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Construction of the Chatree Gold Mine took place between December 2000 and October 2001 with commissioning in November 2001. It was completed within time and under budget and commercial production commenced on 27 November 2001.

An expansion to the Chatree plant was completed in December 2003 with an expanded grinding and leaching circuit and increased throughput from 1-1.3 million tonnes per year (Mtpa) to 2 Mtpa, above the designed capacity of 1.8 Mtpa. This expansion was completed on time and under budget. Installation of a pebble crusher increased plant capacity to 2.4 Mtpa in early 2006 and has operated consistently at that rate since.

The ore has a high metallurgical recovery (89-91%) with gold and silver extraction by standard Carbon in Leach (CIL) processing with destruction of cyanide in the pulp to 5-7ppm prior to delivery to the tailings storage facility.

The company's exploration program expanded the resources and reserves substantially from 2000 to 2006 and is growing again once the Chatree North mining leases were accessed in the December quarter 2008. Ore Reserves are 1.5 million ounces of gold in 37.1 million tonnes grading 1.2 grams/tonne gold as at 30 June 2009.

Mineral Resources are 3.1 million ounces of gold in 81.7 million tonnes grading 1.2 grams/tonne gold , as at 30 June 2009, and 24 million ounces of silver. New discoveries have been made at various locatins north and south of the existing operation, demonstrating mineralisation occurs over approximately 23 kilometres in strike length as well as to the west of current operations.

Total production at Chatree for the year ended 30 June 2009 was 93,002 ounces of gold (2008: 74,137 ounces) and 293,472 ounces of silver (2008: 232,039 ounces) at a total cash cost of US$405 per ounce (2008: US$457 per ounce) and total production cost of US$493 per ounce.

Akara Mining Limited is the Thai subsidiary which operates Chatree.
Thai investors hold 52% of the shares issued in Akara with the remaining 48% held by Kingsgate. Kingsgate maintains management control, enjoys the major economic benefit from the mine and provides regularly updated technical support to ensure the world-class standards and technical skills are maintained.
 
 
 
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