Bema Gold Corporation: 2006 Second Quarter Results

    FOR:  BEMA GOLD CORPORATION

TSX, NYSE SYMBOL:  BGO
AIM SYMBOL:  BAU

August 14, 2006

Bema Gold Corporation: 2006 Second Quarter Results

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 14, 2006) - Bema Gold Corporation (TSX:BGO)(NYSE:BGO)(AIM:BAU)
("Bema" or the "Company") reports the results from its operations for the second quarter ended June 30, 2006.
All dollar figures are in United States dollars unless otherwise indicated. Highlights from the quarter and
recent subsequent events include:

- Record quarterly revenue

- Record mine operating cash flows

- Commenced draw down of Kupol project loan

- Completed agreement with Barrick to return 51% interest in Cerro Casale to Bema and Arizona Star

- Completed project development appraisal for Cerro Casale

Gold Revenue

Gold revenue for the second quarter of 2006 increased by 127% over the same period in 2005 to $50.8 million on
sales of 83,765 ounces representing the highest quarterly revenue in Company history. The increase was
attributable to the recommencement of commercial production at the Refugio Mine which occurred in the fourth
quarter of 2005, to higher gold sales at the Julietta Mine and to a $188 per ounce increase in the average
realized gold price to $606.

The Refugio Mine (Bema's 50% share) accounted for $16.2 million of gold revenue from the sale of 26,819 ounces
at an average price of $604 per ounce while $16.9 million was contributed by the Julietta Mine from the sale of
28,658 ounces at an average price of $591 per ounce. In addition, the Petrex Mines accounted for $17.7 million
of gold revenue from the sale of 28,288 ounces at an average price of $624 per ounce. The spot price of gold
averaged $628 and $427 per ounce in the second quarter of 2006 and 2005, respectively.

Gold revenue in the second quarter of 2005 was $22.4 million on sales of 53,504 ounces at an average realized
price of $418 per ounce.

Gold revenue for the first six months of 2006 was also a record high for the Company at $97.9 million from the
sale of 170,860 ounces at an average price of $573 per ounce. In the first six months of 2005, Bema reported
gold revenue of $43.8 million from the sale of 105,296 ounces at an average price of $416 per ounce.

Financial Results

Cash flow from operations, before changes in non-cash working capital, improved to $10.7 million during the
period compared to use of cash of $4.5 million in the second quarter of 2005. The Company also reported
significantly improved mine operating earnings of $7.2 million in the quarter compared to a mine operating loss
of $5.7 million in the same period last year. The improved results in 2006 were mainly due to the
recommencement of operations at the Refugio Mine and to higher spot gold prices.

Net earnings for the quarter, under Canadian GAAP, were $18.1 million ($0.04 per share) compared with a loss of
$12.3 million in the same period last year (negative $0.03 per share). The adjusted net earnings for the second
quarter of 2006 were $21.6 million ($0.05 per share) compared with an adjusted loss of $9.4 million in the same
period last year (negative $0.02 per share), if the Canadian GAAP net earnings/loss were adjusted to exclude
certain non-cash items consisting of unrealized non-hedge derivative losses, stock-based compensation expense
and future income taxes. Net earnings for the second quarter of 2006 included a gain of $21.5 million from the
sale of approximately 2.1 million shares of Arizona Star Resource Corp. ("Arizona Star") for net proceeds of
$23 million. The shares of Arizona Star, which Bema held, were considered to be a non-core asset and following
the completion of the agreement with Barrick Gold Corporation ("Barrick") in the quarter bringing Bema's
interest in Cerro Casale back to 49%, management felt that there was therefore no further reason to own a
minority position in Arizona Star.

