Simberi Project Update

RNS Number:8891N
Allied Gold Limited
13 February 2008



FOR IMMEDIATE RELEASE                                       13 February 2008



                              ALLIED GOLD LIMITED


                           First Gold Pour at Simberi


Allied Gold Limited (Allied Gold) advises that the first gold pour at its 100%
owned Simberi Gold Project has taken place.


The Simberi Gold Project is located in the New Ireland Province of eastern Papua
New Guinea on an island some 60 kilometres north-west of the Lihir Gold Project,
which hosts a 40 million ounce gold resource. The standard Carbon-in-Leach (CIL)
processing plant has been progressively commissioned over the past six weeks and
is due to reach its full design throughput of 2.2 million tonnes per annum by
the end of March 2008.


Simberi is scheduled to produce an average of 84,000 ounces of gold per year
over a mine life of at least eight years. Thus far there have been several gold
bars poured with a total of 2,392 ounces of gold produced. Metallurgical
recovery rates are meeting budget estimates and initial head grade
reconciliation data suggests that there is potential for grade outperformance.


Allied Gold Executive Chairman Mark Caruso said that this was a momentous
occasion for the Company and its shareholders, and was a result of a dedicated
team effort in what is a challenging environment for construction of major
mining projects.


"We are proud of our effort to commission a significant gold mining operation,
against a backdrop of labour shortages and input price pressures " Mr Caruso
said.


The team at Allied Gold is now focussing on continuing to add shareholder value
by exploring for more gold on Simberi Island and commencing drill testing of the
numerous targets identified on the nearby Tatau and Big Tabar islands.


In parallel with this intensive exploration effort, engineering is already well
advanced on plans to expand production at Simberi by around 60 percent to
135,000 ounces per annum.


A copy of this announcement has been released on the ASX and can be viewed on the 
Company's website www.alliedgold.com.au or as a link to this announcement:


http://www.rns-pdf.londonstockexchange.com/rns/8891n_-2008-2-13.pdf




Contact: Mark Caruso, Executive Chairman, Allied Gold Limited

+ 61 8 9353 3638

Roland Cornish, Beaumont Cornish Limite

+ 44 207 628 3396




                      This information is provided by RNS
            The company news service from the London Stock Exchange

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