INDOCHINA GOLDFIELDS STAKE IN KAZAKSTAN GOLD MINE APPROVED BY SHAREHOLDERS OF BAKYRCHIK GOLD SINGAPORE, April 11 /CNW/Asianet/ - Shareholders of Bakyrchik Gold PLC have voted unanimously to allow Indochina Goldfields Ltd. to acquire a 15 percent direct stake in the Bakyrchik gold mine in eastern Kazakstan, Robert M. Friedland, Chairman of Indochina Goldfields, and R. Edward Flood, President, announced today. Bakyrchik Gold shareholders, voting at an extraordinary general meeting in London yesterday, also unanimously approved increasing Bakyrchik Gold's interest in the Bakyrchik Mining Joint Venture from 40 percent to 85 percent. The remaining 15 percent will be held by Indochina Goldfields, which also owns 27.9 percent of the outstanding common shares of Bakyrchik Gold. Bakyrchik Gold is listed on the London Stock Exchange. Mr. Flood said that the vote clears the way for Indochina Goldfields to move to a combined direct and indirect interest of about 39 percent in a drill-inferred resource of 13 million ounces of gold, with significant potential for expansion. The transaction, confirming Indochina Goldfields as the largest single shareholder of Bakyrchik Gold, has already received the approval of the board of directors of Indochina Goldfields. The government of the Republic of Kazakstan decided last year to fully privatize the Bakyrchik mine by selling its controlling 60 percent interest. The privatization means that the Bakyrchik Mining Joint Venture will now own 100 percent of the existing mine complex, including buildings, equipment, technical information and leasehold rights to the mine property. In voting yesterday, shareholders of Bakyrchik Gold also unanimously approved a financing agreement that will see Indochina Goldfields provide Bakyrchik Gold with a 12-month working capital loan facility of US$20 million, secured by part of Bakyrchik's joint-venture interest in the mine. Minproc Engineers Ltd., of Australia, is currently reassessing original estimates of the Bakyrchik deposit. The application of new ore-processing techniques could see production at Bakyrchik move to an initial level of 100,000 ounces a year in 1998 as part of a multi-phase development program leading to a world-class mining complex capable of producing 750,000 ounces a year. Indochina Goldfields has a portfolio of assets that includes gold and copper properties and other interests in Indonesia, Myanmar, Kazakstan, South Korea, Vietnam and Fiji. Its shares trade on the Toronto Stock Exchange and on the Australian Stock Exchange under the symbol ING. CONTACT: Investor and media please contact Edward Flood, President, North America, (604) 688-5755; Singapore, 65 337-1818/ (ING.)