For the six months ended June 30, 2006, the Company reported adjusted net earnings of $18.9 million ($0.04 per
share) compared with an adjusted loss of $24 million (negative $0.06 per share) in the 2005 period. For the six
months ended June 30, 2006, under Canadian GAAP, the Company reported a net loss of $17.4 million (negative
$0.04 per share) compared with a net loss of $27.2 million (negative $0.07 per share) in the prior year's
period. The Canadian GAAP net loss in 2006 included a $27.6 million unrealized non-hedge derivative loss
resulting from the mark-to-market adjustment of the Company's non-hedge derivative financial instruments
relating to future hedge positions that do not qualify for hedge accounting.

Liquidity and Capital Resources

The Company ended the quarter with $67 million in cash and cash equivalents, compared to $31.2 million at the
end of the first quarter of 2006. Working capital at the quarter end was $38.9 million compared to working
capital of $14 million at the end of March 2006. During the second quarter Bema also commenced draw down of the
$425 million Kupol Project loan.

The increase in cash and cash equivalents and working capital position in the quarter resulted from record mine
operating cash flows, the sale of the Arizona Star shares and the loan proceeds of $200 million received from
the initial drawdown of the Kupol Project loan in May 2006. Part of the loan proceeds was used to repay the
$150 million Kupol Bridge facility.

Operations

Bema's consolidated gold production during the second quarter of 2006 was 79,857 ounces at an operating cash
cost of $387(1) per ounce and a total cash cost of $416(1) per ounce. The increase in per ounce costs in the
second quarter compared to the first quarter of 2006 were mainly due to the poor performance of the Petrex
Mines. In the second quarter of 2005 Bema produced 59,068 ounces of gold at an operating cash cost of $290(2)
per ounce and a total cash cost of $314(2) per ounce.

Consolidated gold production for the first six months of 2006 was 169,367 ounces of gold at an operating cash
cost of $365 per ounce and a total cash cost of $392 per ounce.

(1) Operating cash costs are calculated in accordance with the Gold Institute Production Cost Standard and
include direct mining, smelting, refining and transportation costs, less silver by-product credits. Total cash
costs, calculated in accordance with this Standard, include operating cash costs, royalties and production
taxes.

(2) Consolidated operating and total cash costs in 2005 were adjusted to reflect cash gains from the exercise
of South African rand denominated gold put options. The gains for the second quarter of 2005 were $28 per
ounce.

Julietta Mine, Russia (Bema 90%)

During the quarter, Julietta processed 42,724 tonnes of ore at an average grade of 20.39 grams per tonne (g/t)
gold and 283.22 g/t silver, producing 25,356 ounces of gold at an operating cash cost (net of silver credits)
of $222 per ounce and a total cash cost of $280 per ounce. Julietta recorded a mine operating profit of $4
million for the period compared with an operating profit of $263,000 in the second quarter of 2005. Cash flow
from operations, before changes in non-cash working capital, was $9.5 million in the second quarter compared to
operating cash flow of $3.9 million for the same period last year.

In the second quarter of 2005 Julietta processed 42,272 tonnes of ore at an average grade of 22.3 g/t,
producing 26,941 ounces of gold at an operating cash cost of $167 per ounce and a total cash cost of $220 per
ounce.

For the first six months of 2006 Julietta processed 84,544 tonnes of ore at an average grade of 20.5 g/t gold,
producing 50,488 ounces of gold at an operating cash cost of $226 per ounce and a total cash cost of $284 per
ounce.

An initial resource estimate, utilizing inverse distance squared methodology and an 8 g/t cutoff grade, was
completed on the Evgenya zone during the second quarter. The zone, which is 5 kilometres northwest of the
Julietta Mine, is estimated to contain an indicated resource of 119,250 tonnes at an average grade of 14.46 g/t
gold and 21.65 g/t silver. The resource estimate was completed internally with Tom Garagan acting as the
Company's Qualified Person. As a result, the decision was made to explore the vein underground and a portal
will be collared later this year. The zone remains open along strike and several other veins remain unexplored
in this area. Exploration is continuing with on going drilling at Julietta hill as well as trenching and
mapping in the Engteri area.

