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Oct 05, 2006

Initial resource of 392,000 ounce of gold reported from the komahun prospect, nimini hills, sierra leone

Toronto, Ontario – Oct 05, 2006, AXMIN Inc. (AXM-TSX Venture) is pleased to report an initial inferred mineral resource estimate of 4.9 million tonnes assaying 2.5 g/t Au (392,000 contained ounces of gold) on the Komahun Prospect at the Nimini Hills project in Sierra Leone. This resource estimate was completed by independent consultant SRK Consulting (UK) Ltd. ("SRK") and is based on the drill holes located in the central portion of the shear zone (see releases dated July 18, January 24, 2006 and November 17, 2005).The resource does not take into account the known and previously reported parallel structures which are the subject of a current drill program.


Chief Executive Officer Jonathan Forster stated "Komahun resource represents an excellent start to a program on a grassroots project where we only started drilling twelve months ago. We believe there is great potential for resource expansion not only from the parallel structures already identified but from other targets along strike that are currently emerging. With Passendro in the Central African Republic in feasibility study, resources at Kofi Project in Mali anticipated to continue to expand, and now resource success at Komahun in Sierra Leone, we believe we have strong foundations for future growth."

AXMIN has just taken delivery of its own man portable core rig for Sierra Leone which has immediately commenced drilling on the two high grade veins on the Eastern Structure where previous drilling intersected 47.5 g/t Au over 3 metres and 66 g/t Au over 2 metres in separate veins. Recent trenching has traced similar looking quartz vein material along a minimum strike length of 250 metres from these intersections open at both ends. Trenching has also extended the geochemical anomaly overlying the Western Structure where a single previous reconnaissance drill hole intersected 4.2 g/t Au over 3.9 metres.

Recent grid sampling has confirmed a 2,000 metre geochemical anomaly (greater than 50 ppb threshold) sampled on grid lines mainly 200 metres apart on the southern extension of the Komahun prospect with spot values of up to 600 ppb. This anomaly lies over an area with similar structures, rock types and aeromagnetic signature to Komahun. Trenching is currently underway on this anomaly with drilling to follow when a rig is available

The inferred mineral resource estimate has been based on some 3,200 metres of core drilling and has been compiled in accordance with National Instrument 43-101 by independent consultants SRK under the supervision of Dr Michael Armitage (CGeol, CEng, MIMMM). SRK’s report will shortly be available on the SEDAR website. The inferred resource estimate was established using ordinary Kriging on data with a top cut of 25 g/t Au and using a 0.5 g/t Au cut off from drilling on mainly 80 metre fence spacing.


Komahun Inferred Mineral Resource







g/t Au

Contained Gold














Figures have been rounded to the nearest thousand

AXMIN, the project manager, may earn a 60% interest in the Nimini Hills project from a subsidiary of Eldorado Gold Corporation (ELD-TSX; EGO-ASX) by expenditure of US$2.25 million over a three year period, and fulfilled its minimum expenditure payment of US$0.5 million in the first year. Thereafter Eldorado has the right to participate on a pro rata basis or if it elects not to then AXMIN can earn an additional 20% by producing a Bankable Feasibility Study. The monies spent on Eldorado’s behalf to earn this additional 20% will be recovered by AXMIN from Eldorado’s share of future production.

Core samples have been prepared and 50 gram pulps subject to gold analysis by fire assay at the independent SGS Laboratory facility at Siguiri in the Republic of Guinee. This press release has been reviewed by in-house qualified person Dr. Jonathan Forster, Fellow of the Institute of Materials, Minerals and Mining in the United Kingdom.

AXMIN is a mineral exploration company with a strong focus on gold in highly prospective properties across central and west Africa. For more information regarding AXMIN visit our website at www.axmininc.com.

Safe Harbour Statement

Certain statements contained herein, as well as oral statements that may be made by the company or by officers, directors or employees of the company acting on the company's behalf, that are not statements of historical fact, may constitute "forward-looking statements" and are made pursuant to applicable and relevant national legislation (including the Safe-Harbour provisions of the United States Private Securities Litigation Reform Act of 1995) in countries where AXMIN is conducting business and/or investor relations. Forward-looking statements, include, but are not limited to those with respect to the price of gold, the estimation of mineral reserves and resources, the realization of mineral reserves estimates, the timing and amount of estimated future success of exploration activities, AXMIN’s hedging practices, currency fluctuations, requirements for additional capital, government regulation of mining operations, environmental risk, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "does not expect", "is expected", "budget", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or equivalents or variation, including negative variation, of such words and phrases, or state that certain actions, events or results, "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. Such risks and uncertainties include, among others, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, possible variations in grade and ore densities or recovery rates, failure of plant, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, delays in obtaining government approvals or financing or in completion of development or construction activities. Although AXMIN has attempted to identify important factors that could cause actual actions, events or cause actions events or results not to be anticipated, estimated or intended, there can be no assurance that forward looking statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Except as may be required by applicable law or stock exchange regulation, the company undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events. Accordingly, readers should not place undue reliance on forward-looking statements.

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The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

For additional information please contact AXMIN Inc.:


Jon Forster

Judith Webster

Chief Executive Officer

Manager – Investor Relations



Tel: +44 (0)1233 665600 (UK)

Tel: +1 416 368 0993 (Canada)

Fax: +44 (0)1233 643728 (UK)

E-mail: ir@axmininc.com