Eldorado Gold Corporation

Eldorado Gold Corporation

December 12, 2006 07:45 ET

Eldorado Provides 2007 Production Guidance

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 12, 2006) - Paul N. Wright, President and Chief Executive Officer of Eldorado Gold Corporation ("Eldorado" the "Company" or "we") (TSX:ELD)(AMEX:EGO), is pleased to provide the Company's 2007 production guidance. We expect to produce 310,000 to 330,000 ounces of gold at a cash cost of US$220 to $230 per ounce.

Kisladag mine in Usak, Turkey is planned to produce 190,000 to 200,000 ounces of gold at cash cost US$210 to US$220 per ounce. Tanjianshan mine ("TJS") in Qinghai, China is forecast to produce 120,000 to 130,000 ounces of gold at cash cost US$235 to US$245 per ounce. Sao Bento mine in Minas Gerais, Brazil will cease operations in January 2007.

"With our 2007 planned production levels at TJS and Kisladag, Eldorado will become the first North American gold producer in commercial production in China and Kisladag will become the largest producing gold mine in Europe," said Paul Wright, President and Chief Executive Officer.

The Company, in 2007, is anticipating exploration expenditures of approximately US$14.0 million in Turkey, Brazil and China. Our 2006 Reserve and Resource statement for release in Q1 2007 will use a gold price of US$450 per ounce.

Eldorado is a gold producing and exploration company actively growing businesses in Brazil, Turkey and China. We operate the Sao Bento Mine, Kisladag Mine and Tanjianshan Mine. With our international expertise in mining, finance and project development, together with highly skilled and dedicated staff, we believe that Eldorado is well positioned to grow in value as we create and pursue new opportunities.


Paul N. Wright, President and Chief Executive Officer

Certain of the statements made herein may contain forward-looking statements or information within the meaning of the United States Private Securities Litigation Reform Act of 1995, and forward-looking statements or information within the meaning of the Securities Act (Ontario). Such forward-looking statements or information include, but are not limited to statements or information with respect to unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements or information are subject to a variety of risks and uncertainties, which could cause actual events, or results to differ from those reflected in the forward-looking statements or information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Specific reference is made to "Forward-Looking Statements and Risk Factors" in the Company's Annual Information Form and Form 40-F dated March 23, 2006. Forward-looking statements herein include statements regarding the expectations and beliefs of management. Such factors included, amongst others the following: gold price volatility; impact of any hedging activities, including margin limits and margin calls; discrepancies between actual and estimated production, between actual and estimated reserves, and between actual and estimated metallurgical recoveries; mining operational risk; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign investment; speculative nature of gold exploration; dilution; competition; loss of key employees; additional funding requirements; and defective title to mineral claims or property, as well as those factors discussed in the section entitled "Risk Factors" in the Company's Annual Information Form and Form 40-F dated March 23, 2006. We do not expect to update forward-looking statements continually as conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities regulatory authorities in Canada and the U.S.

Eldorado Gold Corporation's shares trade on the Toronto Stock Exchange (TSX:ELD) and the American Stock Exchange (AMEX:EGO).

Request for information packages: info@eldoradogold.com

The TSX has neither approved nor disapproved the form or content of this release.

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