Highland Gold Mining - Debt restructuring.

(From AFX CNF)

RNS Number:1299U Highland Gold Mining Limited 02 April 2007 HIGHLAND GOLD MINING LIMITED Refinancing of Syndicated Loan Complete Moscow, 2 April 2007 - Highland Gold Mining Limited ("Highland Gold", or the "Company") is pleased to announce the completion of a debt restructuring programme. The Company has raised US$90 million in new financing with two new debt facilities with two Russian banks comprised of a US$60 million facility with MDM Bank and a US$30 million facility with GazpromBank. This debt restructuring is a key element of Highland Gold's capital management plan and aligns the company's debt maturities with its business plans. The new facilities reduce Highland Gold's cost of debt and provide greater flexibility which is better suited to a growth focused company like Highland Gold. Additionally, this will allow the Company to reclassify these debt facilities as long term borrowings in future regulatory accounting filings. Proceeds from the new financing facilities have been used to complete the early repayment of the existing Syndicated Loan Facility (approximately US$25.6 million) with the remainder of the funds being used to fund a large portion of the final project development costs at the Novoshirokinskoye polymetallic deposit and ongoing development costs at the Mayskoye and Taseevskoye gold deposits. ...