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GTM: 100% Chariot Project Finance Secured

Document date:  Thu 20 Feb 2003
Published:  Thu 20 Feb 2003 10:17:48
Document No:  233113
Document part:  A
Market Flag:  N
Classification:  Issued Capital - Other , Progress Report

GIANTS REEF MINING LIMITED                    2003-02-20  ASX-SIGNAL-G

HOMEX - Perth                                                         

The Company wishes to advise that the Australia & New Zealand Banking
Group (ANZ) has agreed, subject to finalisation of project due
diligence and documentation, to extend an $18.5 million facility to
the company.

The directors anticipate finalising equity raisings to institutional
investors shortly, which are subject to shareholder approval today,
Thursday February 20. The Company will then have the capital in place
to finalise the purchase of the 43% minority interests in the Chariot
project, develop the mine, refurbish the Warrego mill and to fund the
2003/04 discretionary exploration programme.

As part of the debt package the company will be required to establish
a hedge position covering the facility. The company is examining
alternatives which will provide the security the bank seeks whilst
preserving upside exposure to gold price movements.

The Chairman of Giants Reef Mining Ltd, Mr Bill Duchatel, said that
the Company was delighted to receive the support from the ANZ Bank
who have developed a flexible facility designed to meet the needs of
the Company.

Mining of Chariot open pit ore commenced in late January with
underground portal development scheduled to commence in early April.
The first gold from Warrego mill is expected in August this year.

M T A Smith