PERSEUS MINING LIMITED — Interim / Quarterly Report 2012

Oct 15, 2012

FURTHER SOLID PERFORMANCE AT EDIKAN GOLD MINE

Highlights

Operations - Edikan Gold Mine (“EGM”), Ghana

Key Operating Metrics	Units	**September 2012Quarter **	**September 2012Quarter **	**June 2012Quarter **	**June 2012Quarter **
		**Actuals1 **	Guidance	**Actuals1 **	Guidance
Gold produced Cash costs(1) Cash costs including royalties	oz US$/oz US$/oz	52,610 475 569	55-60,000 575 -
				52,670	50-55,000
				676	690
				782	-
Averagegold salesprice(2)	US$/oz	1,463	-	1,504	-

1) Cash costs are C1 cash costs as per Brook Hunt definition, plus adjustments for US$18.0M of costs of deferred waste stripping and ore inventory movements. (Refer to discussion on page 4)

• 2) Includes realised price of both spot and forward sales of gold.

• Gold production of 52,610 oz during the September 2012 Quarter (the “Quarter”) in line with June 2012 Quarter (the “June Quarter”) production but 4% under forecast production guidance range of 55-60,000 oz for the Quarter;

• Cash costs reduced to US$475/oz, 30% lower than June Quarter cash costs and 17% lower than cost guidance;

• Guidance for the December 2012 Quarter and the full financial year remains unchanged;

• Total ore and waste movements (4,119,664 bcm) 12% above target;

• Head grade (1.46 g/t) 5% above target and total plant recovery (87.7%) in line with target;

• Average hourly mill throughput rate (761 dry tonnes per hour (“dtph”)) equates to annual throughput of 6.0Mt at 90% plant availability;

• SAG mill utilisation rate (76%) largely reflects impact of unexpected non-mechanical issue in primary crusher early in the Quarter.

Development - Sissingué Gold Project, Côte d’Ivoire

• Exploitation Licence for the Sissingué Gold Project granted on 8 August 2012;

• Detailed review of mine plan, capital and operating cost budgets completed indicating moderate changes to October 2010 Feasibility Study economics;

• Early development works approved and underway;

• Full scale development decision on hold pending clarification of the fiscal regime applicable to the project.

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Exploration – Ghana and Côte d’Ivoire

• 23,719m of drilling completed including 5,115m in Ghana and 18,604m in Côte d’Ivoire;

• Significant drill intercepts from multiple deposits.

Corporate

• Available cash balance of $108.758M (excludes $8.641M in escrow) plus 2,929 oz of gold on hand and a further 5,332 oz of gold at the refinery at 30 September 2012.

• US$85M project debt facility restructured into a revolving line of credit with the facility limit increased to US$100M;

• Facility currently drawn to US$54M with associated hedging of 230,000 oz at US$1,365/oz.

Ghana

Edikan Gold Mine

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Summary

Gold production of 52,610 oz during the Quarter was 4% below the bottom end of guidance of 55-60,000 oz and approximately equal to production in the June Quarter. Cash costs (after adjustment for movements in stockpiles and waste stripping) during the Quarter of US$475/oz were 17% lower than guidance of US$575/oz and 30% lower than the cash costs incurred in the June Quarter of US$676/oz.

Production guidance for the December Quarter remains unchanged at 65,000oz to 70,000oz of gold at a cash cost of US$575 per oz. Based on larger than expected ore stockpiles, mining progress and recent mill performance the guidance for the combined March and June 2013 Quarters has been increased to 127,000 to 143,000oz of gold production at a cash cost of US$625 per oz. This leaves the Company’s guidance for the full 12-month period unchanged at 245,000 to 265,000oz at a cash cost of US$600/oz.

