Kilo Goldmines Ltd.: 1100 Metre Gold Geochemistry Anomaly Delineated at Adumbi West Prospect, Somituri Project, Dem. Rep. Congo

HIGHLIGHTS



--  1100 m Gold Geochemistry anomaly delineated
--  Adumbi West exhibits similar geophysical and geochemical characteristics
    to the Adumbi Prospect
--  Adumbi West is underlain with banded iron formation
--  No evidence of historical exploitation on Adumbi West
--  Adumbi West Gold Geochemistry anomaly is 2.5 km west of the Adumbi
    Prospect
--  Gold values up to 1.6 g/t in soil



Kilo Goldmines Ltd. (Kilo) (TSX VENTURE:KGL)(FRANKFURT:02K) is pleased to
announce the results and interpretation of the soil geochemical survey on the
Adumbi West Prospect,Imbo Licence, Democratic Republic of Congo, which has
defined a gold ("Au") anomaly over a strike length of 1100 m. The gold values
are similar to those on the Adumbi Prospect, 2.5 km to the east, that hosts an
NI 43-101 compliant inferred resource of 1.87 million ounces ("Moz") grading
1.63 grams per tonne ("g/t") Au at a 0.50 g/t cut-off. 


Alex van Hoeken, President and CEO of Kilo, today stated:

"The completion of the recent geochemical soil sampling and subsequent
interpretation with anomalous gold values over a significant area, especially
together with the interpreted results of our previous geophysical program, is
extremely encouraging. Gold values of 1.6 g/t for soil geochemistry samples is
regarded as significant and this, together with our geophysical interpretation,
coupled with the fact there appears to be no evidence of previous mining,
certainly warrants further and more detailed systematic exploration. This result
demonstrates the systematic approach of the company's exploration team to
continue to explore, delineate, and asses new and existing targets to increase
the mineral potential of the company's portfolio. " 


IMBO GEOLOGY

The Imbo Licence, interpreted from the 2012 Airborne Magnetic and Radiometric
Survey, coupled with field and drill core observations, comprises northwest
trending mafic volcanic rocks flanked to the southwest and to the northeast with
metasedimentary rocks, including Banded Iron Formation ("BIF"), as illustrated
in Figure 1. A series of approximately north south trending faults, interpreted
from the geophysics, structurally control the area. 


IMBO GOLD-IN-SOILS

A contour map of 7888 soil geochemical samples with analysed gold values
covering a portion of the Imbo Licence has been overlain onto the geophysical
airborne magnetic map. Geochemical soil anomalies comprise samples that returned
gold values greater than 250 parts per billion ("ppb") Au. Figure 2 illustrates
the contoured gold value anomalies are truncated in close proximity to the north
south trending faults. In general, anomalous gold values are coincident with the
areas historically mined indicating perhaps the gold soil geochemistry values
are representative of the known underlying in-situ gold mineralization. However,
several gold-in-soil anomalies, not associated with known gold exploitation,
were delineated, but at Adumbi West there are no known historically mined or
current artisanal areas of exploitation.


ADUMBI WEST - ADUMBI PROSPECT

Figure 3 illustrates the gold geochemical soil values for the individual sample
locations over the Adumbi Prospect, as well as over the Adumbi West Prospect.
Soil samples across the 120 m width that defines the westernmost 'drill target',
shown on Figure 3, returned gold values of up to 1640 ppb Au with fragmented
BIF, a known gold host, represented in places. Gold values from soil samples
collected over the magnetic anomaly that partly defines the Adumbi West Prospect
delineated a linear gold-in-soil anomaly 1100 m in length overlying the northern
flank of the magnetic anomaly. Topographically the Adumbi West Prospect is
gently undulating whereas the Adumbi Prospect is a steep-sided hill that rises
approximately 130 m above the base elevation. 


SOIL SAMPLING PROCEDURES

Sample collection: Between 2010 and 2012 soil samples were collected at a depth
of one metre on pre-cut grid lines spaced at intervals that varies from 80 m to
320 m. GPS coordinates were acquired for each sample site. Approximately 2 kg of
material present at the one metre sample depth was collected and placed into a
plastic bag together with a pre-numbered sample tag and the bag was stapled
shut.


Determination of anomalous gold values: Statistical analysis of the gold-in-soil
values for all 7888 samples, excluding quality control samples, indicates that
the anomalous threshold is 250 ppb gold. The anomalous threshold was determined
by the sample population mean plus two times the sample population standard
deviation after cutting 135 samples to a statistically determined 550 ppb Au.
The contours for the gold values in Figure 2 were generated by Inverse Distance
Squared ("ID2") utilizing an ellipsoid with one axis 500 m long oriented normal
to lithological strike and one axis 2500 m long oriented parallel to the
lithological strike which is also the strike of the gold bearing shear zones. 


