Mr. Pat Lynch reports

KESTREL ENTERS INTO DEBT SETTLEMENT AGREEMENTS

Kestrel Gold Inc. has entered into debt settlement agreements with Patrick Lynch and Jean Sharp to settle management fees in the amount of $63,000 and $7,917, respectively, by the issuance of 1,119,000 common shares and 140,620 common shares, respectively, at a deemed price of 5.63 cents per common share.

The corporation has also entered into a debt settlement agreement with Greg Lynch to settle an invoice of $4,221 by the issuance of 74,970 common shares at a deemed price of 5.63 cents per common share.

The debt settlement agreements are subject to acceptance by the TSX Venture Exchange.

About Kestrel Gold Inc.

Kestrel Gold is an exploration company headquartered in Western Canada and focused on the Canadian cordillera. Kestrel has earned a 100-per-cent interest, subject to a 2-per-cent net smelter return royalty with buydown provisions, in the QCM property, which is an orogenic gold target located in the Manson-Germanson placer district. Kestrel has also earned a 100-per-cent interest, subject to a 2.5-per-cent NSR royalty with buydown provisions, in the KSD property, which is an orogenic gold target located in the Yukon portion of the Tintina gold belt. Kestrel is listed on the TSX Venture exchange under the symbol KGC.