Phoenix Gold Fund, one of the most successful gold focussed funds in the world, has taken a 5% in AIM-listed Peninsular Gold which is seeking to develop gold projects in Malaysia.

The Phoenix Gold Fund is managed from Kuala Lumpur and has delivered a 1000% return to its investors since inception in 2001.

Peninsular is developing gold mining assets in Malaysia's historic Raub gold mining district and expects to enter production in 12 months' time.

Production is projected to be at 25,000 ounces per year at cash costs of less than US$200 an ounce.

The company has total reserves and resources of almost 1 million ounces, and has set itself a target of defining 3-5 million ounces of gold in Malaysia.