KILO Goldmines Ltd.
TSX VENTURE : KGL
FRANKFURT : 02K

KILO Goldmines Ltd.

May 04, 2011 16:58 ET

Kilo Goldmines Files Final Short Form Prospectus for Offering of Units

TORONTO, ONTARIO--(Marketwire - May 4, 2011) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OF FOR DISSEMINATION TO U.S. NEWS WIRE SERVICES

Kilo Goldmines Ltd. (the "Company") (TSX VENTURE:KGL)(FRANKFURT:02K) today announced that it has filed a final short form prospectus in connection with its previously announced offering of units. A minimum of 25,000,000 and a maximum of 50,000,000 units are being offered on a best efforts basis at a price of $0.20 per unit with each unit consisting of one common share and one-half of one common share purchase warrant. Each whole warrant will entitle the holder to purchase one common share at a price of $0.30 for a period of two years from the closing of the offering. M Partners Inc. and Cormark Securities Inc., as co-lead agents, and Euro Pacific Canada Inc. are acting as the Company's agents in connection with the offering.

The Company expects 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.

Closing of the offering is expected to occur on or about May 12, 2011.

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.

About Kilo

Kilo Goldmines Ltd. is a Canadian gold exploration company that is listed on the TSX Venture Exchange under the symbol 'KGL' and on the Frankfurt Exchange under the symbol '02K'. The Company has over 7,000 square kilometres of favourable Archaean Kabalian greenstone in the Kilo-Moto area in the Democratic Republic of the Congo. Kilo's principal focus is to advance its projects from exploration through feasibility to project development and ultimately to full production in a socially and environmentally responsible manner. The Company owns a 71.25% interest in the DRC entity that holds the Somituri Project Exploitation Permits.

This news release may contain forward looking statements concerning future operations of Kilo Goldmines Ltd. All forward looking statements concerning the Company's future plans and operations, including management's assessment of the Company's project expectations or beliefs may be subject to certain assumptions, risks and uncertainties beyond the Company'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.

Neither 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.

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