Kaminak Gold Corporation retains 100% of non-diamond rights covering the “Churchill Diamond Project” currently operated by Shear Minerals Ltd. As part of this agreement Kaminak has free access to any data collected for diamond exploration, including over 71,000 line kilometers of airborne geophysics and 7,500 archived till samples. Expenditures by third parties for 2006 are estimated at an additional $8.0 million.

The property which is several million acres is underlain by a number of Archean greenstone belts which are favourable hosts for high grade gold and nickel deposits. Furthermore, the western part of the property is covered by the Proterozoic Baker Lake Group which itself is host to over 20 unconformity-related uranium prospects.

Gold Potential

The property almost completely surrounds the >5.0 million ounce Meliadine Gold Trend which is operated by Comaplex and their partner Gold Fields. Similar rock types and structures that are important at Meliadine have been observed on the Churchill Property and are covered by detailed till sampling and airborne electromagnetics that were completed by Shear Minerals. The Churchill Project is host to over 100 individual gold showings, most of which remain untested. Many of these showings occur in the Kaminak Lake area, where the notable Happy Lake gold occurrences outcrop on the Churchill Property. Limited drilling in the 1980’s defined 10 gold zones at Happy Lake with a best drill intercept of 14.3 g/t Au over 8.0 m.

Nickel Potential

The region is host to a number of high grade nickel-copper-PGE occurrences. The Rankin Inlet deposit was mined from 1957 to 1962 by North Rankin Nickel Mines, producing nickel and copper concentrate from reserves of 453,592 tonnes of ore grading 4.62% Ni, 1.22% Cu, 1.02 g/t Pt and 2.05 g/t Pd. Mineralization is associated with massive sulphides located within depressions at the base of a serpentinized ultramafic sill of Archean age. Prospective rock types and associated nickel geochemical anomalies have been outlined across the Churchill Property and remain to be followed-up. Airborne electromagnetic surveys flown on the property have also aided in focusing nickel exploration.

Updated News on Churchill Property

Jun 6, 2006: Kaminak Reports Gold Results from Churchill Drill Program Quartz vein with visible gold assays 7.06 g/t Au over 0.69m

May 8, 2006: Kaminak Commences Drill Program on Churchill Gold Property, Nunavut Initial testing of "Sedna" Gold Targets Underway

May 3, 2006: Kaminak Gold Corporation to Receive Up to $5,000,000 of Additional Geological Data Sets from Nunavut Diamond Explorers

Dec 19, 2005: Kaminak Identifies Gold Targets on Churchill Property