Cusac Extends Taurus II Open Pit Gold Zones.

VANCOUVER, British Columbia -- David H. Brett, President, Cusac Gold Mines Ltd. (TSX:CQC)(OTCBB:CUSIF) (the "Company"), reports assays from the final holes in the Company's most recent 18 hole, 3400 meter diamond drilling campaign have extended the bulk tonnage Taurus II gold target at least 255 meters to the west from previously reported hole SV-06. The Taurus II bulk tonnage disseminated gold target area is now at least 1.5 km E-W by 1 km N-S in extent and remains open in both directions.

Diamond drill hole SV-07 had 12.25 meters grading 1.11 grams per tonne Au within a very broad zone with relatively consistent gold mineralization grading 0.53 grams per tonne Au over 50.25 m. This hole had prominent quartz veining, alteration and sulphide mineralization. Hole SV-08, collared in-between SV-06 and SV-07 returned 1.10 grams per tonne Au over 13.45 meters with similar geology. Holes SV-09, 10 and 11 did not return significant assay intervals but had various gold intercepts in the 0.5 to 1.0 m range in altered basalt host rock.

--------------------------------------------------
Significant Composite Assay Intervals
--------------------------------------------------
                                   Core
                                 Length         Au
Hole       From (m)     To (m)       (m)  (g/tonne)
--------------------------------------------------
05SV-07     150.05     200.30     50.25       0.53
--------------------------------------------------
including   167.40     194.60     27.20       0.70
--------------------------------------------------
            176.25     194.60     18.35       0.95
--------------------------------------------------
            176.25     188.50     12.50       1.11
--------------------------------------------------

--------------------------------------------------
05SV-08     120.90     136.60     16.20       0.97
--------------------------------------------------
including   120.90     134.35     13.45       1.10
--------------------------------------------------

--------------------------------------------------
05SV-09     no significant intercepts
--------------------------------------------------
05SV-10     no significant intercepts
--------------------------------------------------
05SV-11     no significant intercepts
--------------------------------------------------

Cusac Gold Mines, Ltd. has a dominant land position in the Cassiar gold district in northern BC and owns the Table Mountain mine and mill with probable reserves of 44,000 tons at 0.49 ounces per ton Au covered by a 43-101 compliant Pre-Feasibility Study which supports the Company's plans to re-open the Cusac Mill to take advantage of the recent upsurge in the world gold price. The Company owns 100% of the new Taurus II discovery and controls a significant portion of the advanced stage Taurus Project 3 km to the north drilled in the 1990's by Cyprus Canada. Majority owner American Bonanza Gold Corporation has commissioned an independent, third-party economic scoping study of the Taurus Project by a major engineering firm.

Cusac Vice President of Exploration Lesley Hunt summarizes the Company's 2005 exploration season as follows: "The broad low grade disseminated gold intercepts in almost all of the Taurus II drill holes suggests that we might be in the very early stages of discovery of a significant sized open pit gold orebody. We have an excellent 43-101 report dated October, 2005 which recommends a $1.53 million program of continued exploration at Taurus II during the coming 2006 season which will expand and better define the low grade, bulk tonnage gold potential."

Cusac CEO David Brett provided the following statement on 2005's results and plans for 2006: "Our strategy in 2005 was to open up a new front of opportunity for shareholders by identifying major open pit gold mine potential on claims we already own at Cassiar. I'm proud to say that our talented team has achieved this goal with Taurus II now showing great promise. With gold prices cresting the US$500 mark recently, management believes that the prospect of recommencing production at the high-grade Table Mountain Mine is more compelling than ever. My vision for 2006 is to see aggressive exploration continuing at Taurus II as well as recommencement of gold production within the year."

George Sanders, M.Sc, P.Geo is a Qualified Person as defined by National Instrument 43-101 and has reviewed the technical content of this News Release. Acme Analytical Laboratories of Vancouver, B.C., prepared all assays reported above.

CUSAC GOLD MINES LTD.

David H. Brett, President & CEO

The TSX has not reviewed and does not accept responsibility for th e adequacy or accuracy of this release.

Cusac Gold Mines Ltd. (TSX:CQC) (OTC Bulletin Board:CUSIF)