SINO GOLD MARCH 2007 QUARTERLY REPORT

KEY POINTS

Jinfeng

• Construction of processing plant completed during quarter.
• Initial gold pour achieved in March 2007.
• Commercial gold production planned for mid-May 2007.
• Jinfeng Mineral Resource increased to 28.6 million tonnes at 5.0g/t gold, containing 4.6 million ounces.
• New upper eastern zone extended to 200m in strike length with best intercept of 26m at 7.8g/t gold and zone remains open.
• Drilling in deep high-grade zone indicates mineralisation is strengthening at depth, including an intercept of 56m at 6.1g/t.
• Australias Ambassador to China, Dr Geoff Raby attended official opening of Jinfeng Mine on 16 April 2007.
• Final construction capital cost not materially different from US$95 million estimate.

White Mountain

• Feasibility Study by a Chinese Design Institute was completed and permitting progressed towards enabling development to commence in 2007.
• Design being progressed for production of 70,000 to 80,000 ounces per annum.
• Initial Ore Reserve of 434,000 ounces of contained gold.
• Drilling has recommenced with five drill rigs now on site to extend the resource and reserves.

Business Development

• Team assembled to manage new Sino Gold Fields Alliance.
• Drilling is planned for the June quarter at various joint ventures, including Jinluo, Hexi, Sanjianfang and Guangxi.

Corporate

• Secondary listing on The Stock Exchange of Hong Kong completed and trading commenced on 16 March 2007.
• Global Offering raised a net US$95 million and established an investor base in Hong Kong.
• Net available cash of US$110 million at the end of March 2007.