PRESS
RELEASE
Kinbauri
Gold
Corp.
110
Westhunt Drive
P.O.
Box
158
Carp,
Ontario K0A 1L0 CANADA
Stock
Symbol:
TSXV.KNB:
3KG.DE
Website:
www.kinbauri-gold.com
FOR IMMEDIATE RELEASE 2008-15
KINBAURI ANNOUNCES $1 MILLION
STRATEGIC INVESTMENT BY ANGLO PACIFIC TO COMPLIMENT $7.5M ROYALTY FINANCING AND
ACCELERATED DRILL PROGRAM
OTTAWA, ONTARIO, April 23rd, 2008: Kinbauri Gold
Corp. (“Kinbauri”) (Toronto: TSXV.KNB; Frankfurt: 3KG.DE)
wishes to announce that in conjunction with a $7.5M royalty financing with Anglo
Pacific Group PLC (“AngloPac”) (press release of March 10th, 2008) it
has completed a non-brokered private placement with AngloPac for 1,250,000 units
of Kinbauri at a price of $0.80 per unit for gross proceeds of $1M. Each unit is comprised of one common
share and one-half warrant, each whole warrant entitling the holder to acquire
one common share at an exercise price of $1.00 until April 21st,
2009. There are no fees attached to this private placement.
During the past several months Kinbauri has exceeded expectations in
the progress of, and results received from, its 23,000 metre infill drilling
program at the El Valle/Carles project in Spain and
indications are that the program will be finished ahead of schedule. Results
from the drilling show numerous lengthy intersections and strong assays of gold
and copper (See Press Releases of April 17, April 1; March 18, March 7; February
27, February 14 and January 29, 2008; and December 13, 2007). The $1M equity placement in conjunction
with the $7.5M royalty financing, which is expected to close by the end of April
upon final registration of documents in Spain, will fully fund Kinbauri so that
it can maintain its accelerated drill program at El Valle/Carles and deliver a
feasibility study for the recommencement of production there by the end of 2008.
Subsequent to the feasibility study, Kinbauri intends to primarily finance its
pre-production needs through debt financing.
Kinbauri is extremely pleased to have AngloPac as a significant
shareholder. This placement, in
conjunction with their NSR purchase, is a strong vote of confidence for
Kinbauri’s plan to recommence mining at El Valle/Carles by 2010. Kinbauri looks forward to working with
AngloPac towards this mutual goal.
Kinbauri is a TSXV – Tier 1 Mineral Exploration Company focused on
expanding and upgrading resources to reserves at its El Valle property in
Asturias, Spain
in order to start operations at the mine and mill complex there in
2010. Upon restart, El Valle will become the
largest gold producer in Western Europe.
Kinbauri plans to advance its North American properties via joint ventures.
Kinbauri currently has 46,786,876 common shares issued and outstanding.
THIS PRESS RELEASE WAS
PREPARED BY KINBAURI GOLD CORP. THE
TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY
OF THIS RELEASE.
This press release contains
certain forward-looking statements, which are based on the opinions and
estimates of management at the date the statements are made, and are subject to
a variety of risks and uncertainties and other factors that could cause actual
events or results to differ materially from those projected. Kinbauri undertakes no obligation to
update forward-looking statements if circumstances or management’s estimates or
opinions should change. The reader
is cautioned not to place undue reliance on forward-looking
statements.
FOR FURTHER INFORMATION
CONTACT:
North
America
Darrell Munro,
BB.A, LL.B, Manager Corporate Communications
E-mail:
dmunro@kinbauri-gold.com
Tel.: (613)
836-0198
Europe
Ruediger
(Rudy) Hnyk, CEO
INVESTEL
Investor
Relations &
Telecommunications
E-Mail: ceo@investel.de
OR
VISIT:
Kinbauri Gold’s Hub at http://www.agoracom.com/IR/kinbauri
where investors can post questions and receive answers or review questions
and answers already posted by other investors.
Kinbauri
Web-Site: www.kinbauri-gold.com