Ramping-up to Full CapacityRamping-up to Full CapacityInvestor Presentation

February 2009Investor Presentation

February 2009

DisclaimerDisclaimer

These materials include forward looking statements. Forward looking statements inherently involve subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of which are outside of the control of, & may be unknown to, the company.

Actual results and developments may vary materially from that expressed in these materials. The types of uncertainties which are relevant to the company may include, but are not limited to, commodity prices, political uncertainty, changes to the regulatory framework which applies to the business of the company & general economic conditions. Given these uncertainties, readers are cautioned not to place undue reliance on such forward looking statements.

Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, the company undertakes any obligation to publicly update or revise any of the forward looking statements, changes in events, conditions or circumstances on which any such statement is based.

These materials include forward looking statements. Forward looking statements inherently involve subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of which are outside of the control of, & may be unknown to, the company.

Actual results and developments may vary materially from that expressed in these materials. The types of uncertainties which are relevant to the company may include, but are not limited to, commodity prices, political uncertainty, changes to the regulatory framework which applies to the business of the company & general economic conditions. Given these uncertainties, readers are cautioned not to place undue reliance on such forward looking statements.

Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, the company undertakes any obligation to publicly update or revise any of the forward looking statements, changes in events, conditions or circumstances on which any such statement is based.

Forward Looking Statements:Forward Looking Statements:

Additional DisclaimersAdditional Disclaimers

Information in this presentation that relates to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, is based on information compiled by Ron James, who is an employee of the Kingsgate Group and is a member of The Australasian Institute of Mining and Metallurgy. Ron James is a Competent Person under the meaning of the JORC Code with respect to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation being presented. He has given his consent to the Public Reporting of these statements concerning Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, and is in agreement with the contents and format of this presentation.

Information in this presentation that relates to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, is based on information compiled by Ron James, who is an employee of the Kingsgate Group and is a member of The Australasian Institute of Mining and Metallurgy. Ron James is a Competent Person under the meaning of the JORC Code with respect to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation being presented. He has given his consent to the Public Reporting of these statements concerning Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, and is in agreement with the contents and format of this presentation.

Competent Person’s Statement:Competent Person’s Statement:

Any statement or information relating to the potential quantity and grade of an exploration target, specifically the Chokdee Prospect, is based on recent public announcements and is conceptual in nature. There has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource.

Any statement or information relating to the potential quantity and grade of an exploration target, specifically the Chokdee Prospect, is based on recent public announcements and is conceptual in nature. There has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource.

Reporting on Exploration Targets:Reporting on Exploration Targets:

Gold Production IncreasingFull capacity Mar Qtr125-150,000 oz/yr rateCash costs ~US$350/oz in

CY09 Large expanding asset

Growing reserves / resourcesExpanding to double throughput

Solid balance sheet & cashflow

Major new discovery in Gold Belt

Gold Production IncreasingFull capacity Mar Qtr125-150,000 oz/yr rateCash costs ~US$350/oz in

CY09 Large expanding asset

Growing reserves / resourcesExpanding to double throughput

Solid balance sheet & cashflow

Major new discovery in Gold Belt

Kingsgate’s Turn-around Kingsgate’s Turn-around

ChatreeChatree

GoldBelt

Thai focus - listed in ASX 200 Key asset - Chatree Gold Mine Gold producer for 7 years Mine life a further 7-10+ years Rural area; good infrastructure US$30 million debt facility ASX:KCN Mkt Cap: ~US$280M Shares: 93 million + 9M options Held: 15% USA, 25% Europe,

5% Asia, 49% Aust, 6% Directors

Thai focus - listed in ASX 200 Key asset - Chatree Gold Mine Gold producer for 7 years Mine life a further 7-10+ years Rural area; good infrastructure US$30 million debt facility ASX:KCN Mkt Cap: ~US$280M Shares: 93 million + 9M options Held: 15% USA, 25% Europe,

5% Asia, 49% Aust, 6% Directors

Growing Thai GoldGrowing Thai GoldChatree NorthMining LeasesChatree NorthMining Leases

1 mile1 mile

Production GrowthProduction Growth

Full production in Mar-June Qtr ‘09Increased grade to ~2g/tTransition: old to new mining areas

Full production in Mar-June Qtr ‘09Increased grade to ~2g/tTransition: old to new mining areas

Successful ramp-up to full capacitySuccessful ramp-up to full capacity

Costs reducingGrade increasingCosts reducingGrade increasing

Higher grade & higher tonnage will bring reduced costs: ~US$350/oz -> lowest quartile gold producer

Higher grade & higher tonnage will bring reduced costs: ~US$350/oz -> lowest quartile gold producer

Production rate125-150,000oz/yrProduction rate125-150,000oz/yr

Production rate 125-150,000oz/yr from Jan-March ‘09Improved cash flowsForecast ~100,000oz FY09 (to June)

Production rate 125-150,000oz/yr from Jan-March ‘09Improved cash flowsForecast ~100,000oz FY09 (to June)

Production Ramp-up SuccessProduction Ramp-up Success

New mining areas opening up

Dec’08 Qtr Production: 12,771 ozsJan’09 Production: 10,900 ozsJan’09 Cash Costs: US$370/oz Costs decrease to ~US$350/oz

Dec’08 Qtr Production: 12,771 ozsJan’09 Production: 10,900 ozsJan’09 Cash Costs: US$370/oz Costs decrease to ~US$350/oz

Successful Ramp-up to Full production

Successful Ramp-up to Full production

C NorthA Pit

K East

Access to Higher GradesAccess to Higher Grades

Mining A Hill -> A PitHigher grades to lift gold head gradeResource Development drilling for 1st time on west side

Mining A Hill -> A PitHigher grades to lift gold head gradeResource Development drilling for 1st time on west side

