TORONTO, ONTARIO--(Marketwire - Oct. 18, 2011) - Kilo Goldmines Ltd. ("Kilo" or the "Company") (TSX VENTURE:KGL)(FRANKFURT:02K) is pleased to announce that the private placement financings previously announced on October 18, 2011 are fully allocated (collectively, the "Offering"). The Company expects to raise gross proceeds of C$10,000,000 through the issuance of common shares on a "best efforts basis" at a price of C$0.20 per common share. The number of common shares offered pursuant to the Offering may be increased to meet over-subscriptions.

Proceeds from the Offering will be used to fund exploration and for general corporate purposes.

The Offering is scheduled to close on or about November 10, 2011 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The securities to be issued under the Offering will be offered in all the provinces of Canada by way of private placement exemptions, and offshore, including in the United Kingdom, pursuant to applicable exemptions and in the United States on a private placement basis pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended (the "U.S. Securities Act").

The securities referred to in this press release have not been and will not be registered under the U.S. Securities Act or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, sale or solicitation would be unlawful. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the issuer of the securities and its management, as well as financial statements.