MESSAGE TO SHAREHOLDERS AND STAKEHOLDERS (AGM)

We have come a long way since 1997.  It had become apparent in 1997 that Electra was in serious trouble because of the decline in the gold price and the failure of the Rambler Tailings Project.  In late 2002, we were able to file all the documents in order to resume our business as a mining company and to begin trading of the shares.  Final approval for the filings was received in April and trading of the shares began the next day.

In order to get the company back on track, a major shares for debt arrangement was worked out with all but the very small creditors.  A vend-in of a new property and a private placement was completed.  Johan T. Shearer has become the most important component of this process and has become a director and president of the company.  Douglas B. Stelling, the founder of Electra and president for 25 years has become CEO and Chairman of the Board.

Mr. Shearer and Mr. Stelling had developed an association in the early 1990s when Electra optioned an industrial mineral property from Mr. Shearer.  Both men recognize the many opportunities that are available to experienced professionals and companies in the industrial mineral business, which makes up about 70% of the entire mineral production in North America.  Plans to build Electra Gold Ltd. into a significant mining company with a broad spectrum of precious and base metal, as well as industrial mineral production, are well underway.  Electra's Apple Bay Project is being prepared to begin production this fall and has potential to produce chalky geyserite and geyserite for the cement industry as well as kaolin, copper and gold.  This property is located within the highly productive mining district, which has produced the Island Copper Mine and the Hushamu gold and copper deposit.

Mr. Shearer and Mr. Stelling are strongly committed to building Electra into a productive and ethical mining company, which will set new standards for excellence.  The effort to find solutions for the problems encountered during the past half dozen years has initiated  the beginning of this new era.  A strong set of values as articulated in the Company's stated Mission, Vision and Philosophy and Values will become the template for new productive business, which we hope will bring success for all shareholders and all stakeholders.

“ The TSX Venture Exchange has in no way approved or disapproved the contents of this news release”