ASX / MEDIA ANNOUNCEMENT 10 November 2011 CHAIRMAN'S ADDRESS TO ANNUAL GENERAL MEETING

10am WST Thursday 10 November 2011

Dear Shareholders,
Ampella's priority for this year has been resource growth at Batie West through further exploration of its existing assets. During the year the Company's resource grew from 1.2 million ounces to 2.2 million ounces. Today, we are pleased to announce our upgraded gold resource of 3.1 million ounces, which is the culmination of 3 years of exploration at Batie West. This represents Burkina Faso's largest single undeveloped gold resource at a 1 g/t gold cut off.
The Company continues its aggressive exploration program in the region, by far one of the largest in Burkina Faso. No fewer that fifteen new gold prospects have been identified. Seven rigs have been sourced for up-coming drill programs, including an additional three auger rigs. Drill rigs are currently being mobilized onto the new discovery at Foumbiri where an infill drill program is set to run over the coming months. During the last financial year Ampella drilled 133,000 metres with considerable success and the Company was recognised as the "Gold Explorer of the Year" by the Gold Mining Journal. Detailed results of the drilling are to be found in the Operations section of your 2011
Annual Report.
The build-up of a considerable backlog at the laboratories in Western Africa certainly has not helped in achieving a quick understanding of the extent of the reserves. As a result, Ampella has decided to purchase and build its own on-site preparation laboratory, which will be fully operational in January 2012. Fortunately, that is a timing issue only and the outstanding laboratory results are imminent.
A prefeasibility study is now under way on the Konkera resource and will incorporate the 3.1 million ounce upgrade announced this morning. The study is targeted to be completed by the end of the first quarter in 2012 and it is intended that, shortly thereafter, Ampella will move to commence a bankable feasibility study, hoping to complete that study by the end of the calendar year 2012. On the present timetable Ampella would hope to be pouring gold in early 2014.
I have dealt with these "technical' matters at a very high level. I have asked our MD and CEO, Dr Paul Kitto, to deal with these issues in more detail after we have completed the formal business of the meeting and I have declared the meeting closed.
On the corporate front it has been a year of significant change for Ampella:
www.ampella.com.au

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513 Hay Street Subiaco WA 6008

PO Box 352 Subiaco WA 6904

ABN. 59 121 152 001 phone. +61 8 6142 0980 fax. +61 8 9200 1879

email.

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