SIGNIFICANT ANTIMONY MINERALISATION ENCOUNTERED AT NORTHCOTE

September 24th, 2004

The Directors of Republic Gold Limited announce that the Company has found significant antimony mineralisation at its 75%-owned Northcote Project. In the past two months the antimony metal price has risen significantly due largely to demand and shortfall in supply in China.

The Company has recently completed its first pass drilling programme at Northcote. The results of the programme have been very satisfactory from a gold perspective. In addition to the good gold results obtained there were a number of intersections of high grade stibnite, or antimony sulphide.

The standards employed by the laboratory in analysing for antimony were such that the maximum accurate sample result was 2.5%. There were a number of samples where the grade exceeded 2.5%, which will require re-assaying. This will be done over the next few weeks. The results produced to-date indicate that there is a possibility that a saleable antimony concentrate could be produced from Northcote mineralisation potentially adding considerably to the in-ground value of the mineralisation.

Antimony’s main use is as a fire retardant, with antimony trioxide being the value added material that is used as the fire retardant.

A downturn in product supply has seen the price rise to over US$3,000 per tonne of antimony metal. The price was ~US$2,400/t a month ago. At US$3,000/t and an exchange rate of 70c, 1% antimony in the ground is worth ~AUD$43/t. At the current gold price of ~AUD$575/oz this equates to a gold grade of 2.3 g/t Au. The current inferred resource grade at Northcote is 2.8 g/t Au, meaning any potential saleable antimony by-product would be highly valuable.

Over the past few decades the antimony market has been dominated by an oversupply from the Chinese, which has resulted in the price of the metal being at consistently low levels. In recent months the price has soared, with a number of the Chinese mines closing down apparently because they are out of ore or are so old and dangerous that the Chinese government has closed them down. Much of the world’s smelter capacity is in China and this is now operating at levels down around 50%. Unlike the price rises seen in other base metals, it appears that a genuine production shortfall is driving demand for antimony.

For more information, please contact: Greg Barns (gbarns@republicgold.com.au) on 0419 691 846 or John Kelly (jkelly@republicgold.com.au) on 0418 577 579.

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