Kenrich-Eskay Mining Corporation Financial News

Eskay Creek Area: Basalt Magma-Related Copper-Nickel-Cobalt Massive Sulphide Discovery Made at Corey Property, BC

Vancouver, BC – KENRICH-ESKAY MINING CORPORATION (the “Company”) is very pleased to announce positive results from the 2008 drilling at its 100% owned Corey Project in the Eskay Creek mining camp northwest of Stewart, British Columbia. Exploration at the Corey Project in 2008 has focused on drill-testing the highly prospective Red Lightning Zone in the eastern part of the property.

This new discovery is particularly exciting for the Company, as it further confirms the world-class nature of the Eskay Rift belt. At Red Lightning, the Company is finding copper, nickel and cobalt-bearing massive sulphides within a basalt sub-volcanic setting, lying within the same Salmon River Formation stratigraphy that hosts Barrick Gold’s Eskay Creek Au-Ag mine. The Company is well positioned in the exploration play as it holds a full 28 km of strike length of the 32 km long Eskay Rift belt.

In 2006, during AeroTEM II time-domain electromagnetic surveying of the entire Corey property, a conductor was detected that correlated with a co-incident magnetic response. Company prospectors subsequently discovered an area of strong gossan (the “Red Lightning”) cropping out on the north and west-facing high mountain slopes above the Mandy Valley. Grab samples contained around 0.5 % Cu and 5 g/t Au. Follow-up geological mapping identified a steeply northeast dipping zone of oxidised iron sulfide within a chloritized massive mafic volcanic rock. This zone was tested in 2007 by three drill holes. Drilling intersected a strongly chlorite-epidote altered mafic volcanic unit hosting stratabound network-veined, disseminated to semi-massive pyrite-pyrrhotite-chalcopyrite over widths of up to 20 m drilling thickness with notable precious metal enrichment over a strike length of at least 60 metres. A fourth drill hole from 2007 was incomplete, and was re-drilled to its target depth in the 2008 season.

New Copper-Nickel-Cobalt Discovery made at Red Lightning Zone

Drilling recommenced on this zone in July of this year. To date, in 2008 the Company has completed 7 holes at the Red Lightning (CR08-83 to -89) for 1749.4 metres of total drilling. Each hole has intersected the zone. Together they have extended its strike length to at least 100 metres and its down-dip extent to at least 220 metres. The zone remains open down dip and along strike. Visually promising mineralization was intersected in four diamond drill holes. Samples from portions of these intersections were expedited for rush assay at Acme Analytical Laboratory in Vancouver. Additional assays are pending, for the balance of the four holes, and for the three other holes in the 2008 program. All platinum group analyses are pending.

Diamond drill hole, CR08-86, intersected a 10.8 metre (estimated true thickness) zone of intrusive sill-bound mineralization comprising network-veined to semi-massive pyrite-pyrrhotite-chalcopyrite. Enveloped in that zone is a horizon of fine grained massive sulphides, containing pyrite, pyrrhotite and chalcopyrite, with a width of over 5.3 metre (estimated true thickness). The massive sulphide horizon comprises 1-3% visible chalcopyrite as disseminations and intermittent patches in a groundmass of pyrite-pyrrhotite. PGE assay results are pending.

Preliminary assay results, for parts of 4 diamond drill holes are as follows:

	From	To	Int.	Est. True	Cu	Ni	Co	Au	Ag	Mineralization
Drillhole	(m)	(m)	(m)	Thick. (m)	(%)	(%)	(%)	(g/t)	(g/t)	Style
CR08-83	82.1	85.6	3.5	1.9	0.25	0.11	0.02	0.2	2.1	Network to semi-massive sulphide
CR08-84	55.4	57.9	2.5	1.3	0.34	0.18	0.03	0.2	<2	Network to semi-massive sulphide
CR08-85	160.1	164.1	4	2.1	0.34	0.12	0.02	0.3	<2	Network to semi-massive sulphide
CR08-86	222.8	243.2	20.4	10.8	0.79	0.42	0.08	0.8	<2	Network to massive sulphide
including	230.2	240.2	10.0	5.3	1.03	0.55	0.10	1.1	<2	Massive sulphides

Samples from the remaining sections of the above holes are submitted to Acme Laboratories for assay determinations. Those results, and the results from sampling of three other Red Lightning holes are yet to be received.

Basalt Magma-Related Base Metals (Copper-Nickel-Cobalt) Now Recognized in the Eskay Setting

Since 2003, the Company has conducted a systematic and aggressive, multi-disciplinary exploration program on its 100% owned Corey property. Work during that time has demonstrated that the Corey property, and now our recently acquired St. Andrew Goldfields Option ground (the Company’s “Eskay Project”), lies astride a strongly mineralized Early to Middle Jurassic age rift basin (the “Eskay Rift”). The focus of the Company’s program is primarily for precious metal rich volcanogenic massive sulphide deposit, similar to Eskay Creek. However, these recent results point to significant basalt magma-derived, base metal (copper-nickel-cobalt) mineralization that accompanies the rift-infilling basaltic volcanic rocks. Government and industry research has identified Barrick Gold’s Eskay Creek deposit to be a high sulphidation type of VMS deposit. High sulphidation VMS deposits are formed above magma that has entered into very high levels of the footwall stratigraphy close to the floor of the ancient seafloor rift basin. Fluids from those high level magmas contribute directly to the seafloor exhalations and replacements that formed the VMS deposit. Now, a similarly high-level intrusive, sub-volcanic setting is seen to be host to possible basalt magma-derived base metal (Cu-Ni-Co) massive sulphides at Red Lightning. Notably, sub-volcanic, tholeiitic basalt magmas such as at Red Lightning, are important in the genesis of some of the major Cu-Ni-PGM deposits worldwide.

While the Company’s focus remains on “typical” Eskay Creek style exhalative sulphide deposits, this new sub-volcanic copper-nickel-cobalt discovery at Red Lightning represents an exciting new style of mineralization for the Eskay Rift at the Corey Property. The Company’s land tenure position dominates all of the new exploration target possibilities.

The Company is currently drilling on its abutting Eskay Project which is located within similar Eskay Rift geology in a location near the southern boundary of the Eskay Creek mine property of Barrick Gold.

The geological portion of this release has been approved by Sean McKinley, M.Sc., P.Geo., the Company’s Qualified Person.

On behalf of The Board of Directors of Kenrich-Eskay Mining Corporation.

“Wally E. Boguski”

Wally E. Boguski,

President, CEO, Director