MEDIA RELEASE                                                                                     14 May 2007

MONARCH GOLD EXPLORES LISTING ON DUBAI EXCHANGE

Dubai, United Arab Emirates – Monarch Gold Mining Company Limited, an Australian gold company listed on the Australian Stock Exchange, is exploring the possibility of listing on the Dubai International Financial Exchange (DIFX).

Michael Kiernan, Monarch’s Executive Chairman, and a number of the company’s executives and advisors are in talks with the DIFX and investment bankers in Dubai this week.

Global commodities prices have soared in recent years; the increase in precious metals and oil prices has been especially marked. Australia is rich with natural resources, particularly in the mining sectors. Monarch Gold was formed in 2002 by a group of experienced mining executives focused on gold exploration in the relatively unexploited western region of Australia.

The company has grown to become the largest Australian-owned landowner in the mineral rich area of the Kalgoorlie Gold Fields located in Western Australia. Monarch Gold currently has a resource base totalling 2.4 million ounces and two state-of-the-art gold treatment plants.

The possible listing in Dubai is part of a larger trend of foreign companies providing investment opportunities for regional investors.

“Dubai is known as the ‘City of Gold’ and Monarch is aiming to be a significant provider of gold-related investment opportunity for investors in the region,” Mr Kiernan said.

“We are very pleased with what we have seen in Dubai. The DIFX offers clear legal and financial structures that parallel the world’s most advanced exchanges, therefore listing here makes perfect sense. We believe Monarch’s proposition will be attractive to investors in the region, both individuals and institutions. Although commodities prices are cyclical, our current extraction costs are below the market rate for gold, and investing in gold is an appropriate way to store wealth. Over the next 12 months, Monarch expects to generate A$25 million in after tax profit from mining gold in Australia.”

“Our goal is to have approximately 15 per cent of Monarch’s shareholders to be based in the UAE region.”

Monarch Gold is currently implementing an aggressive expansion strategy in acquiring projects that have promising gold production potential in Western Australia.

Monarch remains firmly on track with its production targets, with mining of gold expected to commence at the Davyhurst project in May, followed by mining at Monarch’s Mt Ida project in July 2007.

“We are focussed on meeting our production target and taking Monarch from explorer to producer, with a goal of becoming a 500,000 ounce per annum producer by end of 2009,” Mr Kiernan said.

“We are now on the cusp of production at Davyhurst, with the mill to start-up in mid-July with head grade of 5.3g/t Au, and the first gold to be poured in late July. At our recently acquired Mt Ida asset, the first ore is expected to be mined in late July.”

“We have a twelve month production target of 125,000 ounces from these two projects.”

“An aggressive exploration program is also underway that will add longer term value for shareholders,” Mr Kiernan said.

For further information, please contact:

Dubai:

Mohammed Aly Sergie
Gulf Hill & Knowlton

direct: +971 4 4055 617

mobile: +971 50 654 9217
mohammed.aly.sergie@hillandknowlton.com

Australia:

Michael Kiernan                                                           Warrick Hazeldine

Executive Chairman - Monarch Gold                           Purple Communications

Tel: 08 9481 6422                                                         Tel: +61 (0)8 9485 1254                                                                                                                                                                        Mob: +61 (0) 417 944 616

                                                                                    whazeldine@purplecom.com.au         

Background

Monarch Gold Mining Company was formed and listed on the ASX in 2002 by a group of experienced Australian mining executives.

The Company has a resource base of more than 2.4 million ounces, two state-of-the-art gold treatment plants, and has dominant ground positions in the prolific gold mining region to the north-west of Kalgoorlie.

Since November 2005, Monarch has laid the foundations for its growth as a mid-tier Australian gold production company. It acquired the Davyhurst Gold Project in November 2005, and in 2006 reached agreement with Gindalbie Metals to acquire the Minjar gold projects 500km north-east of Perth. Monarch also completed a merger with Siberia Mining Corporation Limited in 2006, which provided access to Siberia 1.2 million ounce resource base, and the largest Australian-controlled ground position in the Kalgoorlie region. Monarch also has the ground package surrounding the historic Bellevue Gold Mine near Leinster.  In March 2007, Monarch acquired the rich Mt Ida project, located within the 120 kilometres of Monarch’s Davyhurst Mill, from International Goldfields Limited.

Growth Strategy

Monarch’s growth strategy is focused on four potential production centres in Western Australia:

Davyhurst - gold resources of over 2m oz within a 2,000 sq km tenement package and 1.2mtpa gold processing facility (+1.2Moz historic production).

Mt Ida - resources are stated as 143,000t at 24.0 g/t containing 110,650 ounces of gold within three areas - the Baldock, Whinnen and Meteor deposits, adjacent to the historic Timoni underground gold mine which produced 265,000oz of gold. Monarch will commence mining gold in July 2007.

Minjar - gold resources of over 400,000oz within a 1,722 sq km tenement package and 600,000tpa gold processing facility (+120,000oz historic production).

Bellevue - gold resources of 120,000oz associated with the historic Bellevue Gold Mine, one of WA’ premier gold operations (750,000oz historic production).

Monarch’s strategy has been to capture opportunities for the consolidation of gold development assets which have not in the past realised their full potential, either due to a lack of capital or to limited exploration.

Monarch is focussed on gold production, with a target to be producing 500,000oz per annum by December 2009.

For further information visit: www.monarchgold.com.au

So far as it relates to ore and mineralisation, this report is based on information compiled by John Davis, who is a Member of the Australian Institute of Mining and Metallurgy and the Australian Institute of Geoscientist. Mr Davis has sufficient experience which is relevant to the style of the mineralisation and type of deposit under consideration and to the activity which he is undertaking, to quality as a Competent Persons as defined in the 2004 Edition of the Australasian Code for Reporting for Exploration Results, Minerals Resources and Ore Reserves. Mr Davis is a full time employee of the Company. This report accurately reflects the information complied by Mr Davis. Mr Davis has consented to the inclusion of this information in the form and context in which is appears in this report.

Monarch’s Project locations:

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