Forest Gate Engages IBK Capital Corp.

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Forest Gate Engages IBK Capital Corp.
via COMTEX

December 16, 2004

SHARES OUTSTANDING: 26 MILLION
SYMBOL & EXCHANGE: FGT-V

MONTREAL, QC, Dec 16, 2004 (Canada NewsWire via COMTEX) --

Forest Gate Resources Inc. reports that it has engaged Toronto investment bank, IBK Capital Corp. on a non-exclusive basis, to seek private placement financing for Forest Gate.

The timing and terms of such private placement financing have yet to be determined between Forest Gate and IBK Capital.

Since 1989 IBK Capital led, managed and completed investment banking transactions with a combined value of $4 billion for the Mining Industry.

Forest Gate is a publicly traded mineral exploration company with diamond properties in Saskatchewan and precious and base metal properties in New Brunswick. The company's shares and warrants trade under the symbol FGT on the TSX Venture Exchange.

Forward-Looking Statements

This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.

The TSX Venture Exchange has not reviewed nor does it accept responsibility for the adequacy or accuracy of this news release.

VIEW ADDITIONAL COMPANY-SPECIFIC INFORMATION: www.newswire.ca/en/releases/orgDisplay.cgi?okey=18055

For further information: PLEASE CONTACT: MICHAEL JUDSON, PRESIDENT & CEO, [phone], MJUDSON(at)FORESTGATE.CA, WWW.FORESTGATE.CA News release via Canada NewsWire, Toronto 416-863-9350