Mr. Brian Morrison reports

K9 GOLD ANNOUNCES PRIVATE PLACEMENT BACKED BY PALISADES GOLDCORP AND FUNDS MANAGED BY SPROTT ASSET MANAGEMENT LLP

K9 Gold Corp. has arranged a non-brokered private placement of 6,035,714 flow-through shares at a price of 35 cents per share and 1,635,000 units at a price of 30 cents per unit. The Units are non-flow through. Each unit will consist of one common share and one share purchase warrant, with each whole share purchase warrant being exercisable for a period of three years at a price of 40 cents per share.

Total gross proceeds of the private placement are $2,603,000.

Finances managed by Sprott Asset Management LLP have agreed to purchase 2,857,143 flow-through shares of the private placement and a syndicate led by Palisades Goldcorp Ltd. has agreed to purchase 1.6 million units in the private placement.

Proceeds from the private placement will be used for drilling and exploration on the Stony Lake East gold project.

The private placement will include commissions of 8 per cent cash payable both on the placement of the shares and on the placement of the units.

All securities issued pursuant to this financing are subject to a four-month hold period from the date of issuance. The private placement is subject to approval from the TSX Venture Exchange.

We seek Safe Harbor.