Media Release: January 15, 2004


The Board of Republic Gold Limited ("Republic") is announcing today that following a successful raising of $ 5.8M it will list on the ASX tomorrow (16 January) at 11am at a time when the US Dollar gold price hit a 15 year high last week.

Republic is pleased to announce that its IPO closed oversubscribed with approximately $5,835,000 being raised, resulting in the issue of approximately 29,175,000 shares and 14,587,500 options. Republic will have approximately 32,387,000 non-escrowed shares on issue and a further 25,872,580 escrowed shares on issue. The IPO was solidly supported by shareholders of Marlborough Resources NL, through their priority entitlement. The Directors thank the underwriters to the IPO, Lands Kirwan Tong, who raised a significant amount of the total funds and assisted in getting the required shareholder spread.

Republic Managing Director John Kelly said today that the company will immediately begin to explore its properties in the Hodgkinson Basin in Far North Queensland and the Lucky Draw property in New South Wales. These two locations have a combined gold resource of 315,700 ounces. Republic is very firmly focussed upon early mine development.

Mr Kelly said, "Republic will be immediately employing geological staff in Far North Queensland so that it can commence work in the Hodgkinson Basin before the end of this month. Republic will begin drilling the Atric and Northcote deposits as soon as weather and drilling contractor availability allows."

Mr Kelly said that Republic intends to use consulting structural geologist, Dr Steve King, to produce an initial structural interpretation of the Hodgkinson Basin. Dr King has been instrumental in helping to develop the Fosterville geological model over the past 8 years.

"Republic believes that the geological model applied at the Fosterville Gold Project is applicable to the Hodgkinson Basin," Mr Kelly said.

Republic will also begin planning for the possible development of its Lucky Draw prospect south of Bathurst in New South Wales. In particular, Republic intends to initially drill the Hackney's Creek deposit at depth with a view to increasing the existing resource. The previous owners of the Hackney's Creek did not test the obvious down plunge potential of that deposit.


Republic's directors are Mr. Tom Linardos, Non-Executive Chairman, Mr. John Kelly, Managing Director and Mr. Chris Roberts and Mr. Greg Barns, Non-Executive Directors.

Republic is concentrating its efforts in the Hodgkinson Basin in Far North Queensland. Republic intends to apply the highly successful geological model recently developed at the Fosterville Gold Mine in Central Victoria to its tenements in the Hodgkinson Basin. This geological model now sees Fosterville with a total gold endowment of more than 2,500,000 ounces of gold. The technical directors of Republic have more than 20 years of combined experience with Fosterville. Republic can see close similarities between the geology of Fosterville and that of a number of its projects in the Hodgkinson Basin.

These projects are:-

- A joint venture with BHP Billiton over a series of tenements covering 1,730 square kilometres.

- A joint venture with Mr Neil Stuart covering the 61,000 ounce Atric deposit. Republic believes the geology of Atric and Fosterville very similar.

- A series of 100% owned tenements in the immediate vicinity of Atric covering over 1,000 square kilometres

- A deal with Jackson Gold Limited and International Goldfields Limited on the 147,600 ounce Northcote project, where Republic will own 75% of the Northcote tenements upon completion of the transaction. Republic believes the geology of Northcote is very similar to that of Fosterville.

In total, Republic has 3,246 square kilometres of ground in the Hodgkinson Basin. This is the first time any company with such technical experience will attempt to apply a well developed orogenic gold model to the Hodgkinson Basin and follows in the footsteps of BHP Billiton which pegged its ground on the basis of a similar model.

Republic has also acquired Marlborough Resources NL ("Marlborough") 75 percent interest in its prospective Burraga/Lucky Draw tenement, located in the Lachlan Fold Belt, south of Bathurst in NSW. Marlborough Shareholders approved this transaction on 11 December. Republic sees Marlborough's Burraga/Lucky Draw tenement as fitting its strategy because of its early gold production potential from the existing resource of 107,000 ounces. With this resource and improved infrastructure now available in the Hodgkinson Basin, Republic believes that it is well placed to become a significant gold producer in 5 years.

For more information, please contact: Greg Barns ([email protected]) on 0419 691 846 or John Kelly ([email protected]) on 0418 577579.