To: geoffb_si who wrote (5985 ) 1/16/2002 2:49:45 PM From: Al Collard Respond to of 11802 YKB-v ...in the news:Kinbauri heads to court over IAMGOLD breach of contract Wed 16 Jan 2002 Dr. Vern Rampton reports KINBAURI UPDATES: IAMGOLD TRIAL AND PROPERTY ACQUISITION The damages portion of Kinbauri Gold's action against IAMGOLD, which is to be heard before Mr. Justice Sedgwick of the Ontario Superior Court of Justice, is scheduled to proceed in Ottawa on Jan. 21, 2002. Kinbauri's action is for specific performance or damages in the amount of $10-million, together with interest and costs due to a breach of contract by IAMGOLD. Kinbauri has elected for damages. Kinbauri also has served notice that it will be bringing a motion forward on Jan. 21 to amend its claim to include punitive damage in the amount of $2-million. Kinbauri previously received a favourable ruling from Justice Sedgwick on the liability portion of its action on May 31, 1999. An appeal of Justice Sedgwick's decision by IAMGOLD to the Ontario Appeal Court was unanimously dismissed on Nov. 2, 2000. A subsequent leave to appeal the Ontario Appeal Court decision to the Supreme Court of Canada by IAMGOLD was dismissed by the Supreme Court on Sept. 13, 2001. On Jan. 15, 2002, two of the principles of IAMGOLD alleged that they "could be adversely affected by a judgement in this matter," and applied for leave to intervene in the damages portion of the action. Their request was denied by the court. Kinbauri has successfully completed a land assembly in the Temiscamingue area of Quebec, where 24 blocks totalling 1293.5 hectares have been designated in Kinbauri's name. The designated lands are believed to have excellent potential for platinum-palladium mineralization (PGMs). One block covers the southwest extension a 700-metre long Ni-Cu soil anomaly. During the late sixties, a hole was drilled on this anomaly and it intersected sulphides and a 61-m interval containing values of 0.16 per cent to 0.22 per cent Ni and 0.17 per cent to 0.25 per cent Cu; PGM values were not reported. Other claim blocks cover Ni-Cu stream sediment anomalies, which have been identified and prioritized by MER (Quebec). Dr. Vern Rampton, president of Kinbauri, noted, "These lands lie within the Lake Temiscamingue structural zone and also lie adjacent of the Temagami diamond play, where Tre-Or Resources Ltd. (www.tres-or.com) has identified a promising environment for diamondiferous kimberlites."