South African and Ghanaian Gold Recovery Operational Update

Goldplat plc, the AIM quoted gold producer, is pleased to provide an operations update for its gold recovery businesses prior to announcing its interim results for the six month period ended 31 December 2008.

Overview:

  • South African and Ghanaian gold recovery operations performed well in the quarter to December 2008
  • South Africa : Further stockpiles secured, bringing the total stocks of materials for processing to 44,050 oz, equating to four years of current woodchip production capability, three years of gravity concentration capacity and three years of leach capacity
  • Ghana : Further stockpiles have been identified and sampled - Goldfields Ltd has extended the fine carbon contract with Gold Recovery Ghana Ltd
  • Expanding geographic reach, locating opportunities in Tanzania and Zambia to increase future revenues

Goldplat CEO Demetri Manolis said, "Our processing operations continue to perform strongly. We have signed further supply contracts with leading resource companies, including AngloGold Ashanti and Goldfields, ensuring the long-term supply of gold-bearing feedstock for both recovery plants. Additionally, we are looking to expand our geographic reach by locating opportunities in Tanzania and Zambia , which should again positively impact our future operational performance."

South Africa : Goldplat Recovery (Pty) Ltd

Further progress has been made to secure new raw materials for the Company's South African gold recovery business. An agreement was recently signed with the West Wits Business Unit of AngloGold Ashanti Limited to purchase an additional two stockpiles of high grade raw material.

Additionally, Rand Refinery Ltd ('Rand Refinery'), Goldplat's strategic partner, confirmed a long-term monthly supply of copper gold concentrates for toll processing at the Company's facilities. Goldplat Recovery also signed an agreement with Durban Roodepoort Deep's ERPM operation for the purchase of stockpiles of gold bearing waste material; and signed an agreement with Goldfields Driefontein operation for the purchase of stockpiles of gold bearing material. Currently, Goldplat Recovery has 44,050 oz stocks of material for processing, of which 34,220 oz are on site and 9,830 oz are secured offsite. This equates to four years of current woodchip production capability, three years of gravity concentration capacity and three years of leach capacity

Further refurbishment work is planned to optimise the plants performance. A new automated gold gravity concentrator has been commissioned, and to increase the flexibility and recovery of gold and platinum from materials on site, Goldplat is installing increased flotation capacity.

Ghana : Gold Recovery Ghana Limited ('GRG')

In Ghana , GRG has identified further stockpiles of materials for processing. Goldfields' Tarkwa operation has extended its agreement to deliver fine carbon for a further year. Additionally, a contract has been awarded to GRG to process fine carbon from the Bibiani mine. GRG is also transporting woodchips from Golden Star's Wassa operation to establish a stockpile for burning, once the new incinerator is operational. The construction of the incinerator for use at GRG's Tema facility is nearing completion in South Africa and is expected to be completed and shipped at the end of February 2009.

Further stockpiles of tailings raw material from artisanal activities have also been identified and currently being evaluated, in particular a significant stockpile of tailings outside Tarkwa is now being investigated with a view to securing a contract. GRG's total stockpile reserves equate to 35,000 oz of materials for processing.

Additional Opportunities:

In line with the Company's strategy of developing further cash generative opportunities in Africa, Goldplat's management team made an exploratory visit to Tanzania to examine the possibility of commencing recovery operations. As a result the Company has commenced negotiations with potential Tanzanian partners. Volumes of artisanal tailings in excess of 100,000 tonnes were identified, measured and sampled. Although some of the identified stockpiles are already being treated, the processing facilities in place are very rudimentary and the Company's technological strength would provide a competitive advantage in the market. Discussions with two Tanzanian parties are ongoing, with a view to Goldplat providing its technological expertise, and the Tanzanian parties supplying the tailings. The Company will update the market accordingly on any developments.

The Company is also seeking opportunities in Zambia due to its favourable geographic locality. Significant volumes of copper concentrates containing gold have been identified in the copper mining regions of Zambia and contacts have been established with a number of small miners. Goldplat has initiated a preliminary investigation into the potential of an operation, under which copper gold material will be upgraded by Goldplat and the concentrates sold to the Company's strategic partners Rand Refinery, which has facilities to handle copper gold concentrates.

For further information visit www.goldplat.com or contact:
Demetri Manolis, CEO Goldplat plc, Tel: +27 11 423 1203, Mob: +27 82 454 7392
James Joyce WH Ireland Limited, Tel: +44 (0)20 7220 1666
Bill Sharp / David Scott Alexander David Securities Limited, Tel: +44 (0)20 7448 9820
Felicity Edwards / Hugo de Salis St Brides Media & Finance Ltd, Tel: +44 (0)20 7236 1177

Notes

Goldplat plc is an AIM-listed gold producer with operations in Africa . Its strategy is to create a mid-tier mining house focused on gold production leveraged through revenue generated from its gold recovery businesses.

The Company has two recovery business based in South African and Ghana, which, by safely disposing of mining by-products, fulfil an important aspect of the mines' environmental management programmes. The South African plant is located near the centre of the East Rand Goldfield and raw material feedstock's are sourced from many of the major South African mining companies including Anglogold Ashanti , Goldfields, Harmony, DRD Gold and other smaller producers. The Ghana plant, located in the free port of Tema, provides access to raw materials from mines in Mali , Guinea , Burkina Faso , Benin , Cote D'Ivorie, Senegal , the DRC and Mauritania , as well as Ghana .

Goldplat has expanded into gold mining through the acquisition of known deposits with targets of between 200,000 and one million contained ounces. To this end, in a 50/50 JV, it is developing the potential of the highly prospective 213 sq km Lolgorien licence area located in the historically producing Migori Archaean Greenstone Belt in western Kenya , which commenced production January 2009. In addition, a number of other potential projects across Africa are under review.