Kalimantan Gold Closes Private Placement-Jelai Drilling Underway

Kalimantan Gold Corporation Limited (TSX VENTURE:KLG)(AIM:KLG) - 

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER U.S. NEWSWIRES

Kalimantan Gold Corporation Limited (the "Company") confirms that it has closed
a private placement and issued 6,000,000 common shares at a price of US$0.08 or
GBP 0.05 per share to raise US$480,000 (GBP 300,000) under its private placement
financing announced on April 23, 2012 and May 8, 2012. The common shares issued
are restricted from trading in Canada through the TSX Venture Exchange until
September 10, 2012. 


The proceeds of the placement, combined with the funds on hand, provide the
Company with sufficient working capital to fund operations for 2012 and beyond. 


The Company is also pleased to announce that the drill program at its Jelai
epithermal gold project in Kalimantan, Indonesia is now well underway. The
program is funded by Tigers Realm pursuant to a February 16, 2011 option
agreement.


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 (which is optioned to Tigers Realm Metals) and the KSK Contract
of Work in Central Kalimantan with multiple porphyry copper and gold prospects
(which is optioned to a wholly owned subsidiary of Freeport-McMoRan Exploration
Corporation). For further information please visit www.kalimantan.com.