ASX Announcement

1 July 2013

Directors David Frecker Independent Chairman and Non-Executive Director Lee Spencer

Non-Executive Director

John Watkins

Non-Executive Director

Louis Rozman

Non-Executive Director

Mark Stowell Independent Non- Executive Director

ASX Code: KGD

126.3 million ordinary shares

6.2 million unlisted options

Background on Stuart Pether

Stuart has more than 25 years' resources industry experience in a range of operational, technical, and corporate roles. He has considerable experience in both open pit and underground mining in a range of commodities including gold.

Stuart was previously Chief Operating Officer of Catalpa Resources. During this time he was responsible for the construction, commissioning and operation of the $92 million Edna May Gold Project.

Background on Woodlark Island Gold Project, PNG

Kula Gold Limited is developing the 100% owned Woodlark Island Gold Project (Project), located 600 kilometres east of Port Moresby in the Milne Bay Province, Papua New Guinea.

The Feasibility Study, completed in Sept 2012, defined a JORC Resource of 2.1Moz and an Ore Reserve of 766,000 ounces based on an optimised gold price of US$1200 per ounce. The 9 year Project is based around three open pit mining areas and a 1.8Mtpa gravity and carbon in leach plant. .

The Company is currently working to gain Government approvals and confirm the PNG State equity position, which together will lead to the grant of the Mining Lease for the Project. Thereafter, the Company will be able to move towards project funding and the start of construction.

The Project has excellent upside potential through the conversion of Inferred Resources and nearby exploration targets.

For further information, contact:

Geoff Fowlstone

Fowlstone Communications

Tel: +61 2 9955 9899

M: 0413 746 949

David Frecker

Chairman

Kula Gold Limited

Tel +61 2 9262 5651

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Competent Persons Statements

The information in this announcement that relates to the Mineral Resource estimates for Kulumadau, Busai and Boniavat is based on information compiled by Mr. John Doepel, Principal Geologist for Continental Resource Management Pty Limited (Resource Report, Woodlark Island). CRM has acted as independent consulting geologist to WML since 2005 and has undertaken several visits to the island and to the sample preparation facilities. Mr. Doepel is a Member of The Australasian Institute of Mining and Metallurgy and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Doepel consents to the inclusion in this announcement of these matters based on information in the form and context in which it appears.
The information in this announcement that relates to Ore Reserves is based on information compiled by Mr.Linton Putland, Principal of LJ Putland & Associates and a consultant to Woodlark Mining Limited. Mr.Putland is a Member of the Australasian Institute of Mining and Metallurgy and has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Putland consents to the inclusion in this announcement of these matters based on information in the form and context in which it appears.

Forward Looking Statements

All statements other than statements of historical fact included in this announcement including, without limitation, statements regarding future plans and objectives of Kula Gold Limited (Kula Gold) are forward-looking statements. When used in this announcement, forward-looking statements can be identified by words such as 'may', 'could',
'believes', 'estimates', 'targets', 'expects' or 'intends' and other similar words that involve risks and uncertainties.
These statements are based on an assessment of present economic and operating conditions, and on a number of assumptions regarding future events and actions that, as at the date of this announcement, are expected to take place. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the company, its directors and management of Kula Gold, that could cause Kula Gold's actual results to differ materially from the results expressed or anticipated in these statements.
The company cannot and does not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this announcement will actually occur and investors are cautioned not to place undue reliance on these forward-looking statements. Kula Gold does not undertake to update or revise forward-looking statements, or to publish prospective financial information in the future, regardless of whether new information, future events or any other factors affect the information contained in this announcement, except where required by applicable law and stock exchange listing requirements.

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