Petrex Mines, South Africa (Bema 100%)

Petrex produced 27,894 ounces of gold during the quarter at a total cash cost of $558 per ounce from 511,219
tonnes of ore milled at an average grade of 1.9 g/t. Petrex had a mine operating loss of $231,000 in the second
quarter of 2006 compared to an operating loss of $2.95 million during the same period last year. Cash flow from
operations, before changes in non-cash working capital, was $1.4 million in the second quarter (excluding the
loss from the contingent forwards which do not qualify for hedge accounting) of 2006 whereas in the second
quarter of last year the Petrex operations consumed cash of $1.6 million, before changes in non-cash working
capital.

The shortfall in production and related higher cash cost per ounce in the second quarter of 2006 were due to
the poor performance of the underground operations and low mill throughput in June. Delivered grades to the
mill were below plan from all shafts. Total tonnage from underground was also below budget by approximately
17.5%. This resulted in a mill feed grade for the quarter of 1.9 grams of gold per tonne versus a budget of 2.6
grams of gold per tonne. Mill production in June was 13.4% below budget due to problems with liners in the SAG
mills. The mill is currently producing at budgeted capacity and the increased gold price has had a positive
affect on mine operating earnings.

In the second quarter of 2005 Petrex produced 32,127 ounces of gold at a total cash cost of $391 per ounce(3)
from 516,024 tonnes of ore milled at an average grade of 2.1 g/t.

For the first six months of 2006, Petrex milled 1,016,360 tonnes of ore at an average grade of 2.02 g/t gold,
producing 60,122 ounces of gold at a total cash cost of $515 per ounce.

During the second quarter of 2006, Bema announced that its 100% owned subsidiary Bema Gold SA (Pty) Limited
("Bema SA"), owner/operator of the Petrex Mines, has signed a memorandum of understanding ("MOU") with Pamodzi
Resources (Pty) Limited ("Pamodzi"), a South African Black Empowerment group. Under the terms of the amended
MOU, Pamodzi can earn up to 51% of Bema SA by investing a minimum of ZAR30 million in cash and by vending
additional assets into Bema SA.

The objective of this agreement is to improve the economics of the Petrex Mines and increase production by
investing in underground development work to access higher grade ore, and to qualify Bema SA as a Black
Economic Empowerment Company ("BEE") under South African laws. It is the intent of Bema SA and Pamodzi to list
this new entity on the Johannesburg Stock Exchange in the future with an ultimate goal of consolidating with
other mining interests in the East Rand mining district. This agreement is subject to certain conditions,
including due diligence, Board and regulatory approvals and formal documentation. Bema is also in discussions
with the Petrex lenders to convert the $19.2 million of outstanding Petrex loans as at June 30, 2006 into an
equity position in the new company upon completion of the Pamodzi negotiations.

Third party evaluations of the Bema SA and Pamodzi assets have been completed by Minxcon (Pty) Ltd ("Minxcon").
These evaluations are being used to help establish the respective ownership percentages in the new company, and
Minxcon is now preparing an independent competent persons report for the new company. It is currently
anticipated that formal agreements between Pamodzi and Bema SA can be in place by the end of the third quarter,
which would allow for the new company to be listed on the Johannesburg Stock Exchange during the fourth
quarter.

(3) Total cash cost was adjusted in 2005 to reflect cash gains from the exercise of South African rand
denominated gold put options. The gains for the second quarter of 2005 were $54 per ounce.

Refugio Mine, Chile (Bema 50%)

The Refugio Mine had a mine operating profit of approximately $3.5 million and cash flow from operations,
before changes in non-cash working capital, of $5.4 million for the quarter (Bema's 50% share). The mine
produced 53,214 ounces of gold (the Company's 50% share was 26,607 ounces) at an operating and total cash cost
per ounce of $365 and $397, respectively. The facilities crushed and placed 3,741,243 tonnes on the leach pads
at an average grade of 0.74 g/t, averaging 41,113 tonnes per day.

