Simberi Gold Corporation

Simberi Gold Corporation

October 11, 2005 16:24 ET

Simberi Gold Corporation: Press Release

TORONTO, ONTARIO--(CCNMatthews - Oct. 11, 2005) - Simberi Gold Corporation (TSX VENTURE:SAU)(the "Corporation") - The Corporation wishes to announce that it has entered into a heads of agreement (the "Agreement") with Allied Gold Limited ("Allied") to sell its remaining interest in the Simberi Island gold project (see news releases dated November 16, 2004 and April 13, 2005 for further details). Simberi will receive for its interest:

a) 2 million common shares of Allied;

b) 2 million options exercisable at $0.25cents on or before December 31, 2006;

c) 2 million options exercisable at $0.50cents on or before December 31, 2008; and

d) $200,000 cash in Canadian currency.

The transaction is expected to close before the end of October, subject to the finalization of appropriate documentation.

Allied is a publicly traded company listed on the Australian Stock Exchange, under the symbol ALD.

Simberi Gold Corporation is a junior resource company focused on the exploration and acquisition of developed low cost precious and base metal projects internationally. The Corporation's objective is to aggressively explore the potential for investing in a number of precious and base metal properties with the aim to become a metal producer.

This press release includes certain "Forward-Looking Statements" within the meaning of the US Private Securities Reform Act of 1995. Other than statements of historical fact, all statements are "Forward-Looking Statements" that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "Forward-Looking Statements". All dollar amounts are Canadian dollars unless otherwise noted.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

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