Kilo Goldmines Completes $10 Million Unit Offering

TORONTO, ONTARIO--(Marketwire - March 20, 2013) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR PUBLICATION, RELEASE OR DISSEMINATION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN THE UNITED STATES, AUSTRALIA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH IT WOULD BE UNLAWFUL TO DO SO. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF THE SECURITIES LAWS OF SUCH JURISDICTIONS.

Kilo Goldmines Ltd. (the "Company") (TSX VENTURE:KGL)(FRANKFURT:02K) is pleased to announce that it has completed its previously announced short form prospectus offering of units (the "Units") raising gross proceeds of $10 million. The Company has issued and sold today, through GMP Securities L.P., Clarus Securities Inc. and Byron Capital Markets Ltd. (collectively, the "Agents"), 100,000,000 Units at a price of $0.10 per Unit. Each Unit consists of one common share and one common share purchase warrant. Each warrant entitles the holder thereof to purchase one common share at a price of $0.15 for a period of three years from the date of closing of the offering. Directors and officers of the Company acquired an aggregate of 870,000 Units under the offering.

In connection with the offering, the Agents have been granted 2,926,650 non-transferable warrants ("Agents' Warrants") to purchase common shares. Each Agents' Warrant entitles the holder to acquire one common share at a price of $0.10 for a period of two years from the closing of the offering.

The Company intends to use the net proceeds from the offering to fund further exploration of the Company's Somituri gold property in the Democratic Republic of Congo and for working capital and general corporate purposes.

This press release does not constitute an offer of the securities described herein in any jurisdiction. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or the securities laws of any state and may not be offered or sold in the United States absent an exemption from registration.

DISCLAIMER

This news release may contain forward-looking statements concerning future operations of Kilo Goldmines Ltd. All forward-looking statements concerning Kilo's future plans and operations, including management's assessment Kilo's project expectations or beliefs may be subject to certain assumptions, risks and uncertainties beyond Kilo's control. Investors are cautioned that any such statements are not guarantees of future performance and that actual performance and exploration and financial results may differ materially from any estimates or projections.