For the first six months of 2006, Refugio processed 6,856,729 tonnes of ore at an average grade of 0.72 g/t
gold, producing 117,514 ounces of gold (Bema's share was 58,757) at an operating cash cost of $331 per ounce
and a total cash cost of $359 per ounce.

Refugio gold production was below budget for the first half of 2006 due largely to lower grade ore being
delivered to the heap leach pad caused by the mining operations being out of sequence with the original plan.
Operating costs were over budget for the same period primarily due to higher than anticipated maintenance costs
and increased reagent prices and consumption. As a result of these higher costs, combined with the lower ore
grade and fewer recoverable ounces being placed on the heap leach pad in the first half of 2006, Refugio is now
projected to produce 227,000 ounces of gold this year at an average operating cost of $363 per ounce.

The Refugio Mine has excellent exploration potential and the joint venture partners (Bema and Kinross) have
agreed to a $2.9 million exploration budget for 2006. An 18,000 metre phase I drill program is underway
designed to infill a portion of the Pancho Deposit and explore its margins.

Kupol Deposit, Russia (Bema 75%)

Construction activities at Kupol continue to proceed well. The permanent man camp is at site and is being
assembled. Erection of the main processing, maintenance and administration complex is proceeding as well as
concrete foundation work for the jaw crusher and crusher building. Other activity includes excavation of the
open pit to provide road building material for haul roads, construction of a water reservoir dam, underground
development for the south portal access area, as well as ongoing excavation at the airstrip.

During the second quarter, Bema was notified that the Russian Federal Government's Federal Agency of
Environmental, Technical and Nuclear Supervision (known as Rosteknadzor in Russia) had reviewed and approved
the Russian Construction Feasibility Study (known as a TEO-C in Russia) for the Kupol Project. The TEO-C
contains information on geology, mining, milling, tailings storage, infrastructure, civil defence measures, and
environmental protection. Following the receipt of this approval, Bema commenced drawing down on the $425
million Kupol Project loan (refer to press release dated 05-26-06 for details).

Also in the second quarter Bema announced that, based on the results from the 2005 exploration program, the
previously announced estimated Probable Mineral Reserves at Kupol increased by 15% adding an additional two
years to the mine life. The following table compares the Probable Mineral Reserves for Kupol, as of June 3,
2005, to the new Probable Mineral Reserves:

/T/

--------------------------------------------------------------------
                                Gold       Gold   Silver      Silver
                       Tonnes    g/t     ounces      g/t      ounces
--------------------------------------------------------------------
Probable Mineral
 Reserves 06/03/05  7,086,898   16.9  3,855,428      214  48,762,434
Probable Mineral
 Reserves 05/24/06  8,225,200   16.8  4,446,000      205  54,226,000
Changes to Reserves 1,138,302           590,572            5,463,566
--------------------------------------------------------------------
% Change                   16%               15%                  11%
--------------------------------------------------------------------

/T/

The new reserves were calculated assuming a $400 per ounce spot gold price and a $6 per ounce spot silver price
using the mine plan and costs as outlined in the June 2005 Feasibility Study.

Based on the Feasibility Study completed in June 2005, the Kupol Mine is projected to produce more than 550,000
ounces of gold annually, over the initial 6.5 year mine life, with operating cash costs of $47 per ounce (4)
and total cash cost of $88 per ounce(4). With the receipt of the final construction permit from the Russian
Federal Government in April 2006, Kupol is on schedule to commence production in mid 2008.

A $7.8 million dollar exploration program consisting of 20,000 metres of diamond drilling commenced in the
second quarter focusing on other vein targets outside the main Kupol vein and at depth beneath the main Kupol
vein.

Results from the first phase of drilling will be released today prior to the second quarter conference call.

(4) Net of silver credits assuming a silver price of $6.00.

