Fayette 3D Seismic Update

    NATCHEZ, Miss., July 30 /CNW/ -- KFG Resources Ltd. reported today the
Company's subsidiary, KFG Petroleum Corporation, Natchez, Mississippi, got
"excellent quality" data on its 3D seismic shoot in Jefferson County,
Mississippi over the Fayette Field.  The final interpretations of the data
will not be complete for several more weeks; but, it is anticipated that
development plans for the field will be forthcoming in the fall of 2008.
    The Company's common shares are listed on the TSX Venture Exchange,
Vancouver, B.C., trading symbol "KFG".
    The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
    For Further Information
    Mr. Robert A. Kadane, President of KFG Resources Ltd. at 1-303 825-7080.
    Web Site:  http://www.kfgresources.com


For further information:

For further information: Mr. Robert A. Kadane, President of KFG
Resources Ltd., +1-303-825-7080 Web Site: http://www.kfgresources.com

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