For some time we have been following the progress of Eastmain Resources. We are extremely impressed by their management team, technical knowledge, strategic partners, the location of their properties and the geological data that has been collected.

Eastmain Resources Inc. (TSX:ER) is a Toronto-based exploration company actively searching for profitable “world class” gold and base metal deposits within its land holdings in Eastern Canada. The company is working in the politically stable, mineral-rich lands in Ontario and Quebec, which are ranked among the world’s top 10 places to explore due to a wealth of unmined mineral deposits.

Eastmain Resources is systematically exploring the Eleonore South project in joint venture with Goldcorp and Azimut Explorations Inc., Goldcorp is also a strategic alliance partner. The data that Eastmain has collected indicates that Eleonore South could contain a gold deposit like Roberto located next door.

Don Robinson is President, CEO and Director of Eastmain Resources; he resurrected the once defunked junior and gave it its second wind to overcome the Bre-X scandal, the volatile industry and the odds.

“We’ve managed to keep the company active and very viable in the worst conditions and the best conditions over the past decade,” proclaims Robinson. “We have weathered a few storms (downward cycles) along the way. We have a very solid track record with excellent projects and senior partners. We have a very significant chance for another gold discovery.”

Robinson holds a PhD in ore deposit geology. He learned how to discover ore deposits early in his career, when the first company he worked with resulted in a discovery. He worked in exploration and management for numerous mining companies in Canada and abroad on various metallic sulphide deposits before taking on Eastmain back in 1994. Another key member of the team is Catherine Butella, Exploration Manager of Eastmain since 1996. She has over 20 years of diversified experience in the exploration of uranium, base and precious metals and PGE's. She was an integral part of the exploration team at Battle Mountain Gold's Pagingo mine in Australia and worked with Dr. Robinson at Tri Origin's Lewis Ponds VMS discovery. Ms. Butella was a nominee for the PDAC's "Prospector of the Year Award" in 1983 for the discovery of a barite deposit located in the Hemlo Mining Camp. As President of Shawonis Explorations and Enterprises Ltd., Ms. Butella has provided management and geological consulting services for a number of clients in Canada and Australia.

In fact, during Robinson’s time on a previous joint venture, Eastmain was the junior partner, giving him the serendipitous opportunity to reunite with the company, this time working on the junior side, with the challenge of recreating the viability of the company.

“In 1994, essentially we had a bunch of old files and $160,000 cash in the new Eastmain and off we went,” he reminisces, “and within 18 months we had formed our first partnership with Barrick and acquired a 50 per cent interest in the Eau Claire gold deposit, which at the time only had 50,000 ounces but those 50,000 ounces meant that the property was "a property of merit" and that provided our eligibility to get listed on The Toronto Stock Exchange.”

With just 18 months behind its re-emergence on the mining market, the company received its TSX listing. “Doing quite well, trading at about a dollar per share”, Robinson was content with the state of the new Eastmain Resources.

Little did he know it was not smooth sailing just yet, and that a storm so rough was brewing in the background that would eventually rock the junior and change the fate of the entire sector.

“We had no sooner gotten listed on the Toronto Stock Exchange, and then along came the Bre-X scandal,” he regrets. “This one company managed to destroy the credibility of every single publically traded resource company; and they knocked the wind out of everybody’s sails.”

Eastmain Resources plummeted for the second time, the first for Robinson. “We went right down to the bottom, so then it’s the long trail back up trying to build up the company, which we managed.”

Today Eastmain Resources stands again, this time with hindsight, experience and a stronger business strategy.

The strategy includes acquiring endorsement and funding through calculated joint ventures and project partnerships with international gold and base metal giants, including Goldcorp, Barrick and Xstrata.

In exchange for a stake in its prospective mines-in-the-making, Eastmain taps into the finances, credibility, marketability, proprietary data and technical expertise of its heavyweight partners in efforts to advance projects and build its reputation as a bona fide metal-detector. By Eastmain’s equation, the model translates into minimizing risk during precarious exploration and maximizing value to shareholders.

“We’ve managed to get endorsed by the who’s-who of the industry, and the reason they’re endorsing us is based on our experience in the region combined with the size of the target we're after” asserts Robinson. “Right now we’re on the doorstep of a new discovery with the chance of finding a major gold deposit on our property, which every junior company dreams about.”

Of the dozens of projects on Eastmain’s roster, the focal point is the Eleonore South three-way joint venture with Goldcorp and Azimut Exploration Inc., which Eastmain currently manages.

When Virginia Mines discovered the Roberto deposit, Goldcorp snagged the property before any other contenders even reacted to the find. The transaction sent tremors in the industry and put the region on the map, prompting Eastmain, among others, to expand their efforts.