Cerro Casale, Chile (Bema 49%)

During the quarter, Bema entered into definitive agreements with Barrick and Arizona Star to complete the
acquisition of Barrick's (formerly Placer Dome Inc.'s) 51% of the shares of Compania Minera Casale ("CMC"), the
owner of the Cerro Casale Project. The definitive agreements were entered into pursuant to the agreement in
principle with Placer Dome to sell its interest in CMC announced on October 26, 2005.

Subsequent to quarter end Bema announced the results of a project development appraisal for the Cerro Casale
project. The appraisal conducted by Mine Quarry Engineering Services Inc., analyzed and modified ore processing
concepts and updated the operating and capital costs of the 2000 feasibility study completed by Placer Dome
Inc. and updated by Placer in 2004 (for details please refer to the press release dated 07-24-06).

AMEC E&C Services Inc. ("AMEC") has reviewed the development appraisal by Mine and Quarry Services and is
updating the National Instrument 43-101 Technical Report supporting disclosure of the Project's mined resources
and reserves, previously filed on March 24, 2005. AMEC has verified the principal conclusions of the Mine and
Quarry appraisal, with some modifications, and these conclusions support the disclosure of revised resources
and reserves. The final report is expected to be completed and filed on SEDAR within 45 days from July 24,
2006.

Cerro Casale, discovered by Bema in 1996, is one of the world's largest undeveloped gold and copper deposits
with an estimated mineral reserve of 1.035 billion tonnes of ore grading on average 0.69 g/t of gold and 0.25%
copper containing 23 million ounces of gold and 5.8 billion pounds of copper. This mineral reserve is based the
recent project development appraisal using the updated capital and cash operating cost estimates set out in the
project base case which assumes metal prices of $450 per ounce of gold and $1.50 per pound of copper. According
to the development appraisal, the mine is projected to produce approximately 990,000 ounces of gold and 294
million pounds of copper annually for 17 years with operating costs projected at $107 per ounce of gold, net of
copper credits. The base case (100% basis) requires an initial capital investment of $1.96 billion, generates a
pre-tax 100% equity internal rate of return ("IRR") of 13.1% and a net present value ("NPV") of $1.35 billion
at a 5% discount rate and has a payback of 4.9 years.

Bema intends to enter into discussions with major mining companies regarding potential partnerships for the
development of Cerro Casale.

Gold Forward and Option Contracts

In the second quarter the Company completed the Kupol project hedging program as required by the lenders and
does not intend to enter into any additional hedge contacts relating to the Kupol project. Please see the table
below for details regarding the Company's gold and silver derivative contracts outstanding at June 30, 2006.

/T/

                                2006      2007      2008   2009-2012
                            ----------------------------------------
                            ----------------------------------------
Gold
Forward contracts (ounces)    49,125    15,050    28,750     197,250
Average price per ounce     $    403  $    390  $    513   $     563

Put options purchased
 $290 strike price (ounces)   11,130    21,342    38,646           -
 $390 to $422 strike
  price (ounces)              34,000    68,000    38,500           -
 $470 to $500 strike
  price (ounces)                   -         -     6,250     623,565

Call options sold (ounces)    34,500    59,000    41,500     418,430
Average price per ounce     $    497  $    462  $    475   $     676

Contingent forwards sold
 (maximum)
 $350 strike price (ounces)   18,000    36,000    33,000      99,000

Silver
Forward contracts (ounces)   200,000         -         -   2,700,000
Average price per ounce     $   7.75  $      -  $      -   $    8.20

Put options purchased
 (ounces)                    300,000         -         -   8,100,000
Average price per ounce     $   6.34  $      -   $     -   $    9.67

Call options sold (ounces)   300,000         -         -   8,100,000
Average price per ounce     $   7.65  $      -   $     -   $   13.83

/T/

Outlook

Bema continues to focus on optimizing production from existing mines; completing the agreement to restructure
the Petrex Mines ownership; and continuing construction and exploration of the Kupol Project. The Company is
also focused on pursuing a joint venture agreement for the development of the Cerro Casale deposit; further
exploration drilling near the Julietta Mine and at the Refugio Mine; and pursuing additional growth
opportunities, through potential acquisitions of exploration and development projects.

