Release: Kalimantan Gold: Baroi drilling into newly discovered IP anomalies begins

(VANCOUVER, Nov. 2, 2005)-- Kalimantan Gold Corporation Limited (KLG:TSX.V) has resumed drilling at its Baroi Prospect in Central Kalimantan, Indonesia. A four hole program to depths of up to 300 metres has begun into newly identified Induced Polarization ("IP") and soil geochemical anomalies at the Central and East Zones of the Baroi prospect. Contracted drilling will commence to depths of greater than 500 metres on deeper IP anomalies in the Far Eastern ("FEZ") and potentially the Central Zones, as soon as the rig can be mobilized to site.

By July of this year the Company had confirmed the viability of the deep IP drill targets (500 metres depth) already identified at the FEZ. By mid September the Company completed an IP and geochemical survey over the remainder of the 6 by 4 kilometre Greater Baroi area with the aim of determining whether there were any IP anomalies at shallower levels than those identified at the FEZ. The new IP survey was very successful in that it identified one strong, 500 metre wide, shallow depth IP anomaly in the East Zone and another very strong 1,200 metre by 500 metre, deeper anomaly in the Central Zone.

The soil geochemical survey results received so far correlate very well with these new IP anomalies. To date, assay results from 239 C horizon soil samples have been received from the total of 364 samples that have been sent for analysis. These samples were collected at 100 metre spacing from 14 East-West grid lines, 200 metres apart, which cover the greater Central and East Zone at Baroi.

Of the four medium depth holes planned one hole will test the 500 metre wide shallow IP anomaly while another hole will test a 1,600 metre long, strong geochemical anomaly located immediately to the east of this new shallow IP target both in the East Zone. Two additional holes will also test the large 1,200 metres long by 500 metres wide, deeper IP anomaly in the Central Zone. Copper-gold-silver geochemical survey results received to date, correlate very well with these new IP anomalies, known geology and previous shallow drill hole results for this area. Contract drilling in the FEZ and possibly Central deeper IP targets will begin as soon as the contractor's drill rig is mobilized to site.

The Company is now positioned to begin its drilling campaign into three separate and highly prospective target areas in the Central, East and FEZ zones of Baroi to achieve our goal of intercepting porphyry mineralization at depth and subsequently to continue drilling to define the size of the deposit. The geologic data base to support the Company's drill target selection now includes an IP survey over the entire Baroi prospect, airborne magnetic data, Landsat ETM and radarsat imagery, 40 shallow drill holes to depths of 80 metres and 21 medium drill holes to depths of up to 300 metres in the Central, East and FEZ zones of Baroi, soil geochemical sampling on selected locations of the IP grid, collection and analysis of rock and drill core samples using SWIR spectral analysis or PIMA and geological mapping combined with our technical teams 20 years of geologic experience in working in the KSK CoW area.

Kalimantan Gold Corporation Limited has a 75% interest in the KSK Contract of Work ("KSK CoW") which through a recent relinquishment and expansion process now covers an area of 121,620 hectares in Central Kalimantan, Indonesia. Baroi is one of 38 prospects identified within the KSK CoW that is currently the main exploration focus of the Company.(end of release)