Forest Gate Collars First Hole On South Side Property, Saskatchewan

MONTREAL, QC. JULY 4, 2006 - Forest Gate Resources Inc. reports that it has started drilling on its 100 percent-owned South Side property near the town of Melfort, Saskatchewan. The 3000-metre drill program is designed to test 10 anomalies south of the Saskatchewan River that lie on-trend with the massive Fort a la Corne kimberlite field.

"We are very happy to get drilling" said Steve Roebuck, Forest Gate's Vice President of Exploration. "We will measure immediate success by finding kimberlite south of the Saskatchewan River, something that has never been done before."

The ten anomalies, chosen by Condor Consulting of Denver, Colorado are all electromagnetic anomalies that were identified by the 3000-line kilometre airborne survey conducted by Fugro Aviation Services in April, 2005. The anomalies were selected by a comprehensive process of comparison and elimination to known data including information obtained from test lines flown over the 140/141 and Star kimberlite pipes.

"Most of the kimberlites in the main Fort a la Corne trend are strongly magnetic" said Roebuck. "If our South Side anomalies had been magnetic, they would have been found 20 years ago. This is a bold attempt at trying something new. We have to take chances in this industry if we want to discover the harder-to-find kimberlite pipes."