Third Quarter Production

KazakhGold Group Ltd
12 October 2006

                                                                OCTOBER 12, 2006


               KazakhGold Announces Unaudited Production Figures
                           For Third Quarter 2006

     
•    Total Production Of 78,361 Ounces Is 27% Increase On Previous Quarter


KazakhGold Group Limited (London: KZG), one of the leading gold producers in
Kazakhstan, is pleased to announce a production update for the quarter ended
September 30, 2006.

Gold production from Aksu, Bestobe and Zholymbet, the Group's three operating
mines in northern Kazakhstan, totalled 78,361 ounces during the third quarter.
This equates to an increase of 27% over the 61,530 ounces produced in the second
quarter and brings total gold produced in the nine months to September 30, 2006
to 173,521 ounces.

Gold sales in the third quarter of 2006 were 97,318 ounces at an average sales
price of US$556/oz compared to US$507/oz achieved in the first half of the year.
Gold sales for the nine months to end-September totalled 162,105 ounces.

Inventory at September 30, 2006 has been reduced to 29,864 ounces from 48,821
ounces at June 30, 2006, and the company intends to reduce this further by year
end.


Further Information:

Aidar Assaubayev                                    Ron Marshman/John Greenhalgh
Deputy Chief Executive                              City of London PR Limited
KazakhGold Group Limited                            Tel:  [phone]
Tel: [phone]                            Mobile: +44  (0) 7767-445390

Website: www.kazakhgold.com


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