Kaminak Gold Corporation
TSX VENTURE : KAM

Kaminak Gold Corporation

November 16, 2010 16:00 ET

Kaminak Drills Two New Gold Discoveries in the Latte Area

"Connector Zone" Yields 5.5 g/t Au over 11m (incl. 10.5 g/t Au over 3m)

"Latte North Zone" Yields 2.63 g/t Au over 13m (incl. 11 g/t Au over 2m)

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 16, 2010) - Kaminak Gold Corporation (TSX VENTURE:KAM) today announced additional significant drill discoveries on the Company's 100% owned Coffee property, located in the White Gold District, Yukon Territory. Drilling of separate gold-in-soil anomalies in the Latte area resulted in the identification of two new gold trends known as the "Latte North Zone" and the "Connector Zone". Latte North occurs 200m north of the known Latte Zone and Connector occurs 800m east-northeast of Latte. All zones begin at surface and remain open along trend and at depth.

Key Point Summary:

  • Two new gold zones discovered on the Coffee property known as "Connector" and "Latte North"

  • Connector Zone yielded grades up to 5.5 grams per tonne gold (g/t Au) over 11m and Latte North Zone up to 2.63 g/t Au over 13m

  • The Connector Zone represents a new zone of significant gold mineralization at the intersection between the Supremo and Latte mineralized corridors, and highlights potential for considerable increase in strike length of the Supremo T3 Trend. 

  • Assays are pending for drill holes on the nearby Americano and Espresso targets, as well as structural trends between Kona and Latte.

"These new results demonstrate the Latte-Supremo area has the potential to host a number of closely spaced and near surface gold zones," stated Rob Carpenter, Kaminak's President and CEO. "Expanding and defining these targets will clearly become high-priority for the upcoming 2011 drill program."

Connector Zone

The Connector Zone is named for the interpreted intersection of the Latte and Supremo mineralized trends, when projected along strike towards the east and south respectively. This intersection zone is interpreted to be prospective for gold mineralization and was targeted initially for follow-up detailed grid soil sampling on 25m x 25m spacing. The soil sampling subsequently defined a broad 500m x 450m soil anomaly peaking at 460ppb Au.

Three holes were drilled to test the bedrock source of the broad gold in soil anomaly, on two orientations:

  • CFD-69 and 71 were drilled from the same set-up at -50° and -70° inclination towards the west to target the projected southerly strike extension of the north-south trending Supremo T3 mineralized corridor. 

  • CFD-73 was drilled at -50° towards the north to target the projected westerly strike extension of the east-west striking Latte mineralized corridor. 

The Connector Zone drilling intersected lithological sequences typical of the Supremo and Latte Zones, comprising felsic augen gneiss, biotite-schist and discrete mylonite (shear) zones. In CFD-69 & 71, gold mineralization occurs within two discrete steeply-dipping zones of elevated gold with widths up to 50m (see cross-section for Connector Zone on Kaminak website). Significant gold grades, including up to 5.50g/t over 11 metres in CFD-69, are associated with sulphidic and strongly silica + clay altered, sheared and brecciated mafic schist and andesite dykes. The gold mineralized zones intersected in CFD-69 and 71 are interpreted to project to surface, and remain open along strike and at depth. 

The Connector Zone represents a new zone of significant gold mineralization at the intersection between the Supremo and Latte mineralized corridors, and highlights potential for considerable increase in strike length of the Supremo T3 Trend. Soil geochemistry suggests that the gold structures intersected in CFD-69 and 71 lie along trend of the north-south striking Supremo T3 gold discovery which is located >1000 metres to the north, thereby providing considerable scope to identify additional gold mineralization within this structural corridor. Therefore, the total strike length of the Supremo T3 Trend could extend up to 2 kilometres. Follow-up drilling planned for the 2011 drill season will consist of drill fences across the Connector Zone to define the mineralized structures, and step-out drilling along strike to test continuity and delineate the intersection with the east-west Latte Zone. 

