Kodiak Exploration Limited
TSX VENTURE : KXL

Kodiak Exploration Limited

September 17, 2007 13:37 ET

Kodiak Expands Drilling/Increases Land Holdings in Beardmore-Geraldton Gold Belt

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 17, 2007) - Kodiak Exploration Limited (TSX VENTURE:KXL) has entered into option agreements respecting three new mineral properties in the Beardmore-Geraldton greenstone belt in south central Ontario, expanding the total landholdings controlled by it in that belt to 38,840 hectares.

The Archie Lake Property Option

Pursuant to an agreement made with Ms. Shirley Lafontaine, Kodiak was granted an option to acquire an undivided 100% interest in the Archie Lake property located in Summers Township, Thunder Bay Mining Division, subject to a 3% net smelter returns royalty. Kodiak may exercise the option by making payments totaling $210,000 in cash or shares over a four year period. Kodiak may purchase one-third (i.e. 1%) of the royalty for $500,000 at any time, and may purchase an additional one-third (i.e. 1%) of the royalty for an additional $1,000,000.

Any shares issued in connection with the exercise of the Archie Lake option will be priced at the time of issue and will be subject to a four month hold period. The proposed option is subject to acceptance by the TSX Venture Exchange.

The Broken Heart Property Option

Pursuant to an agreement made with Dianne and Robert Cote, Kodiak was granted an option to acquire an undivided 100% interest in the Broken Heart property located in Summers Township, Thunder Bay Mining Division, subject to a 3% net smelter returns royalty. Kodiak may exercise the option by making payments totaling $190,000 in cash or shares over a five year period. Kodiak may purchase two-thirds (i.e. 2%) of the royalty for $1,500,000 at any time.

Any shares issued in connection with the exercise of the Broken Heart option will be priced at the time of issue and will be subject to a four month hold period. The proposed option is subject to acceptance by the TSX Venture Exchange.

The Beardmore Property Option

Pursuant to a letter of intent made with 2090720 Ontario Inc., Kodiak has agreed terms for an option to acquire an undivided 100% interest in the Beardmore property located near Jellico, Ontario subject to a 1% net smelter returns royalty. Kodiak may exercise the option by making payments totaling $10,000 and issuing 200,000 shares of Kodiak over a two year period. Kodiak will have a first right of refusal on any proposed transfer or sale of the associated royalty.

Any shares issued in connection with the exercise of the Beardmore option will be priced at the time of issue and will be subject to a four month hold period. The proposed option is subject to execution of a formal option agreement and acceptance by the TSX Venture Exchange.

Caribou Lake Drilling Completed / Programs Continue at Hercules and UR

The Phase 2 drilling campaign has been successfully completed at Caribou Lake. The geologic team has finished core logging and sampling, and expects all the assay results by early October. Kodiak completed 15 diamond drill holes totaling 8,787 meters.

Kodiak has expanded its previously announced exploration program at its Hercules Project in Ontario to include additional diamond drilling, stripping and sampling. Kodiak has completed 23 core holes (2,122 meters) since the program began on August 9, and drilling is ongoing. Five major quartz veins that are coincident with shear zones were targeted at the WLGZ, Amede, 7 to 9, Marino, and Penelton veins. A total of 10 drill holes have been completed on the Amede and the newly discovered Golden Mile ex tension, and drilling will continue on the Golden Mile. All holes completed to date have intersected the targeted shear zone and coincident quartz veining at depth displaying strong hydrothermal alteration and mineralization.

Prospecting and stripping of overburden resulted in the discovery of an extensive new system of quartz veining containing gold mineralization striking in excess of 2 km, referred to as The Golden Mile. This system remains open along strike and at depth, and is the principal focus of Kodiak's current exploration efforts. The Company expects to report initial results from this drill program in early October.

The airborne survey of the Company's uranium prospects in Quebec was slightly delayed due to mechanical problems with the aircraft, but those problems have been resolved and the program is now is under way. It is expected that the airborne survey will be completed in approximately four weeks.

The information contained in this news release has been reviewed and approved by Robert B. Hawkins, Kodiak's Chief Geologist, who is a qualified person under the definitions established by National Instrument 43-101.

Kodiak is a mineral exploration company with properties located in Canada. Maps, photographs, geological details and additional information may be reviewed on its Web site at www.kodiakexp.com.

On behalf of the Board of Directors

KODIAK EXPLORATION LIMITED

This release has been prepared by management. This document contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or expectation implied by these forward looking statements.

TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

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