Mining A Pit / A Hill– Higher gradesMining A Pit / A Hill– Higher grades

Mining

Drilling30m@5.1g/t

A HillA Hill

Access to Higher GradesAccess to Higher Grades

Mining at C North

Higher grades (>3g/t)commence late in Mar Qtr’09

Mining at C North

Higher grades (>3g/t)commence late in Mar Qtr’09

Mining C North– Higher grades soonMining C North– Higher grades soon

Mining

High Grade>3g/t

Large Asset – Chatree NorthLarge Asset – Chatree North

Average LARGE gold deposits are ~4 Moz

Chatree system ~5 Moz (incl. mined to date)

Drilling will increase Resources/Reserves

Pits could become a Thai Super Pit

Current status: 1.4Moz Reserve 3.2Moz Resource

Average LARGE gold deposits are ~4 Moz

Chatree system ~5 Moz (incl. mined to date)

Drilling will increase Resources/Reserves

Pits could become a Thai Super Pit

Current status: 1.4Moz Reserve 3.2Moz Resource

3mi3mi

1mile1mile

Kalgoorlie Super Pit(same scale)

Kalgoorlie Super Pit(same scale)

Issara Mining Limited

Q East trendQ East trend

Resource Growth - in LeasesResource Growth - in Leases

Chatree North(Looking south)Chatree North

(Looking south)

PlannedPit shellsPlannedPit shells

Currentdrillingareas

Currentdrillingareas

QPitsQ

Pits

A PitA Pit

Issara Mining Limited

Q East trendQ East trend

A PitA Pit

Resource Growth - in LeasesResource Growth - in Leases

PlannedPit shellsPlannedPit shells

Currentdrillingareas

Currentdrillingareas

QPitsQ

Pits

Section

3199RC

Section

19750N Higher grades to lift goldHead Grade

Higher grades to lift goldHead Grade

“A” Pit – Chatree North“A” Pit – Chatree North

A EastA East

Highergrade

undergroundpotential

Highergrade

undergroundpotential

30m @ 16g/t gold30m @ 16g/t gold

12m @ 1oz gold + 10oz silver12m @ 1oz gold + 10oz silver

Immediate drill target

Immediate drill target

A PitA Pit

Resource ‘A’ Pit Reserve ‘A’ Pit1.8 Moz Gold

1.1 Moz Gold18 Moz Silver

Mining

World’s Safest Gold MineAusIMM award

World’s best ISO standards Only mining company granted

Social Accountability SA8000 Zero Environmental Incidents Community projects Training focus - 99% Thai

23% women in management High quality, stable workforce

World’s Safest Gold MineAusIMM award

World’s best ISO standards Only mining company granted

Social Accountability SA8000 Zero Environmental Incidents Community projects Training focus - 99% Thai

23% women in management High quality, stable workforce

Excellent Track RecordExcellent Track Record

Expansion: De-risking ProcessExpansion: De-risking Process

Plant Expansion+ 2.6 mtpa

Plant Expansion+ 2.6 mtpa

Expansion Plant AreaExpansion Plant Area

Current Plant2.4 mtpa

Current Plant2.4 mtpa

Expanded Total5 mtpa

Expanded Total5 mtpa

Review underway to de-risk expansion & financing Increase resource base during process Already purchased/delivered grinding mills

Review underway to de-risk expansion & financing Increase resource base during process Already purchased/delivered grinding mills

ResistivityAnomalous

Zones

ResistivityAnomalous

Zones

Chatree

North

Chatree

North

ChatreeChatree

42mi42mi

GrantedGranted

PendingPending

GrantedGranted

PendingPending

NakhonsawanProvince

PhitsanulokProvince

PhichitProvince

PhetchabunProvince

Chatree NorthChatree North

ChatreeChatree

Regional drilling started New discoveries as large

or greater than Chatree 1st discovery made in

initial drilling of high priority target

Large gold-in-soil anomaly: potential open cut mine

Other drill ready targets Potential for further

discoveries in gold belt

Regional drilling started New discoveries as large

or greater than Chatree 1st discovery made in

initial drilling of high priority target

Large gold-in-soil anomaly: potential open cut mine

Other drill ready targets Potential for further

discoveries in gold belt

New DiscoveriesNew Discoveries

Chatree Resource Growth

Chatree Resource Growth

ChatreeChatreeChokdeeProspectChokdeeProspect

Soil Geochemical Anomalies

Soil Geochemical Anomalies

3.6Moz3.6Moz 20052005

2.0Moz2.0Moz 20032003

4.6Moz4.6Moz 20062006

Potential 5-10MozPotential 5-10Moz

Chokdee Prospect - Chatree Size?Chokdee Prospect - Chatree Size?4

+ m

i4

+ m

i

4+ mi4+ mi

3 m

i3

mi

~2 mi~2 mi

1.2Moz1.2Moz 20002000

Chokdee Discovery

Chokdee Discovery

Section line

Rockchips up to 1,030 g/t gold

Future’s ImprovingFuture’s Improving

Successful Ramp-upFull Production during next 2 QtrsCosts will reduce to ~US$350/oz

Successful Ramp-upFull Production during next 2 QtrsCosts will reduce to ~US$350/oz

Production GrowthHigher GradesProduction GrowthHigher Grades

Resource GrowthExtend mining areasResource GrowthExtend mining areas

Drilling extensions to orebodiesAreas have never been drilledResource growth within leases

Drilling extensions to orebodiesAreas have never been drilledResource growth within leases

New Discoveries Chokdee Prospect1st of Many

New Discoveries Chokdee Prospect1st of Many

New discovery:Potential to be larger than ChatreeMany other drill ready targets

New discovery:Potential to be larger than ChatreeMany other drill ready targets

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