The Group focuses on implementation of feasibility studies and upgrading its production facilities to increase its gold production capacity. The Group has completed the first phase of upgrading its production facilities. Also, a new gold vein has been put into production and more operating gold assets are in the pipeline which will provide steady supply of ores for processing, and thus provide a stability, predictability and consistency in the Group’s performance.

In April 2010, the Group commenced the construction of a new gold production plant with new cyanidation, smelting and separation facilities to be installed.

The construction of the new gold production plant is a key project in the area where the gold mines of the Group are situated and has received the wholehearted support from the local governments. Upon completion, the gold production capacity of the Group will be increased by 1,000 tonnes of ore per day, thereby the Group’s total annual production capacity will be increased to approximately 500,000 tonnes of ore (equivalent to approximately 3 tonnes of gold per annum) with production cost which is highly competitive and below the market average. The new plant will also produce gold bars and has the capacity of recover up to approximately 15,000 tonnes of lead and 30,000 tonnes of copper per annum.