Sabodala Gold

At the Sabodala Gold Project, located in the far west of Senegal about 650 kilometres southeast of the capital Dakar, MDL is establishing a substantial mining operation. The mining concession covers an area of 20.3km2 and includes both the Sabodala and Niakafiri deposits. In October 2007, the total mineral resource estimate was updated to 2.74 million ounces gold.

The latest open pit mineable reserve for the Sabodala deposit of 1,264,000 ounces at a 0.8g/t cut-off, together with the Niakafiri deposit of 142,000 ounces at a 0.5g/t cut-off, extends the Sabodala Gold Project above 1.4 million ounces, with significant new drilling results yet to be included. The total Sabodala project open pit reserve is 18.3 million tonnes grading 2.4g/t gold.

The planned production rate is 2.0 million tonnes per annum producing about 150,000 ounces of gold from an on-site processing plant. MDL is well into the construction phase and the first gold pour is anticipated in the December quarter of 2008. The Sabodala Gold Project processing plant and associated infrastructure will establish a commanding presence in the region from which to build a substantial gold business.