Last checked at 13 Dec 2006 07:20
Kalimantan Gold Corporation Limited For Immediate Release NR06-16 TSX Venture ExchangeDecember 13, 2006 and AIMVancouver, British Columbia Symbol: "KLG"
Kalimantan Gold AIM listing supports world class potential at its mineral projects in Kalimantan
Kalimantan Gold Corporation Limited a junior exploration company with the potential to discover a new world class copper gold deposit in Kalimantan, Indonesia, announces that it has listed on the London AIM market today.
The AIM listing is designed to help broaden Kalimantan Gold's shareholder base, offer investors in the UK and European markets easier access to the company`s securities and improve the company's position with regard to future capital raisings. "London will give the company access to new capital," commented the company's CEO Rahman Connelly. "This will help us advance our existing projects and pursue new opportunities that may arise."
Trading under the ticker code "KLG", Kalimantan Gold, which is already listed on the TSX Venture Exchange, is positioning itself for any capital raisings that may be required to advance its portfolio of mineral projects. The company has exploration rights over two distinct areas: the Jelai-Mewet gold-silver prospects in East Kalimantan and the KSK copper-gold prospects in Central Kalimantan, where highly encouraging drill results to date indicate the potential for a world class deposit.
In a key development relating to the KSK copper-gold prospects, Kalimantan Gold recently signed a Heads of Agreement with Australian copper and gold miner Oxiana Ltd which will initially spend US$2.5 million on further exploration work. Under the agreement, Oxiana will have the option to take the projects to a bankable feasibility study, by which time it will have spent an estimated US$37.5 million for a 66.67% stake.
Added Connelly: "We are delighted that Oxiana, who are an extremely ambitious company, has chosen to work with us. We are confident that partnering with Oxiana, and their proven resources and skills, is the most expedient route to advancing the copper projects and realizing value for all our shareholders and stakeholders alike."
The company's shares will continue to be listed on the TSX Venture Exchange (TSXV), giving shareholders the option of trading their shares on either the TSXV or AIM. In order to trade, shareholders will need to transfer their shares onto the relevant share registry and establish an account with an appropriate stockbroker. With regard to its AIM listing, the company has appointed the Australian-based specialist resources advisory group RFC Corporate Finance Ltd as its Nominated Adviser and Keith, Bayley, Rogers & Co Ltd as its UK broker. Share trading details can be checked at www.londonstockexchange.com (for AIM trading) and www.tsx.com (for TSXV trading).
Further information can be found in Kalimantan Gold's AIM admission document which is available on the company's website - www.kalimantan.com. Alternatively contact:
About Kalimantan Gold Corporation: Kalimantan Gold has been exploring in Indonesia since its incorporation in 1996. The company holds 100% of the Jelai-Mewet epithermal gold-silver prospects in East Kalimantan and has a 75% stake in the KSK contract where it has identified three porphyry copper-gold prospects, Baroi, Beruang and Mansur in Central Kalimantan, which management believe all have the potential to become a significant world class deposit. To date, over 20,000 metres of drilling on these prospects have produced some exceptionally encouraging results. The agreement with Oxiana will include drilling 12 deep holes over a period of 12-18 months.
For further information please visit www.kalimantan.com or contact:
Rahman Connelly Gerald Cheyne Deputy Chairman and CEO, Keith, Bayley, Rodgers & Co Kalimantan Gold Limited Telephone: +61 7 55232298 Telephone: +44 (0)20 78712274 +61 (418) 116 955 Email: gerald.cheyne@wcwb.co.uk Email: rconnelly@ozemail.com.au Nick Cottam Associates (UK public relations) Telephone 07834 978139
The TSX Venture Exchange does not accept responsibility for the adequacy or the
accuracy of this release. NR05-14
KALIMANTAN GOLD CORPORATION LTD