Kodiak need to keep it's main focus on Hercules and develop it's case on a true value if there is something there that will be attractive to a major (recognizing that there is still a whole lot of drilling that may be required before it becomes a discovery of significance), and yet investors should be aware that there may have also been a little bit of work outside of Beardmore-Geraldton Gold Belt that has been performed on their Quebec Otish property of late. A hit in Otish mountains would certainly make it easier to start spinning off the non-Gold divisions and unlock some of the hiden property value that is presently included within the many other land packages assembled by Kodiak.

In the vacinity of the Otish property exploring for U3O8, Strateco released news within the last few days that included reference to a drill that was placed to the disposal of other mining companies working in the Otish Mountains. Strateco will be needing it again in August, and therefore if Kodiak was one of the companies that was in line to use this drill you might expect that the Otish Mountain drilling for this summer could in fact be complete this month.

The Stateco press release is available at http://www.stratecoinc.com/eng/hm/do... .

The text that may apply to Kodiak is included below.

Since the cut-off date of July 25th, 2008 drilling continues with three drills. Two of the drills currently operating on the Matoush property have been assigned to exploration and resource definition of the new MT-34 zone and exploration to the south of the MT-34 zone, which is open on 12 km.

The third drill is outlining the resource on the MT-22 zone and exploring to the north of MT-22.

The fourth drill operational on Matoush was placed to the disposal of other mining companies working in the Otish Mountains. In August, that drill rig will be used by Strateco to test exploration targets on Strateco's Pacific Bay option.