Kalimantan Gold Confirms Commitments to Private Placement

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

VANCOUVER, BRITISH COLUMBIA -- (Marketwire - May 8, 2012) - Kalimantan Gold Corporation Limited (TSX VENTURE:KLG) (AIM:KLG) (the "Company") confirms that it has received commitments from investors for 6,000,000 common shares at a price of US$0.08 or £0.05 per share to raise US$480,000 (£300,000) under its private placement financing announced on April 23, 2012. 800,000 new shares will be issued in Crest. The 5,200,000 shares issued outside of the Crest system in London will have a hold period of four months plus a day from the date of issue.

The participating investors include clients of the Company's UK broker, Alexander David Securities Limited, along with other investors from Australia and Asia.

The placement shares will be fully paid and will rank pari passu in all respects with the existing common shares in the Company. Application has been made for the placement shares to be admitted to trading on AIM ("Admission") and to be listed on the TSX Venture Exchange. It is expected that Admission will become effective and that dealings in the placement shares will commence on May 10, 2012. Regulatory approval for the placement has also been received from the TSX Venture Exchange. The total number of common shares in issue following completion of the placement will be 171,407,156.

The Company intends to use the proceeds from the private placement to fund its ongoing programs in Indonesia, as well as general working capital purposes. 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.


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.



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
Faldi Ismail
Deputy Chairman and CEO
+61 (0) 423 206 324
faldi.ismail@kalimantan.com

Kalimantan Gold Corporation
Gerald Cheyne
Director Corporate Development
+44 (0) 2077311806 or Mobile: +44 (0) 7717473168
gerald.cheyne@kalimantan.com
www.kalimantan.com

Alexander David Securities Limited
Bill Sharp/David Scott
+44 (0) 20 7448 9800

KLG's Nominated Adviser
RFC Group Limited
Stuart Laing
+61 8 9480 2506
stuartl@rfc.com.au