Kaminak Gold Corporation

Kaminak Gold Corporation

October 18, 2006 08:30 ET

Kaminak and Pacific Ridge Report 0.31% U3O8 Over 11.5 Metres and 0.27% U3O8 over 5.8 Metres From KZ Zone Drilling at Baker Lake

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 18, 2006) - Kaminak Gold Corporation (TSX VENTURE:KAM) and partner Pacific Ridge Exploration Ltd. (TSX VENTURE:PEX) are pleased to report assays from the first four of eleven diamond drill holes on Kaminak's 100% owned Baker Lake Uranium Project, located in the Kivalliq District of the Nunavut Territory. In addition, recent surface exploration has identified a new and separate zone of uranium mineralized boulders assaying up to 1.83% U3O8.

Key Point Summary

- Three of four drill holes intersected significant near surface uranium over wide intervals.

- New separate surface zone of mineralized boulders discovered through prospecting yielded assays up to 1.83% U3O8.

- Drill program completed and additional drill results are expected in the coming weeks.

KZ Zone Drill Results

The KZ Zone is one of three zones within the Baker Lake Uranium Project that has seen drill testing since August 30th, 2006. The initial four angled holes were collared at the KZ Zone, which consists of uranium mineralization associated with a near vertical structure within the sandstone in-filling of the Baker Basin.


HOLE SECTION (m) (m) (% U3O8) (lbs U3O8/T)

KZ 06-01 9065 N 36.0 - 41.8 5.8 0.27 5.9

KZ 06-02 9065 N 79.5 - 91.0 11.5 0.31 6.8
Includes 85.5 - 91.0 5.5 0.56 12.3
95.5 - 97.5 2.0 0.23 5.1

KZ 06-03 2750 E No significant intersections,
drilled away from target

KZ 06-04 9055 N 123.0 - 128.2 5.2 0.40 8.8
Includes 123.0 - 125.0 2.0 0.90 19.8

Drill holes 06-01, 06-02, and 06-04 were collared to the east of the near vertical structure hosting uranium mineralization and were planned to intersect the KZ Zone at approximately 50 metre intervals progressing to depth. All three holes intersected the well mineralized structure with a vertical alignment of intersections and a general trend of improved grade with depth. True widths are estimated at between 50% and 70% of total drill intervals. The uranium mineralization is associated with silicified and hematite altered sandstone within and adjacent to a structurally controlled alkaline dyking system.

The KZ Zone has been defined by a radiometric survey to be over 1 kilometre in length. Historic drilling of vertical holes along approximately 350 metres of the 1 kilometre target zone saw several holes with uranium values of 0.84% U3O8 over 5.4 metres at depths less than 100 metres from surface. The 2006 drilling program has been a first attempt to test mineralized extensions to depth.

Drill hole KZ 06-03, drilled away from and parallel to the structure, did not intersect any significant mineralization within the sandstone host.

Additional drill hole results from the Baker Lake Uranium Project will be reported when received.

"7-one Zone" - New Surface Discovery at Baker Lake Uranium Project

Recent surface exploration has identified a new zone of uranium mineralized boulders assaying up to 1.3% U3O8. The new discovery, called the '7-one' Zone, is located 4 kilometres northeast of the previously announced discovery of the Lucky-7 Zone (see Kaminak news releases August 16 and October 2, 2006).

The '7-one' Zone has been outlined by a 300-metre-long and 100-metre-wide grid-controlled radiometric anomaly. Prospecting within the '7-one' radiometric anomaly defined a north-south trending frost-heaved boulder trend of mineralized sandstone. Assays of eight large angular boulders range from 0.81% U3O8 to 1.83% U3O8 and average 1.29% U3O8. Uranium mineralization appears as disseminated blebs and thin bedding parallel black seams of pitchblende within coarse grained Kazan sandstone. The '7-one' Zone represents a new discovery on the property and will be drill tested in 2007.

Project Overview

Kaminak holds a 100% interest in the 510,000 acre property, located in the Kivalliq District of central Nunavut. The Baker Lake Basin is one of four Proterozoic age basins within the Canadian Shield that are host to uranium deposits, including the Athabasca, Thelon, and Hornby Bay basins. The property is host to at least 20 known uranium prospects that occur along 75 kilometers of the Archean - Proterozoic unconformity.

Under the terms of an Option Agreement (see Kaminak Press Release January 25th, 2006), Pacific Ridge has the right to initially earn a 51% in non-diamond interests by December 31, 2008 by making exploration expenditures totaling $2.0 million dollars and staged payments totaling 400,000 Units to Kaminak.

Kaminak's disclosure of a technical or scientific nature are prepared under the supervision of Rob Carpenter, Ph. D., P. Geo., Kaminak's President and CEO, who serves as the Qualified Person under the definition of National Instrument 43-101. All samples collected at the Baker Lake Uranium Project are sealed in sample bags at site and forwarded to Activation Laboratories in Ancaster, Ontario for analysis. All samples are initially analyzed by a DNC technique utilizing a reactor. All high values in excess of 0.5% U3O8 are then re-analyzed by XRF and titration methods.

On behalf of the Board of Directors

Rob Carpenter, Ph. D., P. Geo., President and CEO

Kaminak Gold Corporation

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Kaminak Gold Corporation
    Rob Carpenter
    President and CEO
    (604) 646-4534
    Website: www.kaminak.com