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Gold/Mining/Energy : Bema(Bgo) and Arizona Star -- Ignore unavailable to you. Want to Upgrade?

To: B. Dent who wrote (10242)	3/20/2001 1:51:45 PM
From: grampa	Read Replies (1) \| Respond to of 10482

Anyone have any comments on the news release?? March 19, 2001 FOR IMMEDIATE RELEASE (Vancouver, B.C.) - Bema Gold Corporation ("Bema" or the "Company") is pleased to announce that construction of the Julietta Mine in Russia is on schedule and gold production at the Refugio Mine in Chile has improved significantly. Julietta Mine Magadan Region, Far Eastern Russia At the 79% owned Julietta Mine, underground development and surface facilities construction are well advanced and all critical path items are on schedule for the commencement of full production in the fourth quarter of 2001. The underground development is progressing on the 850 main adit level and has advanced approximately 850 meters as of the end of February. The total construction cost for the Julietta Mine is projected at US$45 million. The project financing was completed in September 2000 and to date approximately US$32 million has been expended. Production from the Julietta Mine's 350 tonne per day plant is projected at 130,000 ounces of gold equivalent annually, with operating costs, including revenue taxes and royalties, at less than US$100 per ounce. Refugio Mine Chile Cia. Minera Maricunga ("CMM") (50%Bema 50% Kinross) Production from the Refugio Mine has significantly exceeded expectation since in-pit mining recommenced in mid December 2000 after a five week shutdown. Through February 28, 2001, the mine crushed 1,945,000 tonnes of ore (year to date), for a record daily average of 32,967 tonnes, against the budgeted 29,051 tonnes. Gold production for this period was 34,353 ounces, 21% over the budgeted 28,500 ounces, while operating cash costs averaged US$224 per ounce, 14% below the projected US$259 per ounce cost. As previously announced, due to the current low gold price and capital expenditure requirements in the second half of 2001, mining and crushing operations at Refugio are currently planned to cease at the end of May. Gold production will continue for the remainder of the year, as the inventory of gold in the heaps is leached and recovered. The mine will be placed on care and maintenance, to be restarted when gold prices improve. CMM's 2001 Budget estimates the mine will produce 122,000 ounces of gold for the year, with operating cash costs of US$243 per ounce. Based on these projections Refugio will generate positive cash flow for this year. Financial Over the past few months the Company's financial position has improved significantly through the sale of non-core assets, the reduction of corporate overhead costs and project expenditures, and the renegotiation of the Refugio Project Loan Facility. In light of the planned suspension of mining in May, the Company has renegotiated the Refugio Loan repayment terms with Barclay Bank PLC and will use a portion of its cash proceeds to repay US$7 million of the loan during 2001 leaving US$5 million outstanding by year end. Based on current cash projections it is not anticipated that the Company will require any further financing in 2001. On Behalf of BEMA GOLD CORPORATION "Clive T. Johnson" Chairman, C.E.O., & President For more information on Bema Gold please contact Investor Relations at (604) 681-8371 or toll-free 1-800-316-8855 or alternatively contact our web-site at www.bema.com. The Toronto Stock Exchange neither approves nor disapproves the information contained in this News Release. Bema Gold Corporation trades on The Toronto Stock Exchange and the American Stock Exchange. Symbol: BGO. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.