Mongolian Resource Play

[Tackler]

Kaieteur begins Altan Uul work; adds new director

2004-04-27 15:50 ET - News Release

Mr. Adrian Hobkirk reports

EXPLORATION UPDATE /PRIVATE PLACEMENT CLOSED/BOARD APPOINTMENT

Altan Uul project update

Kaieteur Resources has begun work at the Altan Uul (Gold Mountain project) project located in the South Gobi, Mongolia. Corporate geologists with local support are establishing a 30-person camp on-site, in preparation for an extensive sampling and trenching program. The company has made arrangements for the processing of samples locally at the Analabs facility located at Ivanhoe Mines Manlai camp. The program objective will be to confirm and extend the known zone of gold mineralization in preparation for drilling.

The company has also established a full-time geologic and corporate office in Ulanbaatar, the capital of Mongolia. Staff will assist in geological support and data translation.

Private placement closes

The company is pleased to announce the closing of the private placement reported in Stockwatch news on Jan. 26, 2004. The placement was closed over subscribed at 530,000 units, raising total gross proceeds of $360,000 (net proceeds of $348,840 after commissions and expenses). Each unit was priced at 68 cents and comprised one common share and one two-year non-transferable share purchase warrant. Each warrant entitles the holder to purchase an additional common share at a price of 85 cents for two years from the date of closing.

The units were issued on April 13, 2004, and are subject to a hold period expiring Aug. 14, 2004. In addition to a cash commission of $11,560 on a portion of the placement, a total of 17,000 finder's options were issued. Each option entitles the holder to purchase and additional unit of the placement for a period of two years from closing on the same terms. The proceeds will be used for project evaluation, investor relations and general working capital.

Ronald Shorr appointed to board

The company is pleased to announce the appointment to the board of directors of Mr. Shorr. Mr. Shorr has over 30 years of extensive experience in the mining and metals sector. He has worked as the senior metals analyst for Bear Sterns, the Natwest Bank, E.F. Hutton and Morgan Stanley Dean Witter. Currently, Mr. Shorr serves as director of FinCap Group in New York.

Mr. Shorr is a chartered financial analyst (CFA) and graduated from the University of Michigan (BA) and Harvard Business School (MBA), subsequently attending graduate school at the Krumb School of Mines at Columbia University. He is also a member of AIME, the New York Society of Security Analysts.