Kirkland Lake Gold Inc.

Kirkland Lake Gold Inc.

December 17, 2008 02:00 ET

Kirkland Lake Gold Inc.: Update on South Mine Complex Development

KIRKLAND LAKE, ONTARIO--(Marketwire - Dec. 17, 2008) - Kirkland Lake Gold Inc. ("Kirkland Lake" or the "Company") (TSX:KGI)(AIM:KGI) announces today that, after a review of the proposed development plan, the Company has decided to carry out the development of the South Mine Complex Project (SMC or the "Project") at its mine in Kirkland Lake, Ontario, with its own Company employed workforce rather than using external resources as previously announced on 29th October 2008.

Brian Hinchcliffe, CEO, explained, "Increasing production levels, particularly from the high grade SMC remains a priority for us. When we first committed to this Project, skilled underground labour was in high demand, and we planned to utilise outside mining contractors to provide a workforce in that environment. Today, skilled underground labour has become much more available, and a lower cost development program can be carried out by expanding our own workforce. This project will be led by our own core group of staff and workers who already have a strong base of knowledge and experience with the Mine and the Project."

The Project is expected to result in an increase of gold production to more than 100,000 ounces per year and this production rate is anticipated to be achieved by March, 2009. The Project will not be complete until July, 2010. Further news regarding this development will be announced in January upon completion of the detailed mine plan.

Cautionary Note Regarding Forward Looking Statements

This Press Release may contain statements which constitute 'forward-looking statements', including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors, or its officers with respect to the future business activities and operating performance of the Company. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future business activities or performance and involve risks and uncertainties, and that the Company's future business activities may differ materially from those in the forward-looking statements as a result of various factors. Such risks, uncertainties and factors are described in the periodic filings with the Canadian securities regulatory authorities, including the Company's Annual Information Form and quarterly and annual Management's Discussion & Analysis, which may be viewed on SEDAR at Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.

Neither the Toronto Stock Exchange nor the AIM Market of the London Stock Exchange has reviewed and neither accepts responsibility for the adequacy or accuracy of this news release.

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