Five kilometers south of the Eleonore property, Eastmain’s work pointed to “very, very positive exploration results.” The 2005 data suggested that there was a "Goldcorp-size gold target" lying on the southern boundary of Eleonore. That was enough to catch and hold Goldcorp’s attention.

“The second we showed Goldcorp the data, they instantly expressed an interest in doing two things: they formed a joint venture with ourselves and our partner Azimut; they contributed a piece of the mine property that they had just paid hundreds of millions of dollars for, and they purchased 10 per cent of our company and accepted a five year hold period for the stock. And that helped put us back on the map.”

Currently on the property a sizable target has been identified with an approximate size of “1000 football fields aligned end to end”. Recent trenching activities confirmed a 16 metre-wide zone containing gold contained within rocks similar to those present in the Roberto deposit. Detailed geochemical surveying confirmed a gold-aresenic-antimony anomaly in the soil above the target, matching elements found at the Roberto deposit.

Robinson eagerly awaits ongoing activity on the property including additional survey work and further trenching commencing in early June using the Super Hoe, “one of the best prospecting and discovery tools prior to drilling”. The device was used to expose the gold-bearing trench at Eleonore South and was instrumental in the Roberto discovery.

“The key thing, if we compare our progress to the time-line of the Virginia discovery, is that Virginia found the deposit in the third year of their exploration program, and we are essentially in the target testing stage (third year) of our program begining in June.”

The drill will be mobilized onsite for the first time at the end of August, with results to follow. And big results are expected, keeping in mind Goldcorp’s golden stamp on the region.

“I don’t think people realize or recognize that this is a new mining district. The industry is waiting for Goldcorp to release the first resource estimate for Roberto in the second quarter of 2007.” Assured that Eastmain is well positioned, he continues. “And what’s very interesting is that a recent government publication reported that the deposit was intercepted 1300 metres below surface and is open at depth. Data released to date suggests that Roberto is a multi-million ounce gold deposit. Further, these deposits often occur in clusters. The next question is how big is it, and where’s the next one?”

In order to sustain its budding success, Eastmain Resources will continue to keep new projects on the horizon, develop new partnerships, generating interest and “build, build the company up.”

The Company owns two gold deposits in this new mining district. Both the Eastmain gold deposit, acquired through the company’s wholly owned subsidiary Eastmain Mines Inc., and the Eau Claire gold deposit located on the Clearwater project are situated within the Eastmain River Greenstone Belt of James Bay, Quebec. The two deposits contain a combined resource of 565,000 ounces measured and indicated and 680,000 ounces inferred.

Robinson considers the Clearwater property “high grade” and “well above the average grade of a Canadian gold deposit” as it is approaching 0.7 oz/t. According to Eastmain’s website the property holds an “indicated and inferred gold resource in excess of 4 million tonnes, containing approximately one million ounces of gold.” Meanwhile the discovery cost at Eau Clair is less than the cost of a cappuccino and donut at $5.25 per resource ounce of gold.

The deposit is open at depth and to the east, giving way to expanded resource potential. Currently exploration for a second deposit is underway, in conjunction with scoping studies and preparation for a 10,000 tonne surface bulk sample. New drill targets have also been identified.

The company has climbed the ranks of juniors to stay afloat over the past 11 years, and the road to success is increasingly smoother and more efficient today, due to Hydro Quebec. HQ is developing the region for its power, increasing accessibility as a spill over benefit to mining companies exploring in the vicinity.

“When we first started in James Bay we would fly 350 km from Matagami by float plane, land on a lake way up in James Bay and set up a tent. Now 23 yrs later we take a commercial airline to within 80 km of the deposit, jump in your pick-up truck and drive to within 2 km of the deposit. We’re hoping that this year we’ll be able to drive right to it.”

The increased accessibility is playing a major role in advancing mining exploration and development projects rapidly by reducing expenditures significantly and increasing the bottom line.

“The key in our industry is the capital cost of our infrastructure. Originally, these roads would cost $5 to 10 million. All of a sudden they are getting built by Hydro Quebec. And with gold prices going up, it is more and more attractive.”

Increasing gold prices are thrusting Eastmain’s projects forward. Current trends suggest that the price of bullion will continue to climb and Eastmain will soon be enjoying the view from the top.

“With a hundred dollar increase in the price of gold, our net asset value increases by $50million U.S. equal to the market capitalization of our company. That’s why I think we’re a good investment, backed by hard tangible ounces in the ground, and backed by solid joint ventures. ”

We feel that Eastmain Resources has the potential to develop into a major gold company.

For further information please contact:
Donald J. Robinson, President or
Catherine Butella, Exploration Manager at
phone (519) 940-4870
fax (519) 940-4871
e-mail: robinson@eastmain.com
website: www.eastmain.com