Kalimantan Gold Corporation Limited

Kalimantan Gold Corporation Limited

August 17, 2011 02:00 ET

Kalimantan Gold-Jelai Update

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 17, 2011) - As announced on February 15, 2011, Kalimantan Gold Corporation Limited (TSX VENTURE:KLG)(AIM:KLG) (the "Company") executed a definitive option agreement (the "Deed") with Tigers Realm Minerals Pty Ltd. ("Tigers") an Australian based, privately owned resource company. Pursuant to the Deed Tigers may earn up to a 70% interest in the Company's Jelai Gold Project by meeting certain project expenditure obligations and completing a bankable feasibility study.

The Deed remains conditional upon receipt of the necessary forestry permits being granted to enable the on ground exploration activities to be conducted. In recognition of delays in the receipt of these permits, Tigers and the Company agreed to extend the period in which this condition could be satisfied by a further three months until August, 16, 2011, as announced on June 23, 2011.

The period has now expired. However, the forestry permits are expected imminently and the Company and Tigers are currently in discussions regarding a further extension to the Deed. Field operations and mobilization of drill rigs will be commenced immediately after the forestry permits are received.

About Kalimantan Gold

Kalimantan Gold Corporation Limited is a junior exploration company listed on both the TSX Venture Exchange in Canada and on AIM in London. The Company has two exploration projects in Kalimantan: the Jelai epithermal gold project in East Kalimantan and the KSK Contract of Work in Central Kalimantan with multiple porphyry copper and gold prospects. For further information please visit www.kalimantan.com.

About Tigers Realm Minerals (Jelai Gold Prospect)

Tigers Realm Minerals is an Australian based, privately owned resources company. From its head office in Melbourne, Tigers operates globally with a core focus on gold, copper and coal. Tigers vision is to build a world class resources business by identifying, acquiring and investing in high quality minerals and energy opportunities and providing the necessary management, technical and financial support required to fully explore, evaluate and develop these assets to their full potential. The Tigers team of resource industry professionals have a reputation for delivering exceptional investment returns, most notably through the transformation of junior mineral explorer Oxiana Resources into an ASX 100 company capitalised at over $6 billion between 2000 and 2008. Tigers is currently building and exploring gold and coal portfolios in the Asian region, exploring for coal in South America and assessing a range of additional gold, copper and coal opportunities globally. For further information on Tigers please visit www.tigersrm.com.au.

RFC Corporate Finance Ltd acts as KLG's Nominated Adviser for the purposes of its AIM listing, contact Stuart Laing, ph: +618 9480 2506 or email: stuartl@rfc.com.au.

This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors 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 ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Kalimantan Gold Corporation Limited
    Faldi Ismail
    Deputy Chairman and CEO
    +61 (0) 423 206 324

    Kalimantan Gold Corporation Limited
    Gerald Cheyne
    Director Corporate Development
    +44 (0) 20 7731 1806 or Mobile: +44 (0) 77 1747 3168

    Alexander David Securities Limited
    Bill Sharp
    +44 (0) 20 7448 9820

    Alexander David Securities Limited
    David Scott
    +44 (0) 20 7448 9820

    RFC Corporate Finance Ltd
    Stuart Laing
    KLG's Nominated Adviser
    +61 8 9480 2506