Bema's current producing assets combined with future anticipated production from the Kupol project have Bema on
track to become a low cost million ounce per year gold producer by mid 2008.

Ongoing exploration for Bema's projects are being validated by a Quality Control ("QC") program, which has been
designed in concert with an independent consultant to meet or exceed the requirements of NI 43-101. This QC
program includes the use of certified standard reference samples, coarse field blank material and duplicate
sampling as described at length in earlier news releases and in the technical reports for the Kupol project
dated/filed on April 4, 2005 and July 5, 2005. For Julietta, the Independent Qualified Person ("QP") is Brian
Scott. For Kupol, the QP is Tom Garagan. For Cerro Casale, the Independent QP is Larry Smith of AMEC.

Conference Call Details

Bema will host a conference call and webcast to discuss second quarter results on Monday, August 14th 2006 at
2:30pm PT / 5:30pm ET. You may access the call by dialing the operator at 416-695-5261 or toll free at 1-877-
888-3490 prior to the scheduled start time. A playback version of the call will be available for one week after
the call at 416-695-5275, or within North America call toll free 1-888-509-0081. The webcast can be accessed
from Bema's website at www.bema.com.

On Behalf of BEMA GOLD CORPORATION

Clive T. Johnson, Chairman, C.E.O., & President

Bema Gold Corporation trades on the Toronto Stock Exchange (TSX) and the New York Stock Exchange (NYSE).
Symbol: BGO. Bema Gold also trades on the London Stock Exchange's Alternative Investment Market (AIM). Symbol:
BAU.

Some of the statements contained in this release are "forward-looking statements" within the meaning of
Canadian securities legislation and Section 21E of the Securities Exchange Act of 1934. Such forward-looking
statements involve known and unknown risks, uncertainties and other factors that may cause our actual results,
performance or achievements to differ materially from the anticipated results, performance or achievements
expressed or implied by such forward-looking statements. Forward-looking statements in this release include
statements regarding: the Company's projections of gold production, costs of production, drilling and
development programs and financings. Factors that could cause actual results to differ materially from
anticipated results include risks and uncertainties such as: risks relating to estimates of mineral reserves,
mineral deposits and production costs; mining and development risks; the risk of commodity price fluctuations;
political and regulatory risks; and other risks and uncertainties detailed in the Company's Form 40-F Annual
Report for the year ended December 31, 2005, which has been filed with the United States Securities and
Exchange Commission, and the Company's Renewal Annual Information Form for the year ended December 31, 2005,
which is an exhibit to the Company's Form 40-F and is available at the SEDAR website at www.sedar.com. The
Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.

/T/

BEMA GOLD CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
For the periods ended June 30
(Unaudited)
(in thousands of United States dollars,
 except shares and per share amounts)

                             Second Quarter               Six Months
                          2006         2005        2006         2005
                      --------     --------    --------     --------

GOLD REVENUE          $ 50,797     $ 22,357    $ 97,868     $ 43,835
                      --------     --------    --------     --------
EXPENSES
 Operating costs        33,824       19,509      66,633       41,212
 Depreciation and
  depletion              9,235        5,042      16,779        8,932
 Accretion of asset
  retirement
  obligations              438          423         874          829
 Refugio re-start of
  operations                 -        3,023           -        7,211
 Other                      96           83          96          648
                      --------     --------    --------     --------
                        43,593       28,080      84,382       58,832
                      --------     --------    --------     --------

MINE OPERATING
 INCOME (LOSS)           7,204       (5,723)     13,486      (14,997)
                      --------     --------    --------     --------

