======================================================================
Another Zone Now Providing Excellent Results in Jackson's Arm
Including 50.8 metres of 1.27 gpt gold
======================================================================

News Release #2007-3

Kermode Resources (TSX VENTURE:KLM) is pleased to report that the
company has received analytical results from 7 additional drill holes
from their ongoing drill program at Jackson's Arm, Newfoundland. These
results are from the Road Zone which is located approximately 1.5
kilometres south of the recently announced intercepts on the highly
encouraging Apsy Zone. The Road Zone is an area that Kermode has
generated very little data from prior to the current drill program.
Drilling in the Road Zone continues.

Highlights from these seven holes include an intersection of 50.8
metres of 1.27 gpt gold, 64.9 metres of 1.02 gpt gold, 32 metres of
1.30 gpt gold and 27.3 metres of 1.12 gpt gold. All seven holes drilled
encountered significant gold mineralization. Analytical results are
given below:


----------------------------------------------------------
Hole Number From (m) To (m) Core Length (m) Au (gpt)
----------------------------------------------------------
JA-07-67 38.9 39.9 1.0 1.84
----------------------------------------------------------
57.5 63.9 6.4 1.29
----------------------------------------------------------
103.7 107.6 3.9 1.03
----------------------------------------------------------
117.4 121.9 4.4 1.07
----------------------------------------------------------
124.4 125.0 0.6 2.19
----------------------------------------------------------
126.8 127.7 0.9 1.61
----------------------------------------------------------
JA-07-68 23.5 27.1 3.6 1.14
----------------------------------------------------------
71.5 73.3 1.8 1.68
----------------------------------------------------------
96.0 101.5 5.5 0.82
----------------------------------------------------------
119.3 120.0 1.0 1.35
----------------------------------------------------------
JA-07-69 12.5 35.0 23.0 1.02
----------------------------------------------------------
38.1 39.6 1.5 1.46
----------------------------------------------------------
66.8 68.0 1.2 1.82
----------------------------------------------------------
78.0 79.0 1.0 1.13
----------------------------------------------------------
97.4 98.4 1.0 1.17
----------------------------------------------------------
JA-07-70 9.0 13.0 4.0 1.07
----------------------------------------------------------
39.0 71.0 32.0 1.30
----------------------------------------------------------
95.0 96.5 1.5 1.17
----------------------------------------------------------
JA-07-71 9.5 14.0 4.5 1.13
----------------------------------------------------------
20.0 21.5 1.5 1.28
----------------------------------------------------------
36.3 63.6 27.3 1.12
----------------------------------------------------------
74.0 75.0 1.0 1.29
----------------------------------------------------------
JA-07-72 17.5 18.8 1.3 2.15
----------------------------------------------------------
25.7 27.2 1.5 1.00
----------------------------------------------------------
37.4 88.2 50.8 1.27
----------------------------------------------------------
107.0 119.0 12.0 0.76
----------------------------------------------------------
JA-07-73 17.0 81.9 64.9 1.02
----------------------------------------------------------
85.7 87.1 1.4 1.72
----------------------------------------------------------
93.3 109.5 16.2 1.03
----------------------------------------------------------
166.0 167.0 1.0 1.26
----------------------------------------------------------



Kermode has now delivered excellent drill results from multiple areas
of the large Jackson's Arm gold property, which is important as the
company targets a large bulk tonnage type gold deposit.

Neil Briggs, President of Kermode Resources states, "Jackson's Arm is a
large and extensively mineralized property and we are very pleased to
continue generating excellent results from this ongoing drill program.
Kermode has been consistently delivering good numbers during this drill
program at Jackson's Arm. We will continue to drill, targeting both a
large open pit type mining configuration as well as additional high
grade sedimentary-hosted mineralization."

Kermode acknowledges the financial assistance provided by the
Government of Newfoundland and Labrador's Junior Company Exploration
Assistance Program. Proceeds of a flow-through financing by
MineralFields Group of Toronto (www.mineralfields.com) are being used
to fund this drill program.

Visit our website at www.kermode.com for more information.

ON BEHALF OF THE BOARD OF DIRECTORS

D. Neil Briggs, President and Director

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. Core
samples were taken from drillcore which was descriptively logged on
site, aligned, marked for sampling and then split in half,
longitudinally, using a diamond saw blade. One half the core has been
preserved in core boxes for future reference. The samples, comprising
the other half of the drillcore were bagged, sealed and delivered
directly to the analytical laboratory under the supervision of Mr.
Harris. Samples were processed and analyzed at Eastern Analytical Ltd.,
an assay laboratory based in Springdale, Newfoundland. Samples were
crushed with a jaw crusher to 75% passing 10 mesh and split with a
riffle splitter to approximately 250 grams. This sample was then
pulverized to 95% passing 150 mesh and analyzed for gold utilizing a
half assay ton, fire assay technique plus ICP-11. As part of the
quality control program being implemented, Eastern Analytical is
sending a pulp of 1 in 10 samples to Acme Analytical Laboratories Ltd.
of Vancouver BC, an ISO 9001:2000 accredited laboratory for ICPMS check
analyses. Analytical pulps and rejects will be retrieved by Kermode and
retained.

No Stock Exchange Has Approved or Disapproved The Information Contained
Herein.

View News Release in PDF Format:
http://www.kermode.com/i/pdf/KLM2007-3.pdf
37 KB in size, approx. 8 seconds to download at 56.6Kbps

======================================================================
Copyright (c) 2007 KERMODE RESOURCES LTD. (KLM) All rights reserved.
For more information visit our website at http://www.kermode.com/ or
send mailto:info@kermode.com
======================================================================

.