Kinbauri Gold Corp.

Kinbauri Gold Corp.

February 27, 2008 09:32 ET

Kinbauri Identifies New Gold-Copper Zone at El Valle, Intersects 12.9 g Au/t and 0.54% Cu over 4.3m

OTTAWA, ONTARIO--(Marketwire - Feb. 27, 2008) - Kinbauri Gold Corp. ("Kinbauri") (TSX VENTURE:KNB)(FRANKFURT:3KG.DE) is pleased to announce the latest results from its on-going 23,000m underground in-fill drilling program at El Valle in northwestern Spain. A new oxidized zone paralleling the Charnela Zone (epithermal structure) has been identified at 08KV1047. The Charnela Zone produced over 150,000 ounces of gold from 300,000 tonnes at the El Valle open pit in 2001/2002.

Highlights of the in-fill drilling program for Black Skarn North ("BSN") and Area 107 West ("107") include:

- 4.3m grading 12.9g Au/t and 0.54% Cu in hole 08KV1047.

- 5.6m grading 14.7g Au/t and 1.94% Cu including 1.4m grading 24.3g Au/t
plus 1.64% Cu in hole 08KV1046.

Assays as received from a further seven diamond drill holes at El Valle are
summarized as follows:

HOLE From To Interval Au (g/t) Ag (g/t) Cu(%) Zone/
(DDH)(1) (m) (m) (m)(2) Section(3)

08KV1051 25.10 33.10 8.00 4.47 8.54 0.34 107/10.5
including 25.10 29.00 3.90 7.79 10.50 0.24
08KV1051 38.00 40.30 2.30 1.74 15.50 1.38
08KV1050 31.80 53.70 21.90 3.56 13.37 0.77 107/BSN/10.5
including 40.00 49.00 9.00 5.66 21.00 1.32
including 41.50 43.00 1.50 16.40 20.00 1.60
08KV1048 157.00 160.00 3.00 1.98 4.00 1.13 107W/3
08KV1047 98.90 105.90 7.00 8.77 23.00 0.33 BNS West
including 101.60 105.90 4.30 12.93 35.00 0.54
08KV1046 40.40 47.60 7.20 3.34 8.00 0.22 BNS/1.5
including 40.40 41.75 1.35 6.10 12.00 0.42
08KV1046 50.20 57.60 7.40 3.24 9.00 0.40
including 53.50 55.00 1.50 6.54 23.00 0.63
08KV1046 70.60 85.30 14.70 2.70 8.00 0.55
including 70.60 71.30 0.70 0.68 71.00 4.78
including 77.70 79.00 1.30 10.84 2.00 0.02
08KV1046 100.20 105.75 5.55 14.74 21.00 1.94
including 100.20 101.80 1.60 20.01 16.00 1.63
including 103.45 104.80 1.35 24.33 31.00 2.18
08KV1045 156.90 163.30 6.40 4.45 1.99 0.18 107/10.5
including 157.50 159.00 1.50 6.22 2.00 0.08
08KV1043 No intercepts greater than 2g Au/t

(1) See Schedule A for Location (2) True Thicknesses are estimated to be
56% of intervals for 08KV1045; 75% of intervals for 08KV1048; 80% of
intervals for 08KV1050; 85% of intervals for 08KV1047; 92% of intervals
for 08KV1046; and 99% of intervals for 08KV1051, (3) 107 is Area
107,107W is Area 107 West and BNS is Black Skarn North

Holes 08KV1045, 08KV1050 and 08KV1051 in Section 10.5 (see Schedule A) all intersect Area 107, which is an epithermal gold bearing structure. The gold zone widens and is enriched where it incorporates mineralized skarn (eg. hole KV1050). Hole 08KV1046 intercepts the Black Skarn Zone and is on the same section as previously reported hole 08KV1044 (12.95g Au/t and 0.85% Cu over 19.4m; press release of February 14th, 2008). This confirms the continuation of this broad zone of Au-Cu mineralization.

08KV1047 intersected oxide mineralization hosted in skarn some 180m west of Section 1. Hole V2049, previously drilled by Rio Narcea Gold Mines, had intersected 7.6m of 13.4g Au/t and 3.40% Cu on strike. This suggests an epithermal structure that enhances Au-Cu values where it intercepts skarn mineralization on the western extension of Black Skarn North, the result of which will be a significant increase in gold resources there.

The drill programs are being supervised by Mr. Santiago Gonzalez-Nistral, Kinbauri Espana's senior geologist, with quality control being provided by Dr. C. F. Gleeson, P. Eng., Kinbauri's Vice-President of Exploration: both are qualified persons as defined by N.I. 43-101. Kinbauri has established an Analytical Quality Assurance Program to control and assure the analytical quality of assays. This program includes the systematic addition of a blank sample, a pulp duplicate and a standard to each batch of 20 samples. The samples are obtained from HQ core sawed in half, crushed, pulverized, homogenized and split in Kinbauri's on site facility at El Valle. Samples are sent to the Fundacion ITMA's laboratory in Llunero, Asturias, Spain for analyses. ITMA is a fully accredited facility (ISO 9001). In addition 5 percent of the samples are sent to ALS Chemex's laboratory in Canada for check analyses. Gold assays are carried out on 30 gram splits using fire assay procedures with an atomic absorption finish. Analyses of other elements (Ag, Cu, As, Sb and Bi) are carried out by Flame Atomic Absorption Spectrometry and Atomic Emission Spectrometry with Inductive Coupling Plasma (ICP-OES) after digestion with aqua regia on 5 grams of pulvarized sample. Detection limits (g/t) are as follows: Au-0.05, Ag-2, Cu-100, As-100, Bi-20 and Sb-10.

This press release was prepared by Drs. C. F. Gleeson and V. N. Rampton, P. Eng in their capacity as qualified persons.

Other corporate developments:

- Kinbauri will be hosting an exhibit at Booth Number 2543 at the upcoming Prospectors and Developers Association Convention in Toronto from March 2-5.

- Separately, Kinbauri has also been selected to exhibit its core samples in the Core Shack Exhibition at the same event (Booth 5005A). Some of the high grade skarn and epithermal mineralization from El Valle will be on exhibit.

- Kinbauri will also be featured at Booth 1H78 at the annual INVEST 2008 Exhibition in Stuttgart, Germany from April 11-13.

Kinbauri is a TSXV - 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 El Valle property in Asturias, Spain in order to start operations at the mine and existing mill complex there in 2010. It currently has 43,372,320 common shares issued and outstanding; 67,056,236, fully diluted.


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.

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