OTHER EXPENSES (INCOME)
 General and
  administrative         2,850        2,371       6,100        5,044
 Interest and
  financing costs        1,683        1,416       3,324        2,625
 General exploration       315          381         500          650
 Stock-based
  compensation           6,265        1,721       7,686        2,573
 Foreign exchange
  (gains)/ losses       (1,837)         181      (2,282)          20
 Other                    (501)        (111)       (918)        (123)
                      --------     --------    --------     --------
                         8,775        5,959      14,410       10,789
                      --------     --------    --------     --------

LOSS BEFORE TAXES AND
 OTHER ITEMS            (1,571)     (11,682)       (924)     (25,786)

Unrealized non-hedge
 derivative gains/
 (losses)                2,736       (1,638)    (27,637)      (3,249)
Realized non-hedge
 derivative (losses)/
 gains                  (4,277)         116      (8,061)       1,829
Investment gains        22,758          630      22,758          756
Equity in losses of
 associated companies      (16)         (41)        (82)         (53)
Write-down of net
 smelter royalty             -            -           -       (3,099)
                      --------     --------    --------     --------

EARNINGS (LOSS) BEFORE
 TAXES AND OTHER
 ITEMS                  19,630      (12,615)    (13,946)     (29,602)

Current income taxes    (1,604)        (108)     (2,453)        (180)
Future income tax
 (expense)/ recovery        25          378      (1,008)       2,621
                      --------     --------    --------     --------

NET EARNINGS (LOSS)
 FOR THE PERIOD       $ 18,051     $(12,345)   $(17,407)    $(27,161)
                      --------     --------    --------     --------
                      --------     --------    --------     --------

EARNINGS (LOSS) PER
 COMMON SHARE -
 basic and diluted    $   0.04     $  (0.03)   $  (0.04)    $  (0.07)
                      --------     --------    --------     --------
                      --------     --------    --------     --------

Weighted average
 number of common
 shares outstanding
 (in thousands)        459,700      400,684     457,527      400,593
                      --------     --------    --------     --------
                      --------     --------    --------     --------


BEMA GOLD CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the periods ended June 30
(Unaudited)
(in thousands of United States dollars)

                             Second Quarter               Six Months
                          2006         2005        2006         2005
                      --------     --------    --------     --------

OPERATING ACTIVITIES
 Net earnings (loss)
  for the period      $ 18,051     $(12,345)   $(17,407)    $(27,161)
 Non-cash charges
  (credits)
  Depreciation and
   depletion             9,235        5,042      16,779        8,932
  Amortization of
   deferred financing
   costs                    73          115         146          160
  Accretion of
   convertible notes       670          447       1,334          888
  Accretion of asset
   retirement
   obligations             438          423         874          829
  Equity in losses of
   associated companies     16           41          82           53
  Derivative instruments  (761)       1,379      30,777        2,880
  Investment gains     (22,758)        (630)    (22,758)        (756)
  Stock-based
   compensation          6,265        1,721       7,686        2,573
  Future income tax
   expense/ (recovery)     (25)        (378)      1,008       (2,621)
  Write-down of net
   smelter royalty           -            -           -        3,099
  Other                   (537)        (321)        115          762
 Change in non-cash
  working capital          384       (2,493)     (4,889)      (5,707)
                      --------     --------    --------     --------
                        11,051       (6,999)     13,747      (16,069)
                      --------     --------    --------     --------

FINANCING ACTIVITIES
 Common shares issued,
  net of issue costs     8,732          525      10,797          531
 Kupol project loan
  financing            219,820            -     219,820            -
 Kupol bridge
  financing/
  (repayment)         (150,000)      32,500    (150,000)      36,500
 Refugio working
  capital loans/
  (repayment)           (2,300)       6,000      (2,850)       6,000
 Capital lease
  repayments              (854)        (891)     (2,562)      (1,709)
 Financing costs        (5,884)      (3,248)     (9,284)      (3,255)
                      --------     --------    --------     --------
                        69,514       34,886      65,921       38,067
                      --------     --------    --------     --------

