Kinbauri Gold Corp.
TSX VENTURE : KNB

Kinbauri Gold Corp.

September 27, 2005 14:06 ET

Kinbauri Completes First Drill Program at Corcoesto, Spain

CARP, ONTARIO--(CCNMatthews - Sept. 27, 2005) - Kinbauri Gold Corp. (TSX VENTURE:KNB) ("Kinbauri") is pleased to announce the completion of its initial drill program at the Corcoesto project in northwestern Spain. The program consisted of eight holes totalling 1,765.4m on the Pozo des Ingles vein system ("Pozo"), one of five vein systems presently defined. Another four holes totalling 479.8m were drilled on other targets. The results for all assayed samples have been received and the highlights from Pozo are listed below. (A more complete list of results is presented in Table1).



Pozo drill result highlights

Drill Hole Section From (m) To (m) Intercept (m) Grade (g Au/t)
--------------------------------------------------------------------
05K2 3485E 138.50 139.50 1.00 45.83
--------------------------------------------------------------------
05K1 3635E 79.25 80.40 1.15 15.83
143.00 144.00 1.00 6.50
--------------------------------------------------------------------
05K9 3660E 85.35 86.60 1.25 12.83
138.70 139.70 1.00 8.21
--------------------------------------------------------------------
05K4 3735E 199.00 200.00 1.00 10.40
--------------------------------------------------------------------
05K5 3760E 202.15 203.55 1.40 5.40
212.20 214.30 2.10 10.29
including 213.30 214.30 1.00 18.00
--------------------------------------------------------------------


Pozo has now been drill tested by Rio Narcea Gold Mines, Ltd. ("RNGM") and Kinbauri to an average depth of 200 m along a strike length of 300m and the results in total indicate good continuity and variable grade distribution of the foot wall vein at Pozo ("Zone 20"). Zone 20 is open to the east and at depth; it appears to be closed west of section 3485E at depths shallower than 150m. Blocks within Zone 20 defined by a 5g Au/t cut-off immediately west and east of a fault cutting Pozo show high grades averaging 15.6g Au/t and 12.03Au/t respectively (see Table 2 for details). Veins in the hanging wall at Pozo also yielded some high grade intercepts (for further details see press release of April 1, 2005). Future drilling at Pozo will concentrate on testing Zone 20 to a depth of 350m and assessing grade distribution.

Other exploration targets

Four holes were drilled on other targets; three targeted soil geochemistry anomalies and one the Montefurado vein system ("Furado"). One vein in drill hole 05K12 at Furado returned 2g Au/t over 5.65m, including 6.1g Au/t over 1m. Three holes previously drilled by RNGM on Furado encountered this vein and include an intercept of 14.5g Au/t over 1.5m. Furado remains open in all directions. All drill results on high grade veins within Peton de Lobo, Cova Crea, Picotos-Lampreira, Furado and Pozo are being remodelled according to minimum mining widths to define prospective systems to be drilled.

The drill core was split at an on-site core facility and one-half of the core was forwarded to a preparation laboratory at Belmonte de Miranda, Asturias, operated by RNGM. The pulps were analysed by Fundacion ITMA ("ITMA"), an accredited laboratory under UNEEN-ISSO-IEC-17025, in Coruno-Llanera, Asturias, Spain. In addition to internal quality control undertaken by ITMA, Kinbauri is checking analyses of a representative number of samples, including high grade samples, at ALS Chemex ("Chemex") in Vancouver (these results are pending). The drill program was supervised by Dr. C.F. Gleeson, P. Eng., Kinbauri's Vice-President of Exploration and a qualified person under National Instrument 43-101.

Dr. Vern Rampton, P. Eng. is a qualified person as defined by NI43-101 and is responsible for the preparation of this release.

Kinbauri is a junior exploration company with 9,469,189 common shares issued and outstanding and 10,342,189 fully diluted. It has presently approximately $1,600,000 in uncommitted cash.

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: (All holes have long intervals showing anomalous gold: only sections showing values greater than 1 g are listed: + indicates Zone 20 projection).



