KGL RESOURCES LIMITED — Capital/Financing Update 2013

Apr 30, 2013

ASX/MEDIA RELEASE

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ASX: ROL 1 May 2013

ROBUST AGREES TO ACQUIRE ADVANCED LOW-COST GOLD-COPPER PROJECT IN ONE OF THE WORLD’S MAJOR GOLD PROVINCES

• 2010 Definitive Feasibility Study confirms Andash Project (Kyrgyz Republic) as a very low-cost gold-copper project

• US$241m NPV8 at US$1,300 Au (oz) and US$3.50 Cu (ib)

• Projected gold cash cost ~US $30/oz after copper credits

• Forecast mine life 6 years at annual production of ~ 70,000 oz Au and 7,400t Cu

• o Simple and conventional open pit and flotation plant

• Established JORC resources and reserves with expansion likely to significantly increase mine life

• JORC Resource Estimate 679,023 Au (oz) plus 77,308 Cu (lb)

• o JORC Reserve Estimate 539,730 Au (oz) plus 63,486 Cu (lb)

• All cash transaction to be acquired from ASX-listed Kentor Gold Limited o Funding of A$15 million acquisition cost from partial sell-down of Romang Island Project, balance from existing cash reserves

• Transaction in line with Robust’s strategy of building Asian-focused low-cost precious metals portfolio

Robust Resources Limited (‘Robust’ or ‘the Company’) is pleased to announce that it has agreed to acquire the Andash Mining Company in the Kyrgyz Republic (“Andash”) from Kentor Gold Limited (ASX: KGL). Andash owns 80% of the Andash Copper-Gold project, which is located in the Central Asian Orogenic Belt, which hosts some world-class gold deposits, including Muruntau (110 Moz Au), Almalyk (80 Moz Au Eq) and Oyu Tolgoi (50 Moz Au Eq), see Figure 1. The government of the Kyrgyz Republic will own the balance of the project.

Robust will acquire Andash for a total cash consideration of A$15 million including a deposit of A$1 million. The transaction is subject to certain conditions precedent and due diligence, and is expected to complete by the end of June. Funding of the acquisition will be non-dilutive to existing shareholders, with funds to be raised via the partial sell-down of the Romang Island Project, with the balance coming from existing cash reserves.

The acquisition is in line with Robust’s strategy of creating an Asian-focused low-cost mining and exploration company. The transaction has the support of its largest shareholder and project partner in the Romang Island project, the Salim Group, who have a strong presence in the region, including high-level strategic relationships in the adjacent People’s Republic of China.

The Project

The Andash project has reserves[1] of 539,730 ounces of gold in place and 63,486 tonnes of copper with significant exploration upside. A Definitive Feasibility Study[2] (DFS) has been completed and an existing team of local mining and exploration professionals have been retained to progress the Project’s development. The acquisition also includes a valuable multi-million dollar inventory of mining plant and equipment already deployed in the Kyrgyz Republic.

Based on a US$3.50 per pound copper price, and a gold price of US$1,300 per ounce, the Project has a net present value (NPV8) of US$241 million. The DFS also concluded that, when complete, the mine would be one of

the lowest cost producing gold mines in the world. The project is well serviced by existing infrastructure including road, rail, power and water.

Robust’s Managing Director Gary Lewis commented: “The Andash acquisition is an excellent transaction for Robust. Our strong cash position, and a supportive largest shareholder that has experience in the region, has allowed us to capitalise on this unique opportunity, and acquire a project that has significant unlocked value.

“The transaction is in line with our strategy of building a pipeline of advanced, low-cost, precious metal projects in the Asian region, a strategy we have articulated for some time. Andash will be the most advanced project in the Robust portfolio and we believe we will have the funding support and in-country team in place to commence the development of this project on an accelerated timeline.

