Abstract: In a borehole telemetry system for acoustically transmitting data over a pipe suspended in a borehole, the level of noise encountered requires the use of specific frequencies to transmit data. Any drift in electrical circuits which might affect or be affected by such use of precise frequencies is undesirable. An automatic gain control (AGC) circuit is provided which obtains its feedback from a signal which has undergone some noise filtering so that the AGC circuit is controlled by a signal having a high signal-to-noise ratio. The circuit is arranged so that the wide temperature variations occurring in a downhole environment as well as component deterioration or change do not affect the frequency of the data signal or operation of the system in dealing with a precise frequency.