King's Bay Gold Corporation announces the closing of a Private Placement

Aug 19, 2008 (TheNewswire.ca via COMTEX News Network) --

(via Thenewswire.ca)

Winnipeg, MB - August 19 2008 - King's Bay Gold Corporation (TSX.V: KBG) is pleased to announce the closing of a non-brokered private placement on August 18, 2008. An aggregate of 1,400,000 Units will be offered to subscribers resident in the Province of British Columbia, at a purchase price of $0.25 per Unit, for aggregate subscription proceeds of up to $350,000.00.

Each Unit consisted of one Class "A" common share of the Issuer (a "Common Share"), issued as a "flow-through share" for the purpose of The Income Tax Act (Canada), and one Common Share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder thereof to purchase one Common Share of the Issuer at an exercise price of $0.30 per Warrant for a period of twenty-four months following the date of issuance. The Common Shares issued in connection with the offering will be subject to a hold period of four months plus one day in accordance with the policies of the TSX Venture Exchange and applicable securities laws.

King's Bay Gold Corporation intends to utilize the proceeds from this non-brokered private placement incurring Canadian Exploration Expenses.

About King's Bay Gold

King's Bay Gold is unique in the industry in that it owns most of the equipment required to carry out the various phases of exploration. This includes diamond drills, bulldozers and other exploration equipment, which gives the company the ability to quickly adjust work programs as exploration results are realized and company strategies change. The Corporation is a very active and well financed Canadian mineral exploration company with nine mineral projects strategically located in Canada's gold camps. Strategic properties include - (i) a property located directly adjacent to Canada's richest gold mine, (ii) a past producing gold mine with brand new rare metals, rare earths and high-grade gold discoveries, and (iii) other locations that are in very close proximity to either past producers and / or recent discoveries.

King's Bay Gold Corporation Richard Rivet President & CEO (204) 253-4653 Email: info@kingsbaygold.com

www.kingsbaygold.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe KBG's future plans, objectives or goals, including words to the effect that KBG or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties.

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