SOURCE: Allied Gold Mining PLC

February 06, 2012 02:36 ET

Allied Gold Mining announces Simberi Support

QUEENSLAND, AUSTRALIA--(Marketwire - Feb 6, 2012) -


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Allied Gold Mining PLC ("Allied Gold" or "the Company")


6 February 2012



                   MINERAL RESOURCES AUTHORITY (MRA)

              CONFIRMS SIMBERI LICENCES IN GOOD STANDING.

            LANDOWNERS PUBLICLY SUPPORT SIMBERI OPERATIONS.


Allied Gold Mining Plc notes recent speculation in the Papua New Guinea
media and comments by some provincial and island representatives about
the company's Simberi gold mine and rejects suggestions landowners are
seeking to replace it as the 100% owner and operator of the mine.

The Company immediately contacted PNG's Mineral Resources Authority
(MRA) and the Prime Minister's Office to raise concerns about the media
speculation regarding licences ML 136 (which covers the eastern half of
Simberi where mining currently takes place) and EL 609 (which is the
exploration licence covering the western half of the islands and nearby
Tabar islands.

The Prime Minister's Office proactively engaged in assuring the Company
that the rule of law and policy in relation to mining licence tenure
remained in force.

The MRA has also acted expeditiously and responsibly in confirming in
writing that both ML136 and EL609 are legally in good standing and that
no actions relating to the mining or exploration areas of the Company
were pending.

The MRA is the authority which independently monitors, on an ongoing
basis, all mining companies' obligations in relation to operating and
exploration tenements in Papua New Guinea. Since the inception of the
Simberi mining operations, the Company has worked closely with the MRA
and other respective government departments to ensure regulatory
compliance and will continue to do so in the future.

The Company welcomes the decisive action of the Prime Minister's Office
and the MRA and its officers which serves to protect the Company from
misinformation that threatens the international investor confidence of
the PNG mining sector.

The Company also welcomes the confidence shown by the traditional
Simberi Landowner Group for ML136, which publicly stated last week its
continued support for the Company and its operations.

The Company continues to work in conjunction with Landowners, the MRA
and all interested and affected stakeholders to deliver ongoing
benefits to the local and surrounding Simberi communities, including
long term employment, improved health and education infrastructure and
integration of local Landowners into sustainable business development
opportunities.

The Company has been operating for over four (4) years and has been in
compliance with all regulatory approvals. The Company has produced in
excess of 250,000 ounces and employs over 600 people. It is increasing
its annualised production to 100,000 ounces through an expansion to
3.5mtpa, which will be completed in the third quarter of 2012.


For further information, please contact:

Allied Gold Mining PLC (Investor and Media) - Simon Jemison
+61 418 853 922

RBC Capital Markets (Joint Corporate Brokers) - Stephen Foss / Matthew
Coakes / Daniel Conti

+44 (0) 207 653 4000


Oriel Securities(Joint Corporate Brokers) - Jonathan Walker/Michael
Shaw / Ashton Clanfield

+44 (0) 207 710 7600



Buchanan (Financial PR Advisor) - Bobby Morse / James Strong / Cornelia
Browne

+44 (0) 207 466 5000


ABOUT ALLIED GOLD MINING PLC

Allied Gold is a Pacific Rim gold producer, developer and exploration
company. It is a FTSE250 and ASX 300 constituent and listed on the
London Stock Exchange's Main Market, Toronto Stock Exchange and the
Australian Securities Exchange with the symbol ALD. It owns 100% of
the Simberi gold project located on Simberi Island, the northern most
island of the Tabar Islands Group in the New Ireland Province of
eastern PNG, and has a 100% interest in the Gold Ridge gold project
located on Guadalcanal Island in the Solomon Islands.

Allied Gold has resources of 8.6Moz inclusive of 3.4Moz of reserves and
an extensive exploration programme is underway. The Company is rapidly
ramping up production and targeting a run rate of 200,000oz pa during
2012.



                    This information is provided by RNS
          The company news service from the London Stock Exchange

END

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