Press Release

May 28, 2009 15:55 ET

Kilo Goldmines Retains Investor Relations Consultants

TORONTO, ONTARIO--(Marketwire - May 28, 2009) - Kilo Goldmines Ltd. ("Kilo") (TSX VENTURE:KGL) announced today that it has retained the services of two investor relations firms to design and implement investor relations programs for the company in Canada and Europe. It is intended that the programs will involve the introduction of the company to appropriate analysts, portfolio managers and the media with a view to achieving a high level of awareness of Kilo in the investment community and to broaden the shareholder base.

In Canada, Kilo has engaged Bay Street Connect, an owner-managed firm based in Toronto, and a leading provider of investor relations services to Canadian public companies in the resource sector since 2003. Focusing on direct communication and face to face meetings, it has assisted numerous organizations in improving relationships within the investment community. In consideration for the services to be provided, Kilo has agreed to pay Bay Street Connect from existing working capital a monthly fee of C$5,000. The initial term of the contract is 3 months and continues thereafter on a month-to-month basis until terminated by either party on 30 days prior notice. In addition, Kilo has granted to Bay Street Connect, subject to regulatory approval, stock options to acquire 300,000 common shares at a price of C$0.50 per share. One-third (100,000) of the options will vest after three months, and one-third of the balance (66,667) will vest after 6, 9 and 12 months, respectively. If the contract is terminated, all unvested options will be immediately cancelled and all vested options will be required to be exercised within 30 days of the effective termination date. Bay Street Connect holds no direct or indirect interest in Kilo or its securities other than the 300,000 stock options granted to it under the investor relations arrangement.

In Europe, Kilo has engaged AXINO AG ("AXINO") of Stuttgart, Germany. AXINO is an investor relations agency providing a wide range of services to companies to help broaden investor exposure and develop a shareholder following in the European financial markets. AXINO represents numerous major and microcap resource-based companies in all phases of development. AXINO has an extensive network of contacts within the mining and financial communities, as well as media relationships across the German speaking financial communities. In consideration for the services to be provided, Kilo has agreed to pay AXINO from existing working capital an introductory fee of EUR 6,000 over the initial 6 month contract term. In addition, Kilo will reimburse AXINO for out-of-pocket expenses for press releases disseminated on its behalf. The contract will automatically renew for additional 6-month terms unless terminated by either party on 30 days notice prior to the end of any 6-month contract period. AXINO holds no direct or indirect interest in Kilo or its securities.

About Kilo Goldmines Ltd.

Kilo is a Canadian-based exploration company focused on gold exploration in North Kivu and Oriental Provinces of the DRC. The company holds gold Mineral Rights on 400 square kilometres in North Kivu Province and on 15,000 square kilometres in Oriental Province. The company is focused on adding shareholder value through exploration success. Kilo is engaged in social programs and operates in a manner that respects the environment.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact:

Kilo Goldmines Ltd.
Peter Hooper
(416) 360-3402
[email protected]

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