Kalimantan Gold plans private placement

Canadian Venture Exchange listed junior mineral explorer Kalimantan Gold Corporation Limited said Friday that the company is proceeding with a non-brokered private placement financing of up to US$200,000.

According to the company the private placement, which remains subject to regulatory approval, will consist of up to 1,000,000 units priced at US$0.20 each. The company said insiders of the company and other long-term individual supporters of will take up the placement.

?The proceeds of the placement will be used, together with funds on hand, to finance the company's ongoing exploration programs on its Contract of Work in Kalimantan, and for working capital,? the company said in a statement.

The company?s copper and gold prospect is located in Central Kalimantan.

In addition, the company had executed an agreement with PT.S. Widjojo to issue 351,450 units in the capital of the Company to fully extinguish US$70,290 of debt the company owed to PT. S. Widjojo. (alex)