Your browser does not support javascript




Sep 13, 2006

Four drillholes cut mineralized structure at Jackson's Arm

Kermode Resources Ltd. is very pleased to announce that Phase 4 of the Jackson's Arm drill program is in progress. To date, four drillholes totaling 614 metres have been completed in Kermode's planned minimum 5,000 metre drill program. The Phase 4 drill program is designed to better define tonnage and grade of the extensive gold mineralization on the Jackson's Arm property in Newfoundland.

Kermode's initial focus is to test the crosscutting feeder zone discovered at the end of the Phase 3 drill program. All four Phase 4 drillholes to date have encountered the mineralized feeder structure and extensive sections of drillcore have been cut and submitted for assay.

"I am very pleased with these initial results confirming the newly discovered mineralized feeder zone. Moreover, I am very happy with the progress we have made to date. We now look forward to receiving encouraging assay results to move us closer to our goal of developing at least one significant gold deposit at Jackson's Arm" stated Don Moore, the President of Kermode.

The mineralized feeder structure is oriented roughly grid east-west and dips shallowly to grid south. Previous drilling in this area has almost entirely been oriented towards grid west and would most likely either miss the feeder entirely or cut it at very poor angles resulting in apparent poor continuity or in exaggerated thicknesses. Kermode's Phase 4 drilling is oriented toward grid north to properly assess the mineralized feeder structure.

Consulting Geologist James Harris P.Geo, a Qualified Person under National Instrument 43-101 guidelines, is supervising the Jackson's Arm drilling program and has reviewed the technical information contained in this News Release on behalf of the Company. Petro Drilling Company Limited of Springdale, Newfoundland is conducting the drilling.

Kermode acknowledges the financial assistance provided by the Government of Newfoundland and Labrador's Junior Company Exploration Assistance Program.

Visit our website at for more information.


"D. Neil Briggs"

No Stock Exchange Has Approved or Disapproved The Information Contained Herein