Release: Kalimantan Gold drill results

VANCOUVER, BRITISH COLUMBIA, Nov 25, 2004 -- Kalimantan Gold Corporation Limited has received assays from its diamond drill holes BF37 through BF41 at the Far East zone of the Baroi porphyry copper-gold prospect. Holes BF37 and BF 38 targeted Induced Polarization anomalies. Holes BF39 to BF41 targeted zones of surface mineralization near the margin of a structurally controlled airborne magnetic anomaly that is located at the contact with granodiorite basement in the Southern Extension zone.

Hole BF37 on line 29800S and BF38 on line 30000S were vertical holes located 450 meters apart. The nearest previous 300 meter deep hole drilled was BF25 some 350 meters north-west of BF37. While these holes did intersect some significant zones of mineralization, results indicate that the depths drilled were not sufficient to fully test the high chargeability IP anomalies on these lines which intensify at depths greater than 300 meters. Deeper holes are necessary to test this anomaly.

Holes BF39 and BF40 were scissor holes from the same collar and are located 1,100 meters south-west from hole BF37. Results from these holes suggest that a zone of high-grade copper, silver and gold mineralization approximately 50 meters wide dips shallowly to the south-west, towards the airborne magnetic high anomaly. Hole BF41 was located 170 meters north of holes BF39 and BF40 and intercepted broadly spaced, narrow high grade veins.

Drilling will resume the first week of December using funds from the just completed private placement. Four new holes have been designed to test three different areas in Baroi potentially hosting mineralized source intrusions. The first test will be the centre of the airborne magnetic high anomaly located 500 meters south-west of holes BF39/40. The second test will be in a silicified and leached ridge 650 meters north from BF39/40. The third area to test is about 1000 meters north of BF39/40 into a zone of near continuous high-grade surface samples (numbers 1837to1871) over a width of 190 meters that also corresponds to a ground magnetic anomaly.

Over the next two months follow up surface exploration will focus on the mineralized monzonite area that is located in the Baroi Central Zone.

Kalimantan Gold's exploration efforts are directed first towards intercepting porphyry mineralization at depth and subsequently to continue drilling to define the size of the deposit. We at Kalimantan Gold remain confident that through our commitment to the drilling program, a source intrusion responsible for the extensive high-grade mineralization at Baroi will be identified.

We invite you to visit the Baroi section of Projects pages on our web site at www.kalimantan.com to view a plan map that reports the most significant rock chip sample assays and diamond drill hole assay results achieved at Baroi thus far.

Quality Assurance
The Company in addition to its normal laboratory work with PT Indoassay Laboratories from Balikpapan, has established quality assurance procedures for sampling and assaying. This includes duplicate and re-assay checks of samples with PT Intertek Utama Services, Jakarta an internationally recognized laboratory.

Qualified Person
All data, as disclosed in this press release, including sampling, analytical and test data have been verified by the Company's Qualified Person, Didik Prasetyo, Senior Project Geologist.

The Company
Kalimantan Gold Corporation Limited has a 75 percent interest in a 129,200-hectare Contract of Work located in Central Kalimantan, Indonesia. Baroi, a porphyry copper-gold prospect is one of 38 prospects identified within the CoW and is currently the main exploration focus of the Company. (end of release)