Kirkland Lake Gold Inc.
TSX : KGI
AIM : KGI

Kirkland Lake Gold Inc.

September 14, 2007 02:00 ET

Kirkland Lake Gold Inc.: First Quarter Results, Fiscal 2008

KIRKLAND LAKE, ONTARIO--(Marketwire - Sept. 14, 2007) - Kirkland Lake Gold Inc. (the "Company") (TSX:KGI)(AIM:KGI), an operating gold mining company announces the results for the first Quarter ended 31 July 2007.

Financial Highlights:

- Income for the quarter ended July 31, 2007 was $36,237 or $NIL per share, which compares with a loss of $1,190,914 or $0.02 per share for the previous quarter and a loss of $3,295,421 or $0.06 per share for the same period of fiscal 2007.

- Compared to the quarter ended July 31, 2006 gold revenues were 33% higher at $11,300,111 (2007: $8,517,052), reflecting a 3% increase in the realized gold price and a 30% increase in ounces sold.

- Compared to the quarter ended July 31, 2006 total production spending fell 5% to $10.6 million (2007: $11.2 million). Capital spending on mine development and equipment fell to $1.7 million (2007: $3.1 million) reflecting the lower level of underground capital development.

- The Cash Flow Statement shows that the Company generated $2,572,268 in operating cash flows during the quarter.

- Cash Resources at July 31, 2007 were $34,285,175 and currently earn 4.5% interest.

- Encouraging productivity gains continued to materialise for the second consecutive quarter resulting in a further 6% improvement in production margins (revenue less operating costs, amortization and depletion and royalties) to 12% compared to the fourth quarter of fiscal 2007.



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Financial Highlights 3 months 3 months 3 months
All amounts in 000's of Canadian ended ended ended
Dollars, except shares and per share July 31 April 30 July 31
figures 2007 2007 2006
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Gold Sales (ounces) 15,875 13,635 12,311
Average Price (per ounce) $ 712 $ 772 $ 692
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Revenue 11,300 10,529 8,517
Net Income (loss) 36 (1,191) (3,295)
Cash at end of period 34,285 26,275 22,194
Total Assets 88,531 80,769 74,181
Total Liabilities 19,356 9,143 12,882
Working Capital 32,829 26,216 17,186
Weighted average number of shares
outstanding 55,192,411 52,947,013 52,367,173
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Operational Highlights during the quarter:

- 37,259 tons of rock was hoisted from underground operations, of which 35,516 tons were milled as ore producing 13,204 ounces of gold.

- 2,412 feet (2007: 3,431 feet) of lateral and vertical operating stope development was completed, a decrease of 30%. During the first quarter of 2007 extensive initial access development into the D-Zone was ongoing.

- Ore tonnage generated from the new South Mine Complex accounted for 5,518 tons or nearly 16% of the quarterly milled tonnage compared to the fourth quarter of fiscal 2007 when production from this zone was 5,315 ore tons or 13% of milled tons (Q1/07: 1,170 ore tons, 3% of milled tons).

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