Hong Kong-listed Sino Gold Co. Ltd. announced today that it has updated its proven gold reserves estimate at the company's Jinfeng Gold Mine in southwestern China's Guizhou Province to 2.41 million ounces, up 8.79 percent on the previous year.

According  to  the  announcement,  the  latest drilling results show the Jinfeng Gold Mine contains 14.6 million tons of proven gold ore reserves at a grade  of  5.1  grams per ton. The Jinfeng Gold Mine is 82 percent-owned by Sino Gold and is its first operational project in China.

In addition,  the  Jinfeng  Gold  Mine also contains 6.1 million tons of probable  gold  ore  reserves  at a grade of 5.5 grams per ton, and 1.08 million ounces of probable gold reserves.

Sino Gold  commenced  production  at  the Jinfeng Gold Mine in September 2007, with  a  designed annual capacity of 180,000 ounces per annum, and produced 56,981 ounces of gold in 2007.

In the first quarter of 2008, Jinfeng Gold Mine's output stood at a mere 30,976 ounces  of gold, due to the highest grade of gold ore being lower than expected  and  the three-weeklong power supply shortages in January and February,  according  to  Sino  Gold's first-quarter report released today.

As of the  end  of  March,  Sino  Gold's  total proven and probable gold reserves for all its operations stood at 4.8 million ounces.