Kirkland Lake Gold Inc. - Recent Developments

Recent Developments

New Break – Steeply dipping 60 degrees

Section View looking East

Exploration

On January 12, 2010 Kirkland Lake Gold announced 2 new significant drill holes. Drill hole 53-1520 intersected 6.14 ounces of gold per ton (opt) uncut (1.87 opt cut) over a core length of 13.7 feet (estimated 11.8 feet true width). Drill hole 53-1506 intersected a new zone 50 feet below and 196 feet east of the New South Zone and returned 8.60 opt uncut (3.5 opt cut) over a core length of 5.7 feet (estimated 5.2 feet true width). Both intersections are located outside the known limits and plunge of the current SMC. DD 53-1520 appears to have intersected the Lower D North or Lower SMC Zone and is 1,000 feet east of the nearest drill hole on the Lower SMC. The intervening 1,000 feet will be a high priority area for exploration for the next fiscal year. This new discovery zone represents a new break, the “’08 Break,” described as a new 60 degree dipping structure to the South of and parallel to the 04 and Main Breaks and footwall to the SMC.

Mine Expansion

In January 2009, Kirkland Lake Gold commenced a 2-Phase, 36-month development and mine refurbishment program to increase production in two eighteen month phases:

Phase I, to be completed by July 2010 at the latest, will double production to 600 - 700 tons of ore per day, containing roughly 90,000 - 100,000 ounces of gold per year.

Initiate mechanized cut and fill mining in the SMC
Increase and improve underground ventilation
Upgrades and extensions to the underground fill system
Initiate ramp development
Continue aggressive exploration and ore body definition
Infrastructure upgrades and mine expansion

Phase II, is expected to complete in early 2012 and will double production again to 1,200 to 1,400 tons of ore per day, containing roughly 180,000 to 200,000 ounces of gold per year.

Complete ramp access to the lower SMC and initiate mining below the-5,300 level in the SMC
Complete the upgrade of Phase 2 ventilation
Upgrade shaft hoisting in the #3 shaft
Upgrade surface paste back-fill system
Upgrade surface infrastructure
Continue aggressive exploration and ore body

Mine Expansion

Construction of the New Main Hoist