Elixir Gaming enters into agreement with NagaWorld Limited

The only licensed full service casino in Phnom Penh, NagaWorld is a luxury destination resort. Under the terms of the agreement, Elixir Gaming will place electronic gaming machines in a prescribed area of NagaWorld’s 14-story hotel wing and will share in the gross revenue generated by each machine.

It is expected that approximately 140 electronic gaming machines will be placed in the prescribed area and Elixir Gaming and NagaWorld will have joint control over the operation of the electronic gaming machines, including floor staffs and respective audit rights.

Elixir Gaming anticipates the electronic gaming machines to be in operation in time for the upcoming Chinese New Year in late January 2009. Subject to certain milestones and agreement between the parties, the Company expects that the electronic gaming machines placed by it at NagaWorld may be increased to over 200 by the second quarter of 2009.

NagaWorld is Cambodia’s only integrated hotel casino entertainment complex, located in the heart of the nation’s capital city of Phnom Penh. One of Cambodia’s most popular tourist destinations, NagaWorld currently has, among others, 508 rooms, 176 table games, a premium meeting, incentive travel, convention, and exhibition (MICE) facility, a retail shopping area, a collection of restaurants and bars, a karaoke lounge, and a spa.

Clarence Chung, Chairman and CEO of the company, commented, “We are excited to work with such a well-established gaming operator with a proven track record of operating excellence, deep industry experience, and extensive local knowledge and networking. NagaWorld is one of the premier hotel casino resort destinations in Southeast Asia and its five-star amenities rival those of many of the high-end casinos in major gaming markets worldwide.

Through Elixir Gaming’s expertise in developing full scale slot operations, as well as collaborative marketing efforts, we believe we can drive even greater player traffic and gaming revenue to NagaWorld’s already successful operation.”

Stuart Sandon, Senior Vice President of NagaWorld Ltd., added, “Elixir Gaming’s market knowledge and ability to develop and implement turnkey slot floor solutions will help to solidify what is an important component to NagaWorld’s gaming operation. We look forward to the benefit that Elixir Gaming’s expertise and industry relationships, as well as its established and growing base of operations will bring to the long-term success of our facility.”