April 30th, 2003

Assembly of the CVD pinch valves.

The Continuous Variable Discharge concentrator being tested in Knelsons in-house testing facility prior to shipping to Russia.

The Continuous Variable Discharge concentrator received a 100% passing grade on the test stand and is now ready to be packaged and shipped.

SIBERIA, Russia - Knelson is pleased to announce yet another breakthrough application of their patented fluid-bed continuous variable- discharge (CVD) technology. The commercial installation of two Knelson CVD20 model concentrators will be the first of it kind in the world.

"This is a tremendously exciting development for Knelson and for the entire gold industry," stated Doug Corsan; VP Sales at Knelson.

"We've had excellent results from a number of on-site pilot tests of our continuous technology in the recovery of gold sulphides over the past couple of years and we knew that it was just a matter of time until the technology would receive this kind of endorsement from the gold industry," added Corsan.

The units will be incorporated into an eXtreme-Gravity (XG) plant that has been utilizing Knelson batch technology since starting-up in June of 2000.

"As the mining reached the deeper levels of the orebody the content of gold bearing sulphides was increasing and the opportunity for Knelson continuous technology became apparent," commented Mark Van Kleek, Knelson's Technical Director for Europe and C.I.S.

"We arranged to ship the customer a pilot-scale CVD6 concentrator, which quickly confirmed that this mine was a very strong candidate for a full-scale application," commented Van Kleek.

The order was received in late January 2003 and the units were manufactured and shipped in early April. Commissioning is scheduled to take place in July of this year.

Knelson's CVD technology has been developed and is supported globally by Knelson Gravity Solutions (KGS) and their selected technology partners. KGS offers a full range of products and services to the mineral processing industry and caters to clients requiring gravity concentration expertise and turnkey processing solutions.

Having developed the first patented fluid-bed centrifugal concentrator - The Knelson Concentrator - in 1978, Knelson is celebrating 25 years of gravity concentration excellence in 2003.

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