Brisbane, May 12, 2008 (ABN Newswire) - The Directors of Republic Gold Limited (ASX: RAU)("Republic" or the "Company") today announce that significant progress has been recently made on the Amayapampa Gold Project in Bolivia, with Republic pushing forward with the update of the Amayapampa Bankable Feasibility Study as quickly as possible.

Republic's Managing Director; John Kelly, said:

"The Company has been able to quickly assemble a new team to work on the Amayapampa Bankable Feasibility Study and move the Project forward. Perhaps the most gratifying point from the past two weeks of work has been the strong support pledged to the Company from its workforce and the mining union and community leaders."

Following a recent visit to Bolivia and North America the following progress has been made on the Amayapampa Bankable Feasibility Study: -

- Discussions were held with the leaders of the union, village of Amayapampa and some of the surrounding communities on an imminent move to a full-time training programme and the wages to be paid upon commencement of the full-time programme. Prior to this the workers were being paid approximately half of the new rate while the training programme was on a half-time basis. The new wages rate is considerably higher than the base labouring rate in Bolivia, with the Company wanting to operate in a socially responsible way.

- In exchange for this wage increase, the workers, communities and union, at both a local and national level, have agreed to give complete support to the Company in its efforts to put Amayapampa into production and to support the Company in its efforts on any other project in Bolivia.

- The Company has recommenced work on the Amayapampa resource block model.

- The Company has secured the services of a range of consultants, all with experience in Bolivia, to commence work on the Amayapampa Bankable Feasibility Study. These include a specialist metallurgical engineering firm, a tailings storage expert, who will also work on water issues for the Project and a mining consultant to commence pit optimisation, costing and mine scheduling work once the block model is finalised.

- An agreement has been signed with Senor Melgarejo to enable the transfer of his 25% interest in some concessions at Amayapampa as envisaged in the Company's initial disclosure to the market on Amayapampa.

- The company providing the training programme to the workforce will step up its efforts to match the aggressive timetable set for completion of all preliminary work leading up to the conclusion of the Bankable Feasibility Study.

- A highly productive meeting was completed with a financier who is keen to assist the Company to finance the Project.

The Company has begun to actively pursue other mineral projects in Bolivia.