Apollo Gold Corporation

Apollo Gold Corporation

October 25, 2005 07:42 ET

Apollo Gold Temporarily Suspends Mining at Montana Tunnels

DENVER--(CCNMatthews - Oct 25, 2005) -

Apollo Gold Corporation ("Apollo" or the "Company") (TSX:APG) (AMEX:AGT) announces the temporary suspension of mining activity at its Montana Tunnels mine following recent activity in the eastern pit wall. Although access to the pit is still possible, it is not within acceptable Apollo safety standards and the Company has commenced a technical review of pit access options and safety issues affecting the mine. The Company plans to mill low grade stockpile material and produce lead and zinc concentrates and Dore gold for approximately 14 days utilizing a limited workforce.

Apollo's President and CEO, R. David Russell stated, "The Company has started the technical review, with outside consultants, which is expected to take two to four weeks. The review is focused on developing and analyzing pit access options so that the pit can continue to be mined safely. As always the primary consideration will be to provide safe working conditions for our employees while focusing on cost effective operations. Many of the Montana Tunnels staff have been placed on a temporary layoff status pending the completion of the review. Apollo regrets the effect that this will have on our employees. At this time we are unable to estimate the overall economic impact to Apollo of these events."

Apollo Gold Corporation

Apollo Gold is a gold mining company with a operating mine in Montana, the Black Fox advanced stage development project in Ontario, Canada, and the Huizopa Project, an early stage exploration project in the Sierra Madre Gold Belt in Chihuahua, Mexico.

The Black Fox Project is located along the Destor-Porcupine Fault System within the Abitibi Greenstone Belt, a world-class mining district that has yielded over 75 million ounces of cumulative gold production from renowned mines such as the Dome, Hoyle Pond, Hollinger, Holt McDermott and Harker Holloway. Black Fox was acquired by Apollo in late 2002 during a period of depressed metal prices as part of a strategic plan for the Company to explore and develop high-grade gold assets to replace its older and lower-grade producing properties. Current exploration plans also include continued surface drilling and underground drilling of the main mineralized zone as well as the Base Metal Zone at Black Fox, where high-grade silver, lead, and zinc mineralization co-exist with high-grade gold.

Forward-Looking Statements

This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements regarding the timing and results of the technical studies regarding pit wall activity and pit access problems at the Montana Tunnels mine, the recommencement of operations at the mine, the processing of low grade stockpile material and the economic impact to Apollo of these events, and future plans and objectives of Apollo, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from these forward-looking statements include: whether outside technical consultants are able to recommend an efficient methodology to resolve pit access and safety issues encountered at the Montana Tunnels Mine and the ability of Apollo to implement such recommendations, the results of independent Canadian NI 43-101 reports, the outcome of assays and additional exploration sampling and drilling efforts, delay in permits or approvals, technical, delay in permits or approvals, technical or permitting problems variations in ore grade, mining, or processing problems or issues, the availability of funding on acceptable terms, if required, for the recommencement of operations at the Montana Tunnels Mine , and the availability of funding on acceptable terms for the future exploration and development of Black Fox and other Apollo mines and projects, and other factors disclosed under the heading "Risk Factors" and elsewhere in Apollo documents filed from time to time with the Toronto Stock Exchange, The American Stock Exchange, The United States Securities and Exchange Commission and other regulatory authorities.

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