Tuesday, December 30, 2008

KFG Resources Ltd. reported today that it had consolidated revenue (unaudited) for the six months ended October 31, 2008, of US$483,622 (unaudited), compared to US$374,756 (unaudited) for the six months ended October 31, 2007, resulting in a net income (unaudited) of US$3,533, compared to a net income (unaudited) of US$195,021 for the six months ended October 31, 2007.  Total assets at October 31, 2008, (unaudited) were US$2,686,938 compared to US$2,957,592 at April 30, 2008.  The Company reported a deficit (unaudited) at October 31, 2008, of US$1,947,105 compared to a deficit of US$1,950,638 at April 30, 2008.  The Company had outstanding 42,147,311 common shares at October 31, 2008.

The Company's common shares are listed on the TSX Venture Exchange, Vancouver, B.C., trading symbol "KFG".  For additional information, please contact Mr. Robert A. Kadane, President, at (303) 825-7080.

James F. Gilbert,
Secretary

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release."