Mandorin Goldfields Inc.

Mandorin Goldfields Inc.

March 21, 2005 01:00 ET

Mandorin: Projects Under Review-Gold Production Project in South Africa & Diamond Exploration in Canada


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MANDORIN GOLDFIELDS INC.

TSX VENTURE SYMBOL: MGD

MARCH 21, 2005 - 01:00 ET

Mandorin: Projects Under Review-Gold Production
Project in South Africa & Diamond Exploration in Canada

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 21, 2005) - Mandorin
Goldfields Inc. ("Mandorin" or "the Company") (TSX VENTURE:MGD) is
pleased to announce the following:

GOLD PRODUCTION PROJECT

Mr Errol Smart (CEO elect commencing April 1, 2005) has brought to the
Company's attention a gold production project that he believes fits the
criteria set by the Board in late 2004.

It is located in South Africa, has an existing gold resource which has
the potential to be expanded to 500,000 ounces, has been in production
until relatively recently (having been moth-balled due to management
rather than operational issues), and has a plant that is believed (for a
modest capital outlay) to be capable of substantially increasing
throughput resulting in the development of a profitable gold project.

Mr Smart is currently seeking, for Mandorin, an Exclusive Option over
the project that will allow the appropriate due diligence to be
conducted by the Mandorin team.

This project clearly demonstrates Mr Smart's commitment to Mandorin and
it further reinforces the statement made in yesterday's News Release
regarding his appointment as CEO of the Company.

Extract from Mandorin News Release March 15, 2005 re Appointment of
Errol Smart:

"He brings to Mandorin an ability to locate, analyse and develop
underutilized gold production projects. In particular he has
demonstrated an ability to optimise mining and extraction methods and
apply industry best practice to fully delineate mineral resources and
reserves."

CANADIAN DIAMOND EXPLORATION PROJECT

Following several months of technical review Dr Stephan Meyer - MGD's
Technical Adviser, and Dr Felix Kaminsky - Diamond Consultant engaged by
Mandorin - have identified for the Company a prospective exploration
project, located in Canada.

Mandorin and Dr Kaminsky will design an exploration strategy for the
Project which is aimed at confirming the prospectivity of the Project.
Currently the expectation is that a reconnaissance sampling program will
be carried out in June/July 2005. If the results are positive,
exploration tenements will be applied for covering the key areas.

Dr Meyer and Dr Kaminsky will continue to identify other possible
diamond opportunities in Canada (and elsewhere).

The Board are working on its stated strategy of separating its gold and
diamond activities. The strategy envisages Mandorin's shareholders
retaining their existing shareholding in Mandorin and additionally
receiving an entitlement to equity (and a right to participate in any
capital raisings) in the new entity. It is proposed that this new
diamond exploration company will benefit from the experience of Dr
Stephan Meyer who will be instrumental in its development, and that it
will be listed in Canada.

On behalf of

Mandorin Goldfields Inc.

Malcolm L. Stevens, Chairman and President

Statements in this press release other than purely historical
information, including statements relating to the Company's future plans
and objectives or expected results, constitute forward-looking
statements. Forward-looking statements are based on numerous assumptions
and are subject to all of the risks and uncertainties inherent in the
Company's business, including risks inherent in mineral exploration and
development. As a result, actual results may vary materially from those
described in the forward-looking statements.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Mandorin Goldfields Inc.
    Malcolm L. Stevens
    011 612 9247 5355
    011 612 9247 5344 (FAX)
    mls@canaustra.com.au
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.