  We report on a recent Chandra ACIS-S observation of the Circinus galaxy.
These observations confirm that the nuclear spectrum results from reflection of
a hard X-ray continuum by ``neutral'' matter. The nuclear X-ray emission is
extended by \sim 60 pc in the general direction of the optical ``ionization
cone''. An image in the Fe K\alpha line has been made and shows that this
emission extends up to 200 pc from the nucleus. There is also large-scale X-ray
emission both along and perpendicular to the galaxy disk. Thermal plasma models
for this extended gas indicate temperatures kT \sim 0.6 keV, though cooler
photoionized gas is also possible. The X-ray emission from gas in the disk is
probably associated with the starburst ring of radius 150--250 pc. The gas
extending \sim 600 pc perpendicular to the disk is closely correlated with the
high-excitation optical-line emission. In addition to its soft X-ray emission,
we tentatively detect a hard component from the gas above the plane; this hard
emission may represent nuclear X-rays scattered into our line of sight by
electrons in the outflowing wind. Ten compact sources are found in the central
kpc of the galaxy. The most luminous has an X-ray luminosity of \simeq 10^{40}
erg s^{-1} and seems to be an X-ray binary in the Circinus galaxy with a
black-hole mass exceeding 80 M_{\odot}.
