Kinbauri Gold Corp.: Initial Gold Assays from Corcoesto Positive.

CARP, Ontario -- Kinbauri Gold Corp. ("Kinbauri") (TSX VENTURE:KNB) is pleased to report that the first phase of drilling at Corcoesto is underway and early results are positive.The first hole ("O5K2"), completed to a depth of 164.3 m., was on the previously westernmost drilled section ("3485") on the Pozo del Ingles vein system ("Pozo system").The results from 05K2 are the first to be received from this program.An intercept in 05K2 assayed 19.34g Au/t over 2.5m beginning at 137.0 m, including 43.83g Au/t over 1m; the core was generally anomalous in gold between 96.5 m. and final depth.These results extend the Pozo system a further 50m in depth on 3485: the Pozo system remains open at depth and to the west here.A sample of float, which was recently collected from surface about 100m west of O5K2, assayed 17.6g Au/t.For further detail on the Pozo system, please refer to Kinbauri press releases of April 1st and May 26th.A total of eight drill holes are being planned for the Pozo system during this drilling campaign; results will be reported in a timely manner.Kinbauri is earning a 65% interest in Corcoesto from Rio Narcea Gold Mines, Ltd. ("RNGM") by expending 4,000,000 euros over five years; 300,000 euros to be expended during the first year.

Kinbauri would also like to report that it has recently received an interpretive report from Activation Laboratories Ltd. ("Actlab") of Ancaster, Ontario concerning samples from its Laniel Claims in the Lake Temiscamingue region of Quebec.These samples had been forwarded to Actlab for soil gas analysis.Based on their evaluation of this data, Actlab indicated a target area with a diameter of about 500 m where there is a fairly good probability of a kimberlite being found.The target area lies in an area on the Laniel Claims where geologic structure and results from a magnetic survey and kimberlite indicator elements and mineral dispersal trains indicate potential for sub-cropping kimberlite.This target area will be the focus of a prospecting program this summer prior to planned drilling of prioritized targets.The Laniel Claims lie within the southern part of the Temagami/Temiscamingue diamond camp, where Tres-Or Resources Ltd. ("Tres-Or") has recently intersected a potentially diamondiferous kimberlite (see Tres-Or's press release of May 19th, 2005 : TSXV.TRS).

Both projects are being supervised by Dr. C.F. Gleeson, P. Eng., Kinbauri's Vice-President of Exploration and a qualified person under National Instrument 43-101.

Drill core at Corcoesto is split at an on-site core facility. One-half of the core is forwarded to a preparation laboratory at Belmonte de Miranda, Asturias, operated by RNGM.From there, pulps are forwarded to Fundacion ITMA("ITMA") an accredited laboratory under UNEEN-ISSO-IEC-17025, in Coruno-Llanera, Asturias, Spain.All facilities are secure.In addition to internal quality control undertaken by ITMA, Kinbauri will be duplicating 5 percent of the assays at ITMA, as well as forwarding a further 5 percent to ALS Chemex ("Chemex") in Vancouver for check analysis.Chemex and Actlab are both accredited to ISO 17025 standards.

Kinbauri is a junior exploration company with 9,410,189 common shares issued and outstanding and 10,283,189 fully diluted.

This Press release contains certain forward-looking statements, which are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or result to differ materially from those projected.Kinbauri undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

THIS PRESS RELEASE WAS PREPARED BY KINBAURI GOLD CORP. THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Kinbauri Gold Corp. (TSX VENTURE:KNB)