KLG

Kalimantan Gold Corporation Limited (the "Company") (TSX VENTURE:KLG)(AIM:KLG)
is pleased to announce that the term of the Mining Business Permit (Izin Usaha
Pertambangan "IUP") at its Jelai Gold Project has been extended until June 2,
2015.


This fulfils one of the two conditions outstanding in respect of the option
agreement signed with Tigers Realm Minerals Pty Ltd. ("Tigers") announced on
February 16, 2011.


The other outstanding condition is the grant of the forestry permits required
for the proposed exploration activities. The Company has submitted the necessary
documentation to apply for these permits and the Directors are confident that
they will be issued shortly. In recognition of this expected timing, Tigers have
extended the period for the fulfilment of this condition until August 16, 2011. 


The terms of the option agreement require Tigers to spend a minimum of $2
million on exploration in the first 18 months after the conditions are met.
Tigers can incrementally earn up to a 70% interest in the Jelai Project by
spending US$6 million and completing a Bankable Feasibility Study ("BFS") by the
IUP expiry date. If Tigers do not complete the BFS by the IUP expiry date, its
interest earned in Jelai will convert to a royalty capped at two times its
investment in the Jelai project.


Immediately following receipt of the forestry permits, Tigers expect to commence
site preparation work for their proposed initial drill programme. This will be
aimed at increasing the existing mineralized deposit at Jelai and testing the
prioritised targets in the highly mineralised epithermal vein system.


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 Minerals) and the KSK
Contract of Work in Central Kalimantan with multiple porphyry copper and gold
prospects (which is optioned to Freeport). 


RFC Corporate Finance Ltd acts as KLG's Nominated Adviser for the purposes of
its AIM listing, contact Stuart Laing, ph: +618 9480 2506 or email:
stuartl@rfc.com.au.

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