Moto Goldmines Limited
TSX : MGL
AIM : MOE

Moto Goldmines Limited

November 14, 2006 09:20 ET

Moto Goldmines Announces Significant Increase in Indicated Resources

PERTH, WESTERN AUSTRALIA--(CCNMatthews - Nov. 14, 2006) - Moto Goldmines Limited ("the Company") (TSX:MGL)(AIM:MOE) is pleased to report that an updated independent resource estimate, completed by Cube Consulting Pty Ltd, has resulted in a significant increase in indicated resources on the Moto Gold Project in the north east of the Democratic Republic of the Congo. The Moto Gold Project is a joint venture between L'Office des Mines d'Or de Kilo-Moto ("OKIMO"), Orgaman sprl and the Company.

Estimated resources at the Moto Gold Project are now:

- Indicated resources - 65.49 million tonnes at 2.9 g/t Au for 6.163 million ounces of gold and

- Inferred resources - 97.22 million tonnes at 4.0 g/t Au for 12.365 million ounces of gold.

Highlights of the resource estimate include:

- 21% increase in contained indicated ounces

- 18% increase in indicated tonnes

- A continued high conversion rate of inferred to indicated resources.

The infill and extension drill programme at Durba-Karagba-Chauffeur is ongoing. A further resource update is planned for the first quarter of 2007 based upon analysis of further infill drilling results from Durba-Chauffeur-Karagba.

Following the successful completion of the prefeasibility study in August 2006, the Company has commenced with a Bankable Feasibility Study which is anticipated to be completed in 2007. It is proposed that the resources resulting from the next (first quarter of 2007) resource update will be used as a basis for the bankable feasibility study.

Resource Estimate for Moto Gold Project Deposits

Cube Consulting have estimated the following resources at a nominal 1 g/t Au lower cutoff:



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Moto Gold Project November 2006
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Recoverable Resources greater than 1.0 g/t Au
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Deposit Indicated Inferred
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Mt Au g/t Au '000Oz Mt Au g/t Au '000Oz
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Pakaka 16.13 2.7 1,414
Gorumbwa 8.29 5.2 1,374
Kibali 16.60 2.2 1,173
Mengu Hill 6.26 3.5 699 0.15 2.5 12
Mengu Village 1.28 1.8 76
Karagba 6.23 2.6 523 21.13 3.2 2,142
Chauffeur 21.88 3.4 2,407 34.91 5.8 6,533
Durba 4.66 2.5 376
Megi 3.88 2.2 270
Marakeke 2.34 1.8 133
Kombokolo 1.79 2.9 166 0.01 1.6 0
Sessenge 6.68 2.5 540 0.74 2.4 58
Ndala 0.24 4.3 33
Pamao 5.23 2.0 337 4.26 1.9 260
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TOTAL 65.49 2.9 6,163 97.22 4.0 12,365
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Notes:

- All the mineral resource estimates undertaken by Cube have been classified and reported in accordance with The 2004 Australasian Code for Reporting of Mineral Resources and Ore Reserves (2004 JORC Code). The 2004 JORC reporting guidelines are equivalent to the guidelines adopted for the Canadian National Instrument 43-101.

- The mineral resource estimate includes the results of an additional 17,263m of diamond drilling compared to the previous resource estimate in August 2006. The mineral resource estimates represent the inclusion of drilling results received to the middle of September 2006.

- A recoverable resource estimation methodology (Uniform Conditioning with a 5x5x2.5m SMU) has been used in place of Ordinary Kriging (on a 20x20x5m Panel).

- The Company is earning a 60% interest in the various deposits - refer below.

Compared to the previous resource estimate in August 2006:

- Indicated resources have increased:

-- from 55.39 million tonnes at 2.9 g/t Au for 5.077 million ounces of gold;

-- to 65.49 million tonnes at 2.9 g/t Au for 6.163 million ounces of gold.