ABOUT THE SOMITURI PROJECT

The Somituri Project comprises eight Exploitation Licences, covering 606 km2,
valid until 2039, of the Archaean Ngayu Greenstone belt in the northeastern
Democratic Republic of Congo.


According to historical records, which have not been verified by Kilo, the
Kitenge and Manzako mines produced approximately 100 000 oz of gold to 1955,
whilst the Adumbi/Bagbaie gold mines produced approximately 200 000 oz of gold,
from quartz vein ore that averaged 11 g/t gold, during the 1950s until its
closure in 1959.


The Imbo Licence hosts a number of gold bearing prospects, some of which are
currently being drilled. Adumbi Prospect is the most advanced Prospect on the
Imbo Licence with an NI 43-101 compliant inferred resource estimate as follows:




--  1.87 Moz grading 1.63 g/t Au at a 0.50 g/t cut-off grade.
--  1.63 Moz grading 2.04 g/t Au at a 1.0 g/t cut-off grade



The resource estimate was calculated in April 2012 by The Mineral Corporation
based in Johannesburg South Africa. 


QUALITY CONTROL AND ANALYTICAL PROCEDURES

Sample preparation consisted initially of sorting the samples into numerical
sequential order, followed by drying, crushing and pulverizing of the entire
sample. The 2010 and 2011 soil samples were shipped, by commercial carrier, to
ALS Minerals sample preparation laboratory in Mwanza, Tanzania. Preparation of
the 2012 samples was carried out at the Kilo owned, ALS Minerals managed and
operated, Somituri Project exploration camp on-site laboratory. Sample pulps
were couriered to ALS Minerals full service laboratory in Johannesburg, Gauteng,
South Africa from Mwanza during 2010 and 2011 and from the Democratic Republic
of Congo during 2012. Gold was determined on a 30 g charge by the Fire Assay
with ICP finish method. In addition, multi-element analysis was carried out by
the ICP method. ALS Minerals is accredited to international standards.


Analytical quality control was monitored by Kilo with the insertion of
approximately 9% quality control samples consisting of duplicates as well as
commercial blank and standards in every batch of samples submitted for analysis.


ABOUT KILO

Kilo Goldmines Ltd. (Kilo) is a Canadian gold exploration company, listed on the
TSX Venture Exchange under the symbol 'KGL' and on the Frankfurt Exchange under
the symbol '02K'. Kilo holds exploitation and exploration licences covering
approx. 3000 km2 of favourable Archaen Kabalian Greenstones in the northeast
Democratic Republic of Congo, an area historically referred to as the Kilo-Moto
region, a historic gold-producing region (11 Moz, Mineweb,
http://www.mineweb.com/mineweb/content/en/mineweb-gold-analysis?oid=91234&sn=Detail).


Incorporated within these licences, is the Somituri Project,
http://www.kilogold.net/our-business/gold/kgl-somituri-sprl/, (71.25% owned by
Kilo), comprising eight non-contiguous licences (606 km2) and the KWR Iron SPRL
Joint Venture with Randgold Resources Ltd,
http://www.kilogold.net/our-business/gold/kwr-iron-sprl/, (2056 km2).


Kilo has retained the rights to explore for iron ore on the properties held by
KWR Iron SPRL and has a minority interest in the Hajigak iron ore project in
Afghanistan.


Adumbi Prospect, one of a number of gold prospects, on the Imbo Licence (122
km2) of the Somituri Project hosts an NI 43-101 complaint inferred resource
estimate as follows:




--  1.87 Moz grading 1.63 g/t Au at a 0.50 g/t cut-off grade.
--  1.63 Moz grading 2.04 g/t Au at a 1.0 g/t cut-off grade. 



The resource estimate was calculated in April 2012 by The Mineral Corporation
based in Johannesburg South Africa. 


QUALIFIED PERSON

The soil sampling program disclosed in this press release was planned and
supervised by Stanley Robinson, the Company's Exploration Manager. Stanley
Robinson, M.Sc., P.Geo is also the 'qualified person' (as such term is defined
under National Instrument 43-101) of the Company who has reviewed and verified
the scientific and technical information contained in this release.


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.


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.


To view Figure 1, "Map of geology and gold structures on the Imbo Licence,
Somituri Project, DRC", please click the following link:
http://media3.marketwire.com/docs/kgl0617a.pdf.


To view Figure 2, "Contoured gold-in-soil values (ppb) over the western portion
of the Imbo Licence", please click the following link:
http://media3.marketwire.com/docs/kgl0617b.pdf.


To view Figure 3, "Gold-in-Soil values over the Adumbi West and Adumbi
Prospects, Somituri Project", please click the following link:
http://media3.marketwire.com/docs/kgl0617c.pdf.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Kilo Goldmines Ltd.
Alex van Hoeken
Chief Executive Officer (CEO) & President
[phone]
[e-mail]
www.kilogoldmines.com