INVESTING ACTIVITIES
 Kupol development and
  construction         (51,294)     (36,015)    (87,245)     (57,708)
 Kupol exploration      (1,418)      (5,499)     (1,898)      (8,419)
 Julietta Mine            (816)        (510)     (1,907)      (1,779)
 Julietta exploration   (1,090)      (1,894)     (2,746)      (3,409)
 Refugio Mine             (603)      (4,201)     (5,029)     (13,359)
 Refugio exploration      (593)           -        (593)           -
 Petrex Mines             (461)      (1,311)     (2,201)      (2,732)
 Petrex exploration          -         (414)          -         (776)
 Acquisition,
  exploration and
  development           (2,094)      (1,366)     (2,896)      (3,458)
 Investment purchases
  in associated company (2,025)        (902)     (2,025)        (902)
 Restricted cash        (7,500)           -      (7,500)           -
 Proceeds on sales of
  investments           22,963            -      22,963            -
 Net repayments of
  promissory notes by
  affiliated companies     224            -       2,224            -
 Other                    (108)        (957)       (115)      (1,418)
                      --------     --------    --------     --------
                       (44,815)     (53,069)    (88,968)     (93,960)
                      --------     --------    --------     --------

Increase (decrease)
 in cash and cash
 equivalents            35,750      (25,182)     (9,300)     (71,962)

Cash and cash
 equivalents, beginning
 of period              31,216       40,331      76,266       87,111
                      --------     --------    --------     --------

Cash and cash
 equivalents, end
 of period            $ 66,966     $ 15,149    $ 66,966     $ 15,149
                      --------     --------    --------     --------
                      --------     --------    --------     --------


BEMA GOLD CORPORATION
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands of United States dollars)

                                          As at                As at
                                        June 30          December 31
                                           2006                 2005

ASSETS
Current
  Cash and cash equivalents           $  66,966            $  76,266
  Restricted cash                         7,500                    -
  Accounts receivable                    10,727               11,507
  Marketable securities, at cost
  (Market value - $17.2 million;
  December 31, 2005 - $16.5 million)      3,553                3,553
  Inventories                            33,462               30,844
  Other                                   7,558                4,604
                                      ---------            ---------
                                        129,766              126,774

Investments                              14,684               12,946
Property, plant and equipment           692,637              583,736
Unrealized fair value of non-hedge
 derivative assets                       22,543                2,449
Deferred derivative losses                3,946                4,614
Future income tax assets                  5,100                5,100
Other assets                             70,442               58,093
                                      ---------            ---------
                                      $ 939,118            $ 793,712
                                      ---------            ---------
                                      ---------            ---------

LIABILITIES
Current
  Accounts payable                    $  58,003            $  36,515
  Current portion of long-term debt      32,895               28,964
                                      ---------            ---------
                                         90,898               65,479

Unrealized fair value of non-hedge
 derivative liabilities                 117,169               66,966
Long-term debt                          283,849              222,429
Future income tax liabilities            36,281               30,007
Asset retirement obligations             20,028               19,710
Other liabilities                         1,279                1,129
                                      ---------            ---------
                                        549,504              405,720
                                      ---------            ---------

SHAREHOLDERS' EQUITY
Capital stock
  Issued - 460,898,837 common shares
 (December 31, 2005 - 452,583,503)      693,437              674,176
Value assigned to share purchase
 warrants and stock options              38,119               32,919
Convertible notes and debt               18,849               24,281
Deficit                                (360,791)            (343,384)
                                      ---------            ---------
                                        389,614              387,992
                                      ---------            ---------
                                      $ 939,118            $ 793,712
                                      ---------            ---------
                                      ---------            ---------

Approved by the Directors

Clive T. Johnson                              Robert J. Gayton

/T/



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FOR FURTHER INFORMATION PLEASE CONTACT:

Bema Gold Corporation
Ian MacLean
Vice President, Investor Relations
[phone]
[e-mail]
www.bemagold.com

The Toronto Stock Exchange neither approves nor disapproves the information contained in this News Release.


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Bema Gold Corporation