Attached please find a press release on: Chalice Gold Mines says its aspirations to emerge as a new gold player in the world class Arabian Nubian shield - the geological province that underlies much of Eritrea - will take a step forward next year with first start to mine construction on its promising US$122 million Koka mine within its Zara project.

Addressing the second day today of the three day Paydirt 2010 Africa Downunder Conference, in Perth, Chalice's Managing Director, Dr Doug Jones, said Koka offered estimated total cash costs of US$338 an ounce "from a very clean deposit metallurgically".