“Robust’s strategy has not changed and we remain fully committed to our operations in Indonesia and the Philippines. We are currently advancing the development of the Lakuwahi Oxide Gold-Silver Project on Romang Island, Indonesia, and are considering a smaller scale start-up operation there to generate short-term cash flows on a limited capital base. This will in turn fund future larger-scale operations without blowing out our capital structure.

“We look forward to updating shareholders further at the completion of this transaction, and we expect to announce a funding solution in the next few days which is likely to take the form of previous non-dilutive funding solutions.”

Note: Due to the size of this transaction the Company has made application to ASX under listing Rule 11.1.2 for a determination as to whether the transaction involves a significant change to the scale of the Company’s activities such that ASX will require the approval of shareholders to the transaction at a general meeting. The outcome of that application will be separately announced.

About Robust

Robust Resources is a precious and base metals explorer and developer with projects in Indonesia, the Philippines and Australia. The flagship asset is a 77.5% managing interest in the Romang Island projects, in Indonesia, which incorporate an interim Indicated and Inferred JORC mineral resource estimate of 592 thousand ounces of gold, 27.7 million ounces of silver, 95 million pounds of copper, 697 million pounds of lead and 678 million pounds of zinc (resource table; see website: www.robustresources.com.au). Drilling has also identified the presence of near-surface high-grade manganese deposits. Robust’s dual focus is to become a significant low cost precious and base metal producer on Romang Island as well as continuing its positive record of new discoveries from its portfolio of exploration properties. Robust trades on the Australian Securities Exchange (ASX) under the symbol ROL and on the Frankfurt Exchange under the symbol RO7.

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For further information please contact Gary Lewis – Managing Director on +61 2 8259 4799

Competent Persons Statements

The Resource and Ore Reserve Estimates in this announcement are based on information compiled by Dr. Phil Newall, who is a Chartered Engineer and Fellow of the Institute of Materials Minerals and Mining and a full time employee of Wardell Armstrong International. Dr. Newall has sufficient experience, which is relevant to the style of the mineralisation and the type of deposit under consideration and to the activity to which he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Dr. Newall has consented to the inclusion of this information in the form and context in which it appears in this announcement.

1. The Andash JORC Resource and Reserves Estimates was independently estimated by Wardell Armstrong International.

2. The Definitive Feasibility Study was completed in March 2010 by Kentor Gold Limited (ASX: KGL).

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Figure 1: Regional map highlighting the Central Asia Orogenic Belt and major deposits

Andash JORC Resource Estimate

Andash JORC Resource Estimate	Andash JORC Resource Estimate	Andash JORC Resource Estimate	Andash JORC Resource Estimate	Andash JORC Resource Estimate	Andash JORC Resource Estimate	Andash JORC Resource Estimate
Category	Type	Tonnage (kt)	Grade		Metal
			Au(g/t)	Cu(%)	Au(oz)	Cu(t)
Measured	Oxide	923	0.88	0.50	26,114	4,638
	Sulphide	3,160	1.21	0.47	122,932	14,900
Indicated	Oxide	810	0.85	0.43	22,136	3,510
	Sulphide	14,305	1.11	0.38	510,507	54,260
Total		19,200	1.10	0.40	679,023	77,300

Table 1: Andash JORC Resource estimate

Andash JORC Reserve Estimate

Andash JORC Reserve Estimate	Andash JORC Reserve Estimate	Andash JORC Reserve Estimate	Andash JORC Reserve Estimate	Andash JORC Reserve Estimate	Andash JORC Reserve Estimate	Andash JORC Reserve Estimate
Category	Type	Tonnage (kt)	Grade		Metal
			Au(g/t)	Cu(%)	Au(oz)	Cu(t)
Proven*	Oxide	1,129	0.77	0.43	27,995	4,867
	Sulphide	2,921	1.17	0.46	110,210	13,408
Probable*	Oxide	1,389	0.68	0.31	30,155	4,315
	Sulphide	10,559	1.09	0.39	371,370	40,896
Total		16,000	1.05	0.40	539,730	63,486

Table 2: Andash JORC Reserve estimate