PMI Gold Gears for Gold Production in Ghana

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) November 24, 2007 -- With the ink barely dry on its latest African acquisition, PMI Gold Corp.
(TSX.V: PMV) is now looking for the big money that will get its gold properties into production.

PMI Gold president Douglas MacQuarrie says he’s currently trying to raise $53 million to see the new Kubi property, as well as the Obotan site, up and running within two years.

The properties, in the lucrative Golden Triangle in the West African nation of Ghana, have both been mined profitably in the past by industry giants from open pits.

PMI Gold finalized its deal for Kubi with a subsidiary of Canada’s Nevsun Resources Ltd. just last month, issuing 9,000,000 common shares to Nevsun to give that company an 11.6% stake in PMI Gold.

AngloGold Ashanti had worked the Kubi property on option from Nevsun from 1999 to 2005, taking out 500,000 tonnes of 3.65g/t Au for nearly 59,000 ounces of gold.

According to an NI 43-101 report completed in August, Kubi contains an indicated resource of 5.13 million tonnes, grading 3.66 g/t Au for 604,085 ounces of gold, and an inferred resource of 5.38 million tonnes, grading 1.88 g/t Au for 315,079 ounces of gold.

Kubi, covering 19.16 square kilometers in the Ashanti Gold Belt, is just 20 km south of AngloGold Ashanti’s Obuasi mine, in operation for 110 years.

Kubi is also 46 km southeast of PMI Gold’s Obotan property, lying in the Asankrangwa Gold Belt. PMI Gold picked up the property in Nov. 2006, after Resolute Mining of Perth, Australia shut its open-pit operation in 2003 when the price of gold fell below US$320 per ounce.

A total of 730,000 ounces of gold had been produced at Obotan, with 590,000 ounces of an approximate grade of 2.2g/t gold from the Nrkan pit, and a further cumulative 140,000 ounces from the Adubiaso and Abore pits.

“Kubi is closer to production than Obotan as it already has a mining lease,”
MacQuarrie wrote in an e-mail from Europe, where he is attending trade shows.
“Obotan is a prospecting license which needs to be upgraded to a mining lease.”

“Also at Kubi,” he went on, “the mineralization is at a higher confidence level - in the NI 43-101-indicated category.”

PMI Gold doesn’t yet have in independent resource calculation for Obotan, MacQuarrie wrote, but in-house estimates look good. “Quite frankly, we are so positive that we have ore bodies at both Kubi and Obotan, we will commence the development work as soon as we have the funds.”

“We are now in the market to raise $3 million in equity and $50 million in convertible debt or project financing to put both of them in production over the next 2 years.”

PMI Gold is planning small-scale underground mining to get at the ore still left from the open-pit work. AngloGold Ashanti trucked its Kubi ore to Obuasi for processing, and PMI Gold is looking to do something similar.

The rest of the release is here: http://www.resourcexinvestor.com/news.php?id=3288

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