Glamis Gold Ltd.

Glamis Gold Ltd.

January 07, 2005 08:00 ET

Glamis Gold Anticipates 70 Percent Growth in Gold Production for 2005




JANUARY 7, 2005 - 08:00 ET

Glamis Gold Anticipates 70 Percent Growth in Gold
Production for 2005

RENO, NEVADA--(CCNMatthews - Jan. 7, 2005) - Glamis Gold Ltd. (TSX:GLG)
(NYSE:GLG) - All amounts in US$

Glamis Gold Ltd. today announced that it produced 234,433 ounces of gold
in 2004, compared to 230,294 ounces in 2003. Production of 400,000 gold
ounces is expected in 2005 - an increase of 70 percent.

The 2004 results include a new quarterly gold production record for
Glamis of 84,506 ounces in the fourth quarter, as the Marigold expansion
continued and the El Sauzal mine reached commercial production.
Production for 2004 on a mine-by-mine basis and the Company's
expectations for 2005 are as follows:

2004 2005(e)
----------- -----------
(gold ounces) (gold ounces)

El Sauzal 25,053 170,000
Marigol(1) 94,208 135,000
San Martin 102,153 85,000
Marlin - 10,000
Rand 13,019 -
----------- -----------
Total 234,433 400,000

(1)Glamis' two-thirds share.

Kevin McArthur, President and Chief Executive Officer of Glamis Gold
said, "I am very proud of our many accomplishments in 2004 - truly a
landmark year for Glamis. We completed construction of our new El Sauzal
mine in Mexico as well as the latest expansion program at the Marigold
mine in Nevada. In addition, construction at our Marlin project in
Guatemala is progressing extremely well, with the mine on schedule to
commence commercial production late this year. Finally, we will embark
shortly on a final feasibility study for our Cerro Blanco project, also
in Guatemala. We look forward to a strong year in 2005 as Glamis
continues its growth story with new low-cost production and very
promising exploration programs."

Glamis Gold Ltd. is a premier intermediate gold producer with low-cost
gold mines and development projects in Nevada, Mexico and Central
America. The Company remains 100 percent unhedged. Glamis' plan and
budget reflects a near tripling of annual gold production to more than
700,000 ounces by 2007 at a total cash cost below $150 per ounce.

Safe Harbor Statement under the United States Private Securities
Litigation Reform Act of 1995: Except for the statements of historical
fact contained herein, the information presented constitutes
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements,
include, but are not limited to those with respect to, the price of
gold, the estimation of mineral reserves and resources, the realization
of mineral reserves estimates, the timing and amount of estimated future
production, costs of production, capital expenditures, costs and timing
of the development of new deposits, success of exploration activities,
Glamis' hedging practices, permitting time lines, currency fluctuations,
requirements for additional capital, government regulation of mining
operations, environmental risks, unanticipated reclamation expenses,
title disputes or claims limitations on insurance coverage and the
timing and possible outcome of pending litigation. Often, but not
always, forward-looking statements can be identified by the use of words
such as "plans", "expects", or "does not expect", "is expected",
"budget", "estimates", "forecasts", "intends", "anticipates" or "does
not anticipate", or "believes", or variation of such words and phrases
or state that certain actions, events or results, "may", "could",
"would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Glamis to be materially different from
any future results, performance or achievements expressed or implied by
such forward-looking statements. Such factors include, among others, the
actual results of current exploration activities, actual results of
current reclamation activities, conclusions of economic evaluations,
changes in project parameters as plans continue to be refined, future
prices of gold, possible variations in ore grade or recovery rates,
failure of plant, equipment or processes to operate as anticipated,
accidents, labor disputes and other risks of the mining industry, delays
in obtaining governmental approvals or financing or in the completion of
development or construction activities, as well as those factors
discussed in the section entitled "Other Considerations" in the Glamis
Annual Information Form. Although Glamis has attempted to identify
important factors that could cause actual actions, events or results to
differ materially from those described in forward-looking statements,
there may be other factors that cause actions, events or results not to
be as anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate as actual results
and future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.

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Contact Information

    Glamis Gold Ltd.
    Michael A. Steeves
    Vice President, Investor Relations
    (775) 827-4600 ext. 3104