Kinbauri Gold Corp.
TSX VENTURE : KNB
FRANKFURT : 3KG.DE

Kinbauri Gold Corp.

December 15, 2008 12:28 ET

Kinbauri Gold Corp. Appoints Financial Advisor to Assist in Strategic Planning

OTTAWA, ONTARIO--(Marketwire - Dec. 15, 2008) - Kinbauri Gold Corp. ("Kinbauri" or the "Company") (TSX VENTURE:KNB)(FRANKFURT:3KG.DE) has begun a strategic review of alternatives for the development of its El Valle/Carles Project (the "Project") in Northern Spain. Kinbauri has retained M Partners Inc. ("M Partners") as financial advisor to assist in assessing the various options available to Kinbauri to aggressively advance the Project and enhance shareholder value; these options include such alternatives as strategic investments, joint ventures, partnership and mergers.

Since acquiring the Project in 2006 Kinbauri has increased gold resources by 52% and copper by 125%, as well as identified several other drill targets, which would lead to a significant expansion in resources. The current estimated resources are (1) measured and indicated: 916,000 ounces gold and 51,500 tonnes copper (6,170,000t at 4.6g Au/t and 0.85% Cu) and (2) 1,097,000 ounces gold and 33,500 tonnes copper (6,577,000t at 5.2g Au/t and 0.65% Cu) (see Kinbauri press release, November 28th, 2008 for details, including cut-offs). Kinbauri is completing a scoping study on the project which will be followed by a full feasibility study. Infrastructure in place at El Valle includes a 750,000 tonne/annum mill and a 5,000,000 tonne tailings facility. Kinbauri's current plans are to improve the infrastructure and recommence operations at the mill and two mines by 2011.

Management feels confident that this new strategic plan will lead to enhanced shareholder value and on-schedule recommencement of production due to the Project's present and rapidly growing gold resources, in place multi-million dollar infrastructure and investor interest shown to date.

About Kinbauri

Kinbauri is a TSX VENTURE - Tier 1 Mineral Exploration Company focused on the development of mineral properties, primarily precious metal prospects in northwestern Spain, Nevada and Canada. Its immediate focus is to expand and upgrade resources to reserves at the Project in Asturias, Spain in order to recommence operations at the mines and existing mill complex there in 2011. It currently has 48,852,695 common shares issued and outstanding.

About M Partners

M Partners is a full service investment bank based in Toronto offering research, trading and corporate financial services. M Partners is a member of IIROC and a participating member of the TSX and TSX Venture exchanges. M Partners has participated in approximately $1 billion of investment banking activities since its inception. M Partners has offices in Toronto and Vancouver.

THIS PRESS RELEASE WAS PREPARED BY KINBAURI GOLD CORP. THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY 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.

VISIT:

Kinbauri Gold's Hub at http://www.agoracom.com/IR/kinbauri where investors can post questions and receive answers or review questions and answers already posted by other investors.

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