- Inferred resources have increased:

-- from 88.63 million tonnes at 3.8 g/t Au for 10.796 million ounces;

-- to 97.22 million tonnes at 4.0 g/t Au for 12.365 million ounces of gold.

- The conversion rate of inferred to indicated resources continues to be high.

This increase in the indicated resources reflects the nature of the drilling programme that focused on infill and extension at Durba-Chauffeur-Karagba.

The increase in the inferred resources results from the inclusion of the intercepts from Sessenge deeps and the mineralized intercepts lying 275m to the northwest of the main Chauffeur mineralised zone.

The infill and extension drill programme at Durba-Karagba-Chauffeur is ongoing. A further resource update is planned for the first quarter of 2007 based upon analysis of further infill drilling results from Durba-Chauffeur-Karagba.

Feasibility Work

Following the successful completion of the Prefeasibility Study in August 2006, the Company has commenced with a Bankable Feasibility Study which is anticipated to be completed in 2007. Lycopodium Engineering Limited has been awarded the contract to manage and undertake the Bankable Feasibility Study. It is proposed that the resources resulting from the next (first quarter of 2007) resource update will be used as a basis for the Bankable Feasibility Study.

Earn-in Rights

The Moto Gold Project is a joint venture between OKIMO, Orgaman sprl and the Company. OKIMO is the state-owned company that is the registered holder of the mineral rights to the Moto Gold Project. The Company is the operator in respect of all activities at the Moto Gold Project

In November 2006 the Company announced that it had reached agreement with OKIMO and Orgaman sprl to enter into a simplified contractual arrangement that will govern the development of and future production activities at the Moto Gold Project. The interests of the joint venture partners in the Moto Gold Project will be OKIMO 30% (non-dilutable), the Company 60% and Orgaman sprl 10%.

The Company is required to fund exploration through to completion of a bankable feasibility study. Details of the Company's net attributable share of the indicated and inferred resources, assuming completion of its earn-in obligations, are at appendix 1.

Cube Consulting

Cube Consulting Pty Ltd (Cube) is an independent consulting firm specialising in the provision of geological modeling, resource estimation, mine planning and information technology services. Cube have been appointed to manage the geological resource modeling and mine planning aspects of the feasibility process.

Cube was established in 1999 by a group of Australian mining industry professionals and continues to provide consulting services to a diverse group of Australian and international mining companies. Included among Cube's clients are Newcrest Mining Ltd, Barrick Gold of Australia, AngloGold Ashanti Australia, Harmony Gold, Independence Group, Mincor Resources and Straits Resources.

Additional Notes:

Scientific or technical information in this news release has been prepared under the supervision of Greg Smith, Exploration Manager of the Company and a qualified person under National Instrument 43-101 and a member of the Australasian Institute of Mining and Metallurgy (AusIMM). Greg Smith has sufficient experience which is relevant to the style of mineralisation under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (the JORC Code).

The Information in this report that relates to Mineral Resources is based on a resource estimate compiled by Rick Adams who is a member of the Australasian Institute of Mining and Metallurgy (AusIMM) and a qualified person under National Instrument 43-101. Rick Adams is a director of Cube Consulting Pty Ltd. Rick Adams has sufficient experience which is relevant to gold mineralisation and resource estimation to qualify as a competent Person as defined in the December 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (the JORC Code). Rick Adams consents to the inclusion in this report of the Information, in the form and context in which it appears.

Caution Regarding Forward Looking Statements: Statements regarding the Company's plans with respect to developing the Moto Gold Project are forward-looking. There can be no assurance that any mineralisation will be proven to be economic, that anticipated metallurgical recoveries will be achieved, that future evaluation work will confirm the viability of deposits identified with the project or that future required regulatory approvals will be obtained.

