KGL RESOURCES LIMITED — Capital/Financing Update 2005

Apr 18, 2005

KENTOR GOLD LTD ACN 082 658 080

Registered Office: Level 3, 15 Queen Street Melbourne Victoria 3000 www.kentorgold.com.au

Australia Smite 405, Level 4 9 Sherwood Road Toowong Queensland 4066 +61 (7) 3217 8708 Phone: $+61(7)32178698$ Pax: E-mail: droyle@kentorgold.com.au

Kyrgyz Republic 235/2 Fekindik Processed ------ ----------- - .
720739 Bishkek -996 (312) 621 389. Phone: +996 (312) 665 759 Fax: E-mail: kentor2@mail.kg

Copper-gold porphyry mineralisation confirmed at Uzunbulak, one of three newly granted tenements in the Talas-Kemin metallogenic belt of north western Kyrgyz Republic

On 11 April 2005 Kentor Gold Ltd ("Kentor") had its Barkol (271 km²) and Karabalta (627 km²) Exploration Licence No2 Agreements granted by the State Agency for Geology and Mineral Resources, Kyrgyz Republic. Uzunbulak (108 km²) Exploration Licence No2 Agreement was subsequently granted on the 18 April 2005. The granting opens the way for Kentor to commence field exploration in these areas in early May 2005.

The Talas tenements, located along the Talas-Kemin metallogenic belt in the north western corner of the country are a direct outcome of Kentor's project generation and reconnaissance activities in the second half of 2004. Compilation of historical data is underway with land access agreements now in place. Emphasis is focussed on locating porphyry copper-gold and related styles of mineralisation along this permissive but under-explored belt where gold anomalous stream sampling and rock chip analyses are coincident with a number of historical gold and copper-gold occurrences.

Access in the Talas area is excellent with a good network of tracks and altitudes generally not exceeding 2000m. This allows for an extended field season and the potential to rapidly define and drill test targets.

Recent reconnaissance rock chip sampling by Kentor's consultants, Global Ore Discovery at Uzunbulak has outlined porphyry copper-gold style mineralization associated with a 1.5 km long arouate zone of potassic and sericite-chlorite-clay alteration, developed at the contact of a porphyritic granodiorite and metasediments. The average grade from 28 chip channel samples (see plan and table on following page) in two discrete, elongate zones of semicontinuous quartz vein stockwork and sheeted veining of approximately 450m x 190m and $650$ m x $100$ m is $0.35g/t$ Au, $7.4g/t$ Ag and $0.65\%$ Cu. Samples were crushed and pulverised at Alex Stewart Kyrgyz laboratory and gold analysis was performed by ALS Chemex, Perth by fire assay (FA-AAS) with other elements analysed by aqua regia digestion, ME-ICP multielement analysis. All samples are partially oxidised and may be subject to some supergene upgrading.

A follow up program of geological mapping, geochemistry, and geophysics is planned to identify early drill targets to be tested with approximately 2,000m of RC and diamond drilling this year.

David Royle, F.AusIMM, CP Managing Director Kentor Gold Ltd

For further information contact:

John Rawling

Company Secretary Ph: +61 3 9621 1344 info@kentorgold.com Chris Bain Investor Resources Limited Ph: +61 3 9621 1533 chris.bain@irl.com.au

Sample Number	Longitude WGS84	Latitude WGS84	Sample Length $(m)$	Cu%	Au $g/t$	Ag g/t
R11229	71.722440	42.786788	4.0	0.68	0.33	4.3
R11230	71.722015	42.786672	1.5	0.18	0.09	1.3
R11231	71.721829	42.787155	2.0	0.15	0.05	1.4
R11232	71.722058	42.787786	4.0	2.00	0.18	20.6
R11233	71.722058	42.787786	1.0	2.00	0.13	32.8
R11234	71.722061	42.788315	2.0	2.00	1.04	7.5
R11235	71.721965	42.788401	4.0	0.48	0.53	5.6
R11236	71.722312	42.788675	2.5	0.15	0.15	1.4
R11238	71.723219	42.788918	6.0	0.11	0.09	0.5
R11239	71.723765	42.788281	4.0	2.00	1.02	8.1
R11240	71.722463	42.786023	3.0	0.23	0.12	1.4
R11241	71.722356	42.785817	3.0	0.85	0.75	9.0
R11242	71.722734	42.786237	1.0	0.71	0.31	3.0
R11243	71.730111	42.782066	20.0	0.55	0.05	1.0
R11244	71.728334	42.781982	5.0	0.36	0.05	1.2
R11245	71.729002	42.782680	3.0	0.32	0.07	1.4
R11246	71.727250	42.782819	4.5	2.00	1.54	8.6
R11247	71.726585	42.782453	6.0	0.58	0.82	5.6
R11248	71.726025	42.782866	5.0	0.41	0.47	2.6
R11249	71.725864	42.783006	4.0	2.00	0.18	2.9
R11250	71.724144	42.782749	7.0	0.12	0.09	0.5
R11251	71.722892	42.783110	2.5	0.29	0.04	0.9
R20623	71.722006	42.788308	2.0	0.73	0.91	9.9
R20624	71.721984	42.787804	1.8	2.28	0.13	63.3
R20625 R20626	71.722324 71.722127	42.786626	1.2 1.5	0.64	0.40	4.1
		42.785766		0.34	0.13	1.9

Table 1 Uzunbulak Project Surface Rock Chip-Channel Results

Information in this report that relates to a statement of exploration results of the Company is based on information compiled by David Z
Royle, BSc (Hons) (Geology). Mr Royle is Managing Director of Kentor Gold Ltd and has