Latte North Zone

The Latte North Zone comprises a discrete 500m long ENE-WSW striking gold in soil trend located 100-300 metres north of the previously delineated east-west striking Latte Trend. Drilling comprised two holes from a single set-up drilled at -50° and -70° inclination towards the north. The holes intersected lithological sequences typical of the Latte Zone, dominated by biotite schist. 

Gold mineralization occurs within a discrete steeply-dipping zone of elevated gold with true width of 5 metres (see cross section for Latte North on Kaminak website). Significant gold grades, including up to 2.63g/t over 13 metres in CFD-60, are associated with strong limonite after oxidation of sulphides, and strong silica + clay alteration hosted within sheared and fractured biotite schist with minor breccia zones. Mineralization is interpreted to extend to surface and remains open along strike and at depth.

The relationship between the Latte and Latte North Trends is unknown at the present time. Nonetheless, this new discovery illustrates the potential for additional gold zones in the Latte area. Follow-up drilling is planned for the 2011 field season to test for potential strike and depth extensions.

Drill Results

Drill Hole # Zone From
(m)
To
(m)
Length
(m)*
Weighted
Grade
(g/t)
CFD-57 Latte North 25 32 7 2.37
    44 48 4 1.55
    96 98 2 1.16
           
CFD-60 Latte North 31 44 13 2.63
incl   37 39 2 11.00
           
CFD-69 Connector 2.52 7 4.48 1.42
    23 27 4 2.47
    133 144 11 5.5
incl   133 136 3 10.49
    153 154 1 1.41
    172 175 3 4.67
incl   174 175 1 10.25
    185 187 2 1.06
    203 205 2 1.73
           
CFD-71 Connector 24 25 1 3.65
    49 57 8 0.73
    65 67 2 2.09
    195 202 7 3.16
    234 237 3 5.67
    254 256 2 2.32
           
CFD-73 Connector 239 240 1 1.98
*true widths are estimated at 50-70% of core length

Three additional holes were drilled in the Latte-Supremo area in order to test nearby lower priority and unnamed gold-in-soil trends. Drill holes CFD-65 and CFD-67 were drilled 400m south and 800m southwest respectively of the Supremo Zone, and drill hole CFD-75 was collared 350m south of the Double Double Zone. Drilling successfully intersected highly deformed and altered shear zone rocks however only weakly anomalous gold values were obtained. No further drilling will be completed on these targets. 

Detailed plan maps, cross-sections, and assay sheets of Latte North and the Connector Zone are available on the Kaminak website at www.kaminak.com.

QA/QC

Kaminak's disclosure of a technical or scientific nature in this press release has been reviewed and approved by Dr. Rob Carpenter, Ph.D., P.Geo., Kaminak's President and CEO, who serves as a Qualified Person under the definition of National Instrument 43-101. Quality assurance and quality control procedures include the systematic insertion of blanks and standards into the drill core sample string. Samples are placed in sealed bags and shipped directly by charter plane to the ALS CHEMEX preparatory laboratory in Whitehorse prior to gold fire assay and ICP-MS analysis. The Coffee property is an early stage exploration property and does not contain any mineral resources as defined by National Instrument 43-101.

On behalf of the Board of Directors of Kaminak

"Rob Carpenter"

Rob Carpenter, Ph.D., P.Geo.
President and CEO
Kaminak Gold Corporation

For further information about Kaminak Gold Corporation or this news release, please visit our website at www.kaminak.com.

Kaminak is a member of the Discovery Group of companies. For more information on the group please visit www.discoveryexp.com.

Certain disclosures in this release, including management's assessment of plans and projects and intentions with respect to listings of securities, use of proceeds and future exploration programs, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Kaminak's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including risks as to the completion of the plans and projects. Readers are cautioned not to place undue reliance on forward-looking statements. Kaminak expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.

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.

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