ASARA RESOURCES LIMITED — Capital/Financing Update 2014

Oct 27, 2014

ASX/Media Announcement

28 October 2014

Significant Reduction in the Purchase Price for Korongou

• Staged cash payments for the purchase of Korongou substantially reduced from US$3 million to US$1.4m (US$1.1 million already paid)

• The next cash payment of US$400,000 that was due in December 2014 has been decreased by US$100,000 with US$200,000 due in November 2014 and US$100,000 due in June 2015.

• Cash saved from the successful renegotiation of the cash payments will allow Golden Rim to expand its exploration work at Korongou.

• The Ministry of Mines in Burkina Faso has extended the Korongou Permit for a further three years.

Golden Rim Resources Ltd ( Golden Rim and Company, ASX: GMR) today announced that it has successfully renegotiated the agreement to acquire the Korongou Project from Epsilon Gold Mines Ltd ( Epsilon ).

Following a previous renegotiation, Epsilon agreed to Golden Rim acquiring a 90% interest in the Korongou Project following staged cash payments of US$3 million. To date, Golden Rim has made relevant payments of US$1.1 million with a further payment of US$400,000 being due on 31 December 2014 and the balance of US$1.5 million within 7 days of any decision to mine by Golden Rim.

Under the new renegotiations, Golden Rim will now acquire a 90% interest in the Korongou Project following staged cash payments of US$1.4 million comprising US$1.1 million already made, US$200,000 payable on 14 November 2014 and US$100,000 payable on 30 June 2015.

In addition to the above staged payments, upon a decision to mine, Epsilon is entitled to receive a discovery bonus of US$1 per ounce on 90% of any JORC gold resource reported to the ASX at the time a decision to mine is made by Golden Rim.

Other terms of the agreement remain unchanged.

Golden Rim is pleased to have been able to renegotiate the agreement. During the difficult market conditions, the Company remains aware of the need to preserve cash for on-ground exploration activities.

Golden Rim is also pleased to advise that the Ministry of Mines in Burkina Faso has extended the Korongou Permit for a further three years.

The current exploration program at Korongou is progressing well.

Golden Rim Resources Ltd I ABN 39 006 710 774 I Level 2, 10 Outram Street, West Perth WA 6005, Australia I PO Box 378, West Perth WA 6872, Australia www.goldenrim.com.au I info@goldenrim.com.au I T + 61 8 9481 5758 I F + 61 8 9481 5759

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Two auger rigs are now operating within the project area and to date 518 holes have been completed for 2,026m on a 200m x 25m spacing as part of a planned program comprising 4,000 holes for 20,000m.

A 284 line km Induced Polarisation (IP) and ground magnetic survey (100m x 25m spacing) being conducted by SAGEX Afrique is on schedule for completion towards the end of November 2014. Approximately one half of the geophysical survey has been completed to date.

-ENDS-

For further information, please contact:

Hayley Butcher Company Secretary +61 8 9481 5758

Further Company Information

E: info@goldenrim.com.au W:goldenrim.com.au

Capital Structure

Issued Shares:1,057,771,216 Unlisted Options: 95,416,667

Major Shareholders

Aurora Minerals 19.5% Acorn Capital 10.58% Royal Group, Abu Dhabi 5.15%

Share Registry

Security Transfer Registrars Pty Ltd 770 Canning Highway APPLECROSS WA 6153 AUSTRALIA T: + 61 8 9315 2333 F: + 61 8 9315 2233 E: registrar@securitytransfer.com.au

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