COMMENTS

• Total attributable production for the quarter was 118 989 ounces at total cash costs of US$281/oz.  This compares to 66 908 ounces at total cash costs of US$211/oz in the March 2005 quarter. The increase in production and cash costs is due to the additional ounces from Loulo's first full quarter of production. These results are in accordance with SEC's EITF 04-06 on deferred stripping.
  
  
• The results for 2005 have also been restated due to a change in accounting policy relating to discontinuing accounting for deferred stripping (see accounting policies section).
  
  
• Gold sales revenue increased by US$35.3 million over the corresponding 2005 quarter as a result of Loulo coming on stream and the increased gold price.
  
  
• Total cash costs of US$33.5 million for the quarter ended 31 March 2006 include US$20.9 million in respect of Loulo, which is the main reason for the increase from US$14.1 million for the corresponding quarter in 2005.
  
  
• Profit from mining activity for the quarter ended March 2006 is US$15.9 million higher than the corresponding quarter in 2005, mainly as a result of Loulo's profit of US$16.7 million, partially offset by an increase in costs at Morila which is largely due to lower grades processed in line with the mine plan.
  
  
• Net profit attributable to equity shareholders is calculated after deducting US$1.2 million attributable to Loulo minority shareholders.
  
  
• Total attributable ounces produced were down slightly compared to the 126 404 ounces produced in the December 2005 quarter. The decrease is due to the expected grade decline at Morila as well as the lower grade at Loulo which is part of the revised short term plan relating to the installation of the hard rock crushing circuit. This also pushed up unit costs per ounce.
  
  
• Higher gold prices received in the March quarter offset the lower production and resulted in a 10% increase in profit from mining.
  
  
• Net profit in the current quarter was US$12.8 million.  This is the first full quarter of tax for Morila which ended its tax holiday in November 2005.  Net profit for the quarter ended 31 December 2005 was US$17 million (US$12.5 million before restatement).