
96.20 1.00 1.56
-------------------------------------------------------------
125.40 1.40 2.25
-------------------------------------------------------------
210.35 1.00 2.30
-------------------------------------------------------------
216.00 1.45 1.63
-------------------------------------------------------------
222.00 1.50 4.70
223.50 1.00 18.60
-------------------------------------------------------------
225.50 1.00 1.00
-------------------------------------------------------------
243.00 1.20 1.49
-------------------------------------------------------------
264.75 1.40 8.40
266.15 1.15 2.26
267.30 1.00 3.15
-------------------------------------------------------------
-------------------------------------------------------------
(i) Greater than.1.0g Au/t; Intercepts are generally 64 to 87
percent of true width



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