Kaminak Reports Infill Drill Results from the Supremo Deposit, Coffee Gold Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 5, 2015) - Kaminak Gold Corporation (TSX VENTURE:KAM) today announced final results for the 2014 infill drilling at Coffee, Kaminak's flagship development track gold project located 130 km south of Dawson City, Yukon. A Preliminary Economic Assessment (PEA) completed for Coffee in 2014 defined a robust, high-margin, 11-year open-pit mining opportunity at a US$1250/oz gold price; the project is currently at the feasibility stage. 

In 2014, close to 23,000 metres of infill drilling was undertaken on the series of parallel, north-south striking gold bearing structures comprising the Supremo deposit, which contributes approximately 70% of the oxide gold ounces targeted for mining in the PEA. Approximately 32,000 metres or 55% of the total planned infill drilling program at Supremo remains to be completed in 2015. The objective of the infill drilling program is to verify and upgrade the classification of in-pit resources defined in the 2014 PEA from the "Inferred" category to the higher-confidence "Indicated" category for eventual inclusion in the Coffee Mining Feasibility Study. 

"The Supremo oxide-gold bearing structures are expected to contribute 70% of the ounces in our initial, 11-year open-pit mine plan for Coffee and underpin the strong economics of the Project," stated Eira Thomas, Kaminak President & CEO. "Further, all of the Supremo structures remain open along strike and to depth offering excellent potential for resource expansion in the future.  As with the infill drilling results recently reported for Latte, Double-Double and Kona, the infill drilling completed so far at Supremo continues to demonstrate good agreement with existing geological interpretations and the resource block model." 

Based on the 2014 PEA, the Supremo deposit contributes approximately 1,272,000 ounces of gold (recoverable) at an average diluted grade of 1.13 g/t Au in oxide resources plus an additional 44,000 ounces of gold at 1.64 g/t Au as transitional resources. A total of 22,830 metres of infill drilling from 132 holes completed to date at Supremo has firmed up the existing geological interpretation providing additional confidence in the location, geometry and continuity of the mineralized lodes. The bulk of the 2014 Supremo program was focused within Supremo T3 and T4 South where infill drilling has now been completed over strike lengths of 1,300m and 800m respectively. The Supremo 2015 drilling program commenced 1 February, 2015 as planned, with two RC drills currently turning at the Coffee property. 

The location and spacing of infill drilling was determined in consultation with independent Qualified Person Robert Sim, P.Geo of SIM Geological Inc., who completed the Coffee Gold Project Mineral Resource Estimates (announced December 13, 2012, and updated January 28, 2014). The Company plans to update the mineral resource estimates for inclusion in the final feasibility study once all of the drill results from all 2014-15 infill drill programs have been received. 

Table 1 2014 Supremo Deposit Infill Drilling Results

All maps, sections and assay sheets associated with this news release can be viewed by clicking the following link: http://kaminak.com/news_releases/2015/index.php?&content_id=612

Feasibility and Environment Baseline Program Updates

As announced 28 July, 2014, the Company initiated a mining Feasibility Study on the Coffee Gold Project with a targeted completion date of end 2015 or early 2016. Drilling and related field programs ended in the last week of November 2014 and resumed in early February 2015. Drilling in 2015 will comprise ongoing resource delineation infill, condemnation drilling of areas containing proposed mine infrastructure, and geotechnical and hydrological drilling. Environmental and heritage baseline studies, and engineering studies into the optimal route and design of the access road, are also advancing as planned. All metallurgical sampling was completed in 2014 and composites are now at the Kappes Cassiday and Associates Laboratory undergoing leaching and other test work. 

QA / QC

Kaminak's disclosure of a technical or scientific nature in this press release has been reviewed and approved by Tim Smith, P.Geo., Vice President Exploration of Kaminak Gold Corporation, who serves as a Qualified Person under the definition of National Instrument 43-101. Quality assurance and quality control procedures include the systematic insertion of blanks and standards into the drill sample string. Samples are placed in sealed bags and shipped directly to the ALS Minerals preparatory laboratory in Whitehorse prior to gold fire assay.

On behalf of the Board of Directors of Kaminak

Eira Thomas, President and CEO

Kaminak Gold Corporation

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

Caution Concerning Forward-Looking Statements

Certain disclosures in this release, including management's assessment of the future potential of the Coffee Project and future exploration programs, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Kaminak's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including risks as to the completion of the plans and projects. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by law, Kaminak expressly disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future event or otherwise.

The Company has not made a production decision, and the Company's strategic plan to develop a stand-alone heap leach operation is subject to the results of its Feasibility Study. Further, if and when the Company makes any production decision, it will disclose the basis of such decision in accordance with the requirements of National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101").

Cautionary Note concerning estimates of Inferred and Indicated Resources:

This news release uses the terms "Inferred Resources" and "Indicated Resources", which have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred and/or Indicated Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Resources may not form the basis of feasibility or other economic studies. Kaminak advises U.S. investors that while this term is recognized and required by Canadian regulations, the U.S. Securities and Exchange Commission does not recognize it. U.S. investors are cautioned not to assume that part or all of an Inferred and Indicated resource exists or is economically or legally minable.