23rd Apr 2007 12:30
Allied Gold Limited23 April 2007 For immediate release 23 April 2007 ALLIED GOLD LIMITED ("ALLIED" OR "THE COMPANY") QUARTERLY REPORT FOR THE PERIOD ENDED 31 MARCH 2007 HIGHLIGHTS •First gold production from the company's 100% owned Simberi Oxide Project remains on track for October 2007. Allied Gold has spent AUD$40.93 million and committed AUD$55.41 million to the project thus far, representing 49% and 67% respectively of the total capital expenditure budget. •Significant results were received from drilling on the Monun Creek prospect, in the valley approximately midway between the Sorowar and Pigiput deposits. Best results included: • 13m at 4.20 g/t gold from surface, including 1m at 11.35 g/t from 8m, in drill hole MN001 • 6m at 4.78 g/t gold from 143m, also in MN001 • 9m at 6.52 g/t gold from 104m, in RC1391DD •The above outlined drill results indicate that Monun Creek most likely represents a southern extension of the Sorowar deposit, Simberi's largest single deposit with a total resource of 1.258 million ounces and ore reserves of 546,000 ounces of gold. The strike extension is in the order of 250 meters, which is significant in the context that Sorowar has a strike length of approximately 700 meters. •Significant drill results were also received from follow up drilling of the Pigicow prospect. Best results from this program included: • 16m at 2.35 g/t gold from surface, including 11m at 3.21 g/t from surface, in PC004 • 12m at 2.67 g/t gold from 14m, as part of a broader 61m at 1.24 g/t from surface, in PC005 •Allied raised AUD$13.056 million through a share placement at 32 cents per share and has applied the funds to purchasing its own drill rigs and to enhance its exploration efforts on the Tabar Islands Group, offshore Papua New Guinea. Two drill rigs have already been purchased and should arrive on the site from May, to on/or before, the end of June 2007. Copies of the announcement can be viewed and downloaded on the Company's website - www.alliedgold.com.au or as a link to this announcement http://www.rns-pdf.londonstockexchange.com/rns/3366v_-2007-4-23.pdf For more information:Mark Caruso T:+61 8 93533638Managing DirectorRoland Cornish T: +44 (0) 20 7628 3396Beamont Cornish Limited This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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