Drill Hole Section From (m) To (m) Interval (m) Grade (gAu/t)
---------------------------------------------------------------------
05K11 3460E 102.00 103.00 1.00 2.15
105.80 107.40 1.60 1.52
108.60 109.60 1.00 1.07
129.00 132.00 3.00 1.96
including 129.00 130.00 1.00 3.54
141.00 142.00 1.00 1.32
143.00 144.00 1.00 1.94
145.50 146.50 1.00 1.26
---------------------------------------------------------------------
05K2 3485E 116.95 119.95 3.00 1.64
128.70 133.10 4.40 1.00
134.50 141.00 6.50 7.81+
including 138.50 139.50 1.00 45.83+
---------------------------------------------------------------------
05K1 3635E 26.60 27.60 1.00 3.97
78.10 79.25 1.15 15.83
95.20 96.20 1.00 1.38
133.30 134.50 1.20 1.62
141.00 144.00 3.00 2.70
including 143.00 144.00 1.00 6.53
151.80 153.00 1.20 4.10
157.40 160.00 2.60 2.36
181.00 182.85 1.85 1.31
197.10 198.10 1.00 4.20+
232.75 233.75 1.00 4.73
---------------------------------------------------------------------
05K9 3660E 51.80 52.90 1.10 2.60
83.00 84.20 1.20 2.51
85.35 86.60 1.25 12.83
138.70 139.70 1.00 8.20
151.00 152.00 1.00 1.18+
153.00 154.00 1.00 5.03+
163.00 165.35 2.35 1.44+
171.10 172.50 1.40 1.32
---------------------------------------------------------------------
05K3 3685E 133.00 134.10 1.10 2.85
142.15 143.45 1.30 9.67
147.00 149.15 2.15 2.80
159.95 163.30 3.35 1.35+
including 162.30 163.30 1.00 2.72+
179.90 181.30 1.40 2.24
187.15 188.25 2.60 1.09
194.10 195.10 1.00 1.14
196.15 197.15 1.00 1.38
---------------------------------------------------------------------
05K4 3735E 133.60 134.60 1.00 1.49
136.70 137.70 1.00 1.67
153.40 154.40 1.00 2.64
161.40 162.40 1.00 1.03
163.70 164.70 1.00 1.71
170.00 171.00 1.00 1.59
183.45 184.75 1.30 1.26
194.30 195.30 1.00 2.08
199.00 200.00 1.00 10.40+
204.20 205.65 1.45 2.62
208.90 211.00 1.10 2.71
---------------------------------------------------------------------
05K5 3760E 142.80 147.10 4.30 2.87
including 142.80 145.40 2.60 4.12
152.70 154.70 2.00 2.29
164.25 165.25 1.00 1.88
189.00 190.00 1.00 1.59
202.15 203.55 1.40 5.40
210.00 214.30 4.30 4.91+
including 213.30 214.30 1.00 18.00+
222.50 226.55 4.05 2.56
including 222.50 223.50 1.00 4.37
---------------------------------------------------------------------
05K6 3810E 160.75 165.45 4.70 2.11
including 164.45 165.45 1.00 3.47
235.40 238.50 3.10 2.66+
including 235.40 236.40 1.00 3.93+
244.20 245.20 1.00 1.12
---------------------------------------------------------------------


Table 2. Grades on sections adjacent fault at Pozo; 5g Au/t cut-off (Assays are in g Au/t; Int equals Interval in metres).



West of Fault East of Fault
---------------------------------------------------------------------
Section Hole Int Assay Section Hole Int Assay
---------------------------------------------------------------------
3485E COR154 2 5.16 3635E COR205 2 17.04
------------------------------
O5K2 2 23.76 3660E COR137 2 8.13
----------------------------------
3510E COR98 2 19.73 COR169 9 12.21
COR130 2 9.70 COR209 3.15 11.66
---------------------------------------------------------------------
3535E COR170 4 26.02 3685E COR132 2 20.37
COR102 2.45 8.20 COR199 2 19.48
COR207 2 7.77
---------------------------------------------------------------------


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

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