Allied Gold Sells Mobile Gold Plant to Tanami Gold NL

Allied Gold Limited (ASX: ALD) has sold their Mobile Mineral Processing Unit ("MMPEU") to Tanami Gold NL (ASX: TAM) for AUD$2M while retaining rights to use the patented design on other Allied projects.

The deal involves a half payment of AUD$1M prior to the new year with the balance due by October 2006.

The sale of the plant is part of a rationalisation strategy and advances the development of the Simberi Oxide Project in the New Ireland Province of eastern Papua New Guinea.

Tanami will be using the MMPEU to put its Coyote gold project in northern Western Australia into production by mid-next year and is expected to reduce the …