CGA Mining Limited - Announcement to the Australian Securities Exchange and Toronto Stock Exchange - Ball mills update - Masbate Gold Project


    PERTH, Western Australia, July 23 /CNW/ - Refurbishment (US$3.7M) of the
two units of 17.5' x 25.5' ball mills and the majority of the ancillary
equipment for the Masbate Gold Project is now complete.
    On July 19 2008 the ball mill components were transported by barge from
Cebu Philippines, arrived at the project jetty and were successfully off
loaded onto the project site.
    The ball mills were handed over to Leighton Contractors Asia Limited for
installation under the fixed price lump sum contract.
    The ball mills had been refurbished in Cebu, Philippines under the
supervision of Weir Minerals (Australia) Ltd ("Weir"). Key components were
shipped to Weir's work shop in Perth, Australia for overhaul.

    For images please see


    CGA is listed on the Toronto Stock Exchange and Australian Securities
Exchange. The Masbate Gold Project in the Philippines is currently under
construction and is due for completion in December 2008. The project has a
total indicated resource base of 4.55M ounces, total inferred resource base of
3.22M ounces and is currently forecast to produce over 200,000 ounces per
annum. The 4Mt pa plant is under construction by Leighton Contractors Asia
Limited ("Leighton"). CGA is completing a scoping study for the expansion of
the plant throughput at Masbate. The mining contract for the Masbate Gold
Project has been awarded to Leighton, the largest mining contractor in the
world. A 30,000m drilling program (9,000m of which has already been completed)
is currently underway at Masbate. CGA is completing a Feasibility Study into
the Mkushi Copper Project in Zambia, which is due for completion in December
2008. The Company is also currently undertaking a 10,000m drilling program at
Segilola, regarded as Nigeria's most advanced gold property. CGA has a
disciplined acquisition program focused on acquiring new gold projects with a
substantial initial resource with the capacity to grow materially and where
the development and operational experience of CGA can be applied to enhance
shareholder value.


    Mr Geoff.G.Jones, F.Aus.I.M.M.CP Mng, CGA's general manager, technical,
is acting as the Qualified Person in compliance with NI 43-101 and JORC
reporting requirements with respect to this announcement. He has prepared and
or supervised the preparation of the scientific or technical information in
this announcement and confirms compliance with NI43-101 and JORC requirements.
    Further information relating to the Masbate Project is included in the
technical report entitled Technical Report on the Mineral Resources of the
Masbate Deposit, Masbate Province, Republic of the Philippines for CGA Mining
Limited prepared by Mining Associates Pty Ltd and available on SEDAR at, lodged 8 July 2008.
    Andrew James Vigar of Mining Associates Pty Ltd, a qualified person, has
verified the resource statement for the Masbate Project as disclosed in this
announcement, including sampling, analytical and test data underlying the
estimate. Verification of the data included numerous site visits, database
validation of historical drill results and review of sampling and assaying
protocols. The qualified person was satisfied with the verification process.


    This announcement includes certain "forward-looking statements" within
the meaning of Canadian securities legislation. All statements, other than
statements of historical fact, included herein including, without limitation,
statements regarding anticipated dates for construction and production, and
other milestones related to the Masbate Gold Project and other projects;
estimates of capital and operating costs, recovery rates, production estimates
and estimated economic return; and CGA's future operating or financial
performance, are forward-looking statements. Information concerning mineral
reserve and resource estimates including statements regarding the conversion
of inferred resources to reserves also may be deemed to be forward-looking
statements in that it reflects a prediction of the mineralization that would
be encountered if a mineral deposit were developed and mined. Forward-looking
statements involve various risks and uncertainties and are based on certain
factors and assumptions. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from CGA's expectations
include uncertainties related to fluctuations in gold and other commodity
prices and currency exchange rates; uncertainties relating to interpretation
of drill results and the geology, continuity and grade of mineral deposits;
uncertainty of estimates of capital and operating costs, recovery rates,
production estimates and estimated economic return; the need for cooperation
of government agencies in the development of the Masbate Gold Project; the
need to obtain additional financing to develop the Masbate Gold Project; the
possibility of delay in development programs or in construction projects and
uncertainty of meeting anticipated program milestones for the Masbate Gold
Project; and other risks and 3 uncertainties disclosed under the heading
"Caution Regarding Forward-Looking Statements" in CGA's Annual Information
Form for the year ended 30 June 2007 filed with the Canadian securities
regulatory authorities on the SEDAR website at

For further information:

For further information: Australian Contact, President & CEO - Michael
Carrick, Tel: +61 8 9263 4000, Fax: +61 8 9263 4020, Email:; US Contact, Chairman - Mark Savage, Tel: (505)
344-2822, Fax: (505) 344-2922, Email:

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