PROGRESS REPORT: A REPORT ON THE APPLE BAY PROJECT RECEIVED FROM JO SHEARER, PRESIDENT, STATED THAT LOAD #23 IS SCHEDULED FOR BARGING MARCH 9, THE TRI DRIVE TRUCKS SHOULD BE RUNNING IN EARLY APRIL AND THE LOAD OUT FACILITY AT PORT HARDY IS BEING UPGRADED.

The first new dump box being fabricated by Langfab is about two weeks from completion and the second dump box is about three weeks away.  So we should expect both the new tri drive trucks and dump boxes to be on the road by early April. 

The new load out facility to handle Electra's Apple Bay material will incorporate an intermediate barge platform supplied by SeaSpan for a radial stacking conveyor.  The design of the new load out facility has been completed by Paul Stefen, P. Eng.  Work has started on assembling the parts and fabrication of the specific electrical components.  A foreshore environmental report has been completed by Nova Pacific regarding this load out facility upgrade. 

Arrangements are now underway to increase the existing reclamation bond in anticipation of receiving a long term mining permit from the BC Government.  Term sheets are being circulated to Canadian investors in order to facilitate their participation.  This funding arrangement regarding the reclamation bond will be coupled with a larger, more comprehensive effort to develop an investor base consisting of a socially responsible investors (SRI) group.

Electra Gold Ltd. is a mining company, specializing in industrial mineral production and dedicated to sustainable mining and preserving the environment.

On behalf of the Board of Directors,

“Douglas Stelling”, Chairman and Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents herein.

For further information, please see website at www.electragoldltd.com or contact Doug Stelling at (604) 647-2227.