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Kinbauri Gold Corp.: Kinbauri Closes Private Placement

^{Published on 2009-05-26 12:18:43, Last Modified on 2009-05-26 12:19:24 - Market Wire}
 

OTTAWA, ONTARIO--(Marketwire - May 26, 2009) - Kinbauri Gold Corp. ("Kinbauri") (TSX VENTURE:KNB)(FRANKFURT:3KG.DE) announces that further to its press release of earlier today, Kinbauri has closed its previously announced private placement of 6,000,000 Units at a price of $0.50 per Unit for gross proceeds of $3,000,000. Each Unit consists of one common share and one-half of a common share purchase warrant. Each whole warrant entitles the holder to purchase one common share at a price of $0.70 until May 26, 2010. Kinbauri paid finder's fees consisting of $156,000 and 312,000 compensation warrants. Each compensation warrant entitles the holder to acquire one Unit at a price $0.50 per Unit until May 26, 2010. All securities will be subject to a four month hold period from the date of the closing. The proceeds of this financing will be used for general working capital purposes.

About Kinbauri:

Kinbauri is a TSXV - Tier 1 Mineral Exploration Company focused on the development of precious metal prospects in Spain, Nevada and Canada. Its immediate focus is to begin operations at its El Valle/Carles property in Asturias, northwestern Spain in 2010. It currently has 59,243,051 common shares issued and outstanding.

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.

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 ]

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.