Kobex Resources Ltd.
TSX VENTURE : KBX

Kobex Resources Ltd.

December 07, 2006 14:03 ET

Kobex Proceeds With Mount Emmons

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 7, 2006) - Kobex Resources Ltd. (the "Kobex") (TSX VENTURE:KBX) is pleased to announce that Kobex has completed its review of the Mount Emmons Molybdenum Property and has elected to proceed with the transaction as outlined in the Letter Agreement of October 6, 2006 (L01) with the following amendments:

1. The initial payment of US $1.45 million to be decreased to US $750 thousand with the difference of US $700 thousand to be applied to the first years work program, in whole or in part, with the balance, if any, added to the US $500 thousand option payment on or before the first anniversary date.

2. The collective overriding gross royalty payable to U.S. Energy Corp. and Crested Corp., at such time as Kobex earns a 50% interest, of 3 percent can be reduced to 2 percent by a US $10 million payment at Kobex's election within the first year following a production decision.

3. The parties will use their best efforts to conclude a final agreement before February 1, 2007. In the meantime the L01 shall prevail.

The Chairman, Roman Shklanka, noted that, "The Board of Kobex has elected to proceed with the Mount Emmons Project. While Kobex is aware of the local sensitivities it intends to fully communicate with all interested parties in the community as the project progresses and to develop this project in an environmentally acceptable manner." Details of the Mount Emmons Project were released in an October 10, 2006 News Release. It outlined the presence based on historical information of a "mineral reserve of 22.6 million tons at a grade of 0.701 percent MoS2" in a broader resource of 220,166,669 tons grading 0.366% MoS2. As historical estimates these may not be NI 43-101 compliant.

This news release includes certain statements that express management's expectations or estimates of future performance and may be deemed "forward-looking statements". Shareholders should not place undue reliance on forward-looking information.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved or disapproved the contents of this news release.

On behalf of the Board of Directors

Roman Shklanka, Chairman


The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this News Release.

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