Commissioning of the Kalsaka Mine Gold Processing Plant and 7,000 Metre Drilling Programme Underway at Baomahun

Cluff Gold plc,the West African focused gold mining company, announces the successful commissioning of the Kalsaka Mine gold processing plant in Burkina Faso and the commencement of a 7,000 metre drilling programme at Baomahun, its flagship gold project located in Sierra Leone.

Highlights:

Kalsaka Gold Mine, Burkina Faso (78% ownership)

·         Gold processing plant successfully commissioned with the production of 4,891 ounces of fine gold in March;

·         Total gold production of 12,890 ounces of fine gold in the first quarter of 2009;

·         Full commissioning expected  in April;

·         Sold gold for US$917 per ounce in March;

·         Processed grades achieved in March were 22.6% above budget; and 

·         Mine on target to exceed production expectations of 60,000 ounces in 2009.

Baomahun Gold Project, Sierra Leone: (100% ownership)

·         Drilling programme underway;

·         Initial drilling of 7,000 metres planned in 12 holes prior to commencement of the rainy season in July;

·         Current drilling is targeting additional underground resource potential;

·         Scoping study combining open pit and underground operations scheduled to be completed by the end of 2009; and

·         25 year Mining Lease agreement signed by the Minister of Mines. 

"The successful commissioning of the Kalsaka gold processing plant and the production of 12,890 ounces of gold from this mine in the first quarter of this year puts Cluff Gold on target to produce 100,000 ounces in 2009 from the Kalsaka Mine and Angovia Mine," said Mr. Algy Cluff, Chairman of Cluff Gold plc. "We expect that the Kalsaka operation will be fully commissioned by the end of this month and that we will achieve the current production estimate of 60,000 ounces in 2009 at this operation. To further expand our gold resources, we are also advancing our flagship gold exploration project, Baomahun, through a 7,000 metre drilling programme. As previously reported on September 30, 2008, metallurgical test work results indicate that the ores are not refractory with average recovery of 92% being achieved at Baomahun."

In addition to the Kalsaka and Baomahun projects, the operations at the Angovia Mine in Cote d'Ivoire are improving month to month. This is due to the increased mining fleet which is achieving better production rates. The mine is expected to produce 40,000 ounces in 2009. 

Douglas D Chikohora has reviewed and approved the information contained in this announcement. Douglas D Chikohora, (MSc, MIMMM, CEng) is Technical Director of the Company.

For further information, please contact:

Cluff Gold plc 

J.G. Cluff     

Chairman

Tel: +44 (0) 20 7340 9790

Nominated Adviser

WH Ireland Limited

David Youngman / Katy Mitchell

Tel: +44 161 832 2174

About Cluff Gold

Cluff Gold is focused on the identification, acquisition and development of gold deposits in West Africa that are amenable to open-pit mining and low cost production techniques. The Company has assembled a portfolio of mineral interests at various stages of development in C?te d'Ivoire, Burkina Faso, Sierra Leone and Mali. Cluff Gold progressed from being an explorer to a producer in Q1 2008 and is expected to produce 100,000 ounces of gold on an annualised basis from 2009 from its Angovia Gold Mine in Cote d'Ivoire and from its Kalsaka Gold Mine in Burkina Faso. Cluff Gold is actively evaluating known satellite deposits to expand the resource base at both mines.

This News Release includes certain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, the positioning of the Company for future success, statements regarding potential future production at Angovia and Kalsaka, exploration and drilling results at Baomahun, and future capital plans and objectives of Cluff Gold, are forward-looking information that involve various risks and uncertainties. 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 Cluff Gold's expectations include, among others, risks related to international operations, the actual results of current exploration and drilling activities, changes in project parameters as plans continue to be refined as well as future price of gold. Although Cluff Gold has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended.

There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.  Cluff Gold does not undertake to update any forward-looking statements that are included herein, except in accordance with applicable securities laws.

NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE CONTENT OF THIS PRESS RELEASE.

This information is provided by RNS

The company news service from the London Stock Exchange