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The aim of this paper is to develop a fast numerical method for two-dimensional boundary integral equations of the first kind with logarithm keels when the boundary of the domain is smooth and closed. In this case, the use of the conventional boundary element methods gives linear systems with dense matrix. In this paper, we demonstrate that the dense matrix can be replaced by a sparse one if appropriate graded meshes are used in the quadrature rules. It will be demonstrated that this technique can increase the numerical efficiency significantly.