Kinvara Ventures Acquires Gold Projects in Zimbabwe and South Africa.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Aug. 8, 1997--Kinvara Ventures Inc. (Alberta Stock Exchange: KIN) -- KINVARA VENTURES INC. (the "Corporation") is pleased to announce it has reached an agreement with Afrimin Holdings Limited (the "Vendor") and Indomin Resources Limited ("Indomin") to acquire gold exploration projects in Zimbabwe (the "Zimbabwe Projects") and a two year option to acquire an interest in a gold project in South Africa's West Witwatersrand basin (the "Witwatersrand Project").

The acquisition of the Zimbabwe Projects is to be effected through the purchase of all of the issued and outstanding shares of Afrimin Limited, a company registered in the British Virgin Islands, from the Vendor, a company in which Indomin has a beneficial 33 percent interest. The Corporation will issue 4,000,000 common shares to the Vendor to acquire all of the issued capital of Afrimin Limited for a deemed acquistion price of CDN $2,000,000. Indomin will have a beneficial interest of 1.32 million of these vendor's shares and the balance will be beneficially owned by the Vendor.

In addition, Kinvara will issue up to another 1,000,000 performance shares to the Vendor based on economic gold reserves determined by a feasibility report to be completed within three years of the acquisition. The acquisition is subject to completion of due diligence and approval of the Alberta Stock Exchange.

ZIMBABWE GOLD PROJECTS

The Zimbabwe Projects center around the Sunace area in the Queens Gold Mining District, 30 kilometers north of Bulawayo, and include 4 historic gold producers, namely the Sunace, Ngaka, Cecil and the Joker mines with a combined historical production of 330,000 ounces of gold from 790,000 tonnes milled at an average head grade of 12.95 g/t. Sufficient geological information exists on the project to demonstrate a potential resource of 3,346,649 tonnes at an estimated grade of 4.5 g/t, of which at least 2,000,000 tonnes could be open pittable.

A recently completed aeromagnetic survey and soil sampling program carried out by Afrimin Limited over the Sunace area on ground along geological trend to the north indicate the potential for an increase in the potential resource. A 1,000 meter reverse circulation and diamond drilling program is currently underway in the Sunace mine area as a due diligence check on previous drilling. Results are expected by early September.

Under this transaction, the Corporation will acquire a 60 percent interest in the Sunace tenements and a 100 percent interest in the tenements along structure to the north.

To finance the acquisition and exploration of the Zimbabwe Projects, the Corporation plans to offer for sale through a prospectus 4,000,000 units at $0.50 each, with each unit comprising one common share and one share purchase warrant exercisable at $0.85 in the first year and $0.95 in the second year. Haywood Securities Inc. of Vancouver British Columbia has agreed to act as agent for the proposed offering.

WITWATERSRAND OPTION

In addition to the purchase of Afrimin Limited, the Vendor has granted a two year option to the Corporation to acquire a minimum 50 percent interest in the Witwatersrand Project consisting of approximately 13,500 hectares in two separate land packages currently held under option by the Vendor. The price will be determined upon exercise of the option and shall be the lesser of a value placed on the Witwatersrand Project by an independent valuation currently being prepared for the Vendor and US $6,000,000 payable in cash and/or common shares of the Corporation.

The Vendors' Bothaville Strip project comprises 9,926 hectares between Avgold's Target, Sun, and Oribi Projects, currently being developed by Avgold with total reported recoverable reserves of 45 million ounces of gold at an average grade of 9.4 g/t with operating costs forecast by Avgold to be under $US 250/oz. The Vendors' Sun Gap project comprises 3,503 hectares within Avgold's Sun Project.

The Witwatersrand Basin is the world's largest repository of gold, which, since its discovery in 1986, has produced an estimated 35 percent of total known world gold production and has published resources of another 40,000 tonnes of gold. The Witwatersrand Project is located midway between the Welkom and the Klerksdorp Goldfields some 250 kilometers southwest of Johannesburg. The eight mines of the Welkom Goldfield, the closest to the Witwatersrand Project, have produced approximately 282 million ounces of gold from 1,036 million tonnes of ore at an average grade of 8.46 g/t. The four mines of the Klerksdorp Goldfield have produced approximately 175 million ounces of gold from 585 million tonnes of ore at an average grade of 9.3 g/t.

Afrimin Holdings and Indomin plan to arrange private equity capital to undertake a deep drilling program on the Witwatersrand Project over the next two years.

APPOINTMENT OF DIRECTORS

As a part of the transaction, the Corporation has recently invited Mr. Kenneth McKechnie, Chairman and CEO of Indomin, and Mr. Paul Loudon, President of Indomin to join its board of directors.

The common shares of Kinvara Ventures Inc. trade through the facilities of the Alberta Stock Exchange under the stock symbol KIN. -0-

NOTE: The Alberta Stock Exchange has neither approved nor

disapproved of the information contained herein.

CONTACT: Kinvara Ventures Inc.

Ronald K. Husband, 604/681-4653

604/683-6557 (fax)