Appendix 1

Resource Estimate for Moto Gold Project Deposits - Net Attributable (in accordance with AIM rules)

The Company's net attributable share of indicated and inferred resources based on the estimate by Cube Consulting (at a nominal 1 g/t Au lower cutoff) is as follows:



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Gross
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Deposit Indicated Inferred
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Tonnes Au Tonnes Au
Mt Au g/t '000Oz Mt Au g/t '000Oz
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Pakaka 16.13 2.7 1,414
Gorumbwa 8.29 5.2 1,374
Kibali 16.60 2.2 1,173
Mengu Hill 6.26 3.5 699 0.15 2.5 12
Mengu Village 1.28 1.8 76
Karagba 6.23 2.6 523 21.13 3.2 2,142
Chauffeur 21.88 3.4 2,407 34.91 5.8 6,533
Durba 4.66 2.5 376
Megi 3.88 2.2 270
Marakeke 2.34 1.8 133
Kombokolo 1.79 2.9 166 0.01 1.6 0
Sessenge 6.68 2.5 540 0.74 2.4 58
Ndala 0.24 4.3 33
Pamao 5.23 2.0 337 4.26 1.9 260
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TOTAL 65.49 2.9 6,163 97.22 4.0 12,365
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Net Attributable (note 1)
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Deposit Indicated Inferred
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Tonnes Au Tonnes Au
Mt Au g/t '000Oz Mt Au g/t '000Oz
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Pakaka 9.68 2.7 848
Gorumbwa 4.97 5.2 825
Kibali 9.96 2.2 704
Mengu Hill 3.75 3.5 420 0.09 2.5 7
Mengu Village 0.77 1.8 45
Karagba 3.74 2.6 314 12.68 3.2 1,285
Chauffeur 13.13 3.4 1,444 20.95 5.8 3,920
Durba 2.80 2.5 225
Megi 2.33 2.2 162
Marakeke 1.40 1.4 80
Kombokolo 1.08 2.9 100
Sessenge 4.01 2.5 324 0.45 2.4 35
Ndala
Pamao 3.14 2.0 231 2.55 1.9 156
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TOTAL 39.29 2.9 3,698 58.19 4.0 7,399
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Note 1 - the Company is earning a 60% interest in the various deposits - refer above discussion of earn-in rights.

Appendix 2

Glossary of Terms

"Diamond drilling"

This technique involves a pipe encrusted in industrial diamonds being used to drill through rock layers, with a "core" of rock being left in the centre of the pipe. The "core" of rock can be retrieved for logging and sampling.

"Indicated"

That part of a Mineral Resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimated with a reasonable level of confidence as determined under the JORC Code.

"Inferred"

That part of a Mineral Resource for which tonnage, grade and mineral content can be estimated with a low level of confidence as determined under the JORC Code.

"JORC Code"

The Australasian Code for Reporting of Mineral Resources and Ore Reserves, prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia.

"Mineral Resource" or "Resource"

A concentration or occurrence of material of intrinsic economic interest in or on the Earth's crust in such form, quality and quantity that there are reasonable prospects for eventual economic extraction.

"Ordinary Kriging"

A mathematical method that uses linear weighted combinations of the available data to estimate unbiased block grades with the aim of minimizing the variance of the error.

"RC drilling"

This technique employs a dual walled string of drill rods, with a compressed air driven percussion hammer at the end of the drill string. The type of hammer used at Moto is known as a "Center Sample Hammer" with a hollow center that allows the sample to pass into the dual wall drill pipe right at the face of the drill bit. The rock fragments will be taken up and will pass through hollow tubing, until the chippings and fluids reach a "cyclone." The cyclone separates out the rock fragments from the drill medium and presents them to a sampling device.

"Resource Domains"

Individual concentrations of mineralization separated geographically or statistically from each other.

"Uniform Conditioning"

A mathematical method that allows the discrimination of ore and waste at a selective mining unit size within an estimated panel of significantly larger size. In theory, this provides a more accurate prediction of estimated resource grade above a cut off.

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