(Marketwire) – Orvana Minerals Corp. (TSX: ORV.TO) today announced that it has extended its all-cash offer of C$0.55 per share for all outstanding common shares of Kinbauri Gold Corp. (TSX VENTURE: KNB.V).

The bid is now set to expire at 9 am EDT on July 13, 2009. All other terms of the offer described in the take-over circular dated May 25, 2009 remain unchanged.

“We continue to believe that our offer for Kinbauri represents full and fair value, providing a significant premium and full liquidity to Kinbauri shareholders who would otherwise face an uncertain and risky future,” said Kent Jespersen, Chairman of Orvana. “In light of the uncertainty surrounding Kinbauri’s legal position, we feel today’s extension is both practical and prudent.”

Orvana will mail to Kinbauri’s security holders and file on SEDAR a notice of extension of the offer. Kinbauri shareholders who have questions regarding the offer should contact Kingsdale Shareholder Services Inc., the information agent in connection with the offer, at 1-800-749-9052 (toll-free) or 416-867-2272 (outside North America).

Orvana is a well-established mine operator with an experienced management team that has collectively brought a number of underground mines into production. Orvana had cash of approximately US $96.2 million (C$110.6 million) as at March 31, 2009, which is sufficient to complete the acquisition of Kinbauri and develop Kinbauri’s Spanish mineral project. Orvana expects the project will create up to 200 new jobs in Spain.