Operational Update

China Nonferrous Gold

11/03/2014 07:00

Operational Update

      China Nonferrous Gold Limited

      11 March 2014

      China Nonferrous Gold Limited

      (??CNG?? or the ??Company??)

      AIM: CNG

      Operational Update

      China Nonferrous Gold Limited (AIM: CNG), the mineral exploration and       development company currently developing the Pakrut gold project in the       Republic of Tajikistan, today provides the following operational update       with regard to its Pakrut gold project.

      Construction of the underground mine is progressing well and remains on       track for completion this year, with production planned to commence       immediately thereafter.

      The main decline at the mine has reached a depth of 600 metres, out of a       planned total depth of 1,800 metres, while the west ventilation access       decline has reached a depth of 285 metres, out of a planned total depth       of 520 metres.

      In addition to work on the underground mine, construction work       pertaining to associated mine infrastructure is also progressing to       plan. Construction of the access road and bridge to the mine site will       soon be completed and construction of the electricity power line and       substation is expected to complete by the end of September 2014.

      The tender process for contracts relating to the construction of the       various processing plants and the tailing dam has commenced with       contracts expected to be awarded shortly. The majority of equipment       required for the processing plants has been purchased and is currently       being shipped to the mine site.

      Away from mine construction activities, the Company is in the process of       finalising a report on its 2013 drilling and exploration programme, with       results expected to be announced shortly.

      Commenting, David Tang, Managing Director, China Nonferrous Gold       Limited, said:

      ??I am very pleased with the progress the Company has made towards       bringing the Pakrut gold project into production. All construction       activity is on track and I am confident that production will commence       later this year as planned.?

      ENDS

      For further information please visit the Company??s website (www.cnfgold.com)       or contact:

      China Nonferrous Gold Limited

      David Tang, Managing Director

      Tel: +86 10 8442 6681

      Investec Bank Plc

      Jeremy Ellis, Chris Sim, George Price

      Tel: +44 (0)20 7597 5970

      Hume Capital

      Jon Belliss, Guy Peters

      Tel: +44 (0)20 3693 1470

      Blytheweigh

      Paul Weigh, Halimah Hussain

      Tel: +44 (0)20 7138 3204

      Project Summary

      The Pakrut gold project, of which CNG has 100 per cent ownership, is       situated in Tajikistan approximately 120km northeast of the capital city       Dushanbe. Pakrut has estimated total JORC compliant resources of       4,720,000 oz Au (assuming a cut-off grade of 0.5 grams per tonne of       gold) and is located within the Tien Shan gold belt, which extends from       Uzbekistan into Tajikistan, Kyrgyzstan and Western China, and which       hosts a number of multi-million ounce gold deposits.

      CNG is currently in a construction phase with mining contractors on site       developing the underground mine and surface infrastructure.

      About Tajikistan

      Tajikistan is a secular republic located in Central Asia. The country is       a member of the Commonwealth of Independent States and the Shanghai       Cooperation Organisation. Tajikistan hosts numerous operating precious       metal mines as well as the largest aluminium smelter in Central Asia.       CNG's management team has extensive experience in the mining industry in       Tajikistan.