Key Production Statistics

Parameter	Unit	September Quarter 2012	June Quarter 2012 March Quarter 2012
Total material mined bcm1 4,119,664 tonnes 8,858,557 Waste to ore strip ratio bcm:bcm 4.66 tonnes:tonnes 3.41 Ore mined			3,659,923 4,760,351 8,552,089 9,932,636 3.77 4.22 3.12 3.51 172,999 907,846 1,904,965 1,294,328 0.9 1.0 1.3 1.3 3,631,770 2,703,000 0.8 0.9 1,149,193 1,027,540 1.6 1.4 87.4 83.7 52,670 38,796
 Oxide tonnes 130,004
 Primary tonnes 1,878,573
Ore grade mined
 Oxide g/t Au2 1.0
 Primary g/t Au 1.2
Ore stockpiles
 Quantity tonnes 4,358,374
 Grade g/t Au 0.8
Mill throughput tonnes 1,283,195 Milled head grade g/t Au 1.5 Gold recovery % 87.7 Gold produced oz 52,610

1. Denotes bank cubic metres 2. Denotes grams/tonne of gold

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Mining

The total of 4,119,664bcm of ore and waste mined during the Quarter included 130,004t of oxide ore at 1.0g/t gold and 1,878,573t of transition and primary ore at 1.2g/t gold. The 13% increase in material mined relative to the June Quarter mainly reflected a reduction in lost production time due to wet weather during the Quarter.

During the Quarter, ore stockpiles (including both high and low grade ore, plus crushed ore but not mineralised waste) increased to 4,358,374t grading 0.8 g/t which comprised approximately 62% oxide ore and 38% primary ore, with the weighting of sulphide ore relative to oxide ore progressively increasing as mining goes deeper in the pits. In terms of grade, approximately 30% of the stockpiled ore is classified as high grade, containing greater than 0.8g/t gold while 70% of the ore is classified as low grade containing 0.4 to 0.8 g/t gold.

Processing

Total mill throughput for the Quarter was 1,283,195t, up 12% on throughput in the June Quarter and up 25% relative to the March Quarter. Gold production for the Quarter was relatively unchanged at 52,610 ounces with higher throughput and recovery being offset by slightly lower head grade. Average mill throughput rates increased to 761 dtph up from 734dtph in the previous quarter.

During the Quarter a total of 259 hours of crusher production was lost due to two shutdowns linked to the same unusual event. In mid-July the primary crusher head nut came loose and damage was sustained to both the nut and shaft sleeve. The head nut was replaced with a spare, however it first had to be modified t to fit. It is suspected that an incorrectly sized nut was supplied by the vendor. The shaft sleeve had to be repaired and returned to service. The crusher was nursed through to early September when the modified nut failed, and a new nut, new sleeve and upper and lower mantle liners were installed. A review is in progress with the assistance of the vendor to ensure supply and support issues are addressed and that this type of event does not re-occur.

During these events the Company was able to complete a mill discharge reline in July and bring forward a feed end reline during the September event. An opportunity to complete a shell reline with the feed end was missed due to the late arrival of liner bolts. The bolts were subsequently airfreighted by the supplier and the shell reline was effected later in the month at the cost of an additional 70 hours mill downtime.

Since the replacement of the mantle and mill liners, both the crusher and mill have set new seven-day production records of 155,714 wet tonnes and 144,019 dry tonnes respectively.

Other unplanned shutdowns to address mechanical maintenance or wear issues have reduced significantly during recent months largely demonstrating the effectiveness of the preventative maintenance program.

The table below shows the improvement in the number of days of key mill throughput and production targets being met and days lost to unplanned events over the last six months.

Key Daily Mill Performance Improvement Indicators

**Month **	Days of millthroughput exceeding:	Days of millthroughput exceeding:	Days of millthroughput exceeding:	Days of millthroughput exceeding:	Gold Produced	Gold Produced	Gold Produced
	17.5kt/d1	19kt/d	20kt/d	days lost2	kt/d avg.3	average **oz/day4 **	days +700oz5
April May June July August September	9 8 1 5 12 11	1 1 0 2 7 7	0 0 0 1 2 1	1 1 3 6 0 5	14.0 14.4 11.5 15.8 15.7 16.0
						626	13
						601	11
						505	4
						650	9
						628	13
						688	17
October6	10	10	6	0	19.2	764	10

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Notes:

• 1) kt/d denotes thousand dry tonnes per day

• 2) days below 10% mill utilisation

• 3) average daily throughput excluding days below 10% mill utilisation

• 4) average ounces produced for days in excess of 10% mill utilisation

• 5) days in which more than 700 ounces of gold recovered

• 6) as at 12 October.

Key Quarterly Financial Statistics

Parameter	Units	September Quarter 2012	June Quarter 2012 53,279 1,504 716 2.70 9.30 1.41 (2.1) 676 106 782 11.4	March Quarter 2012 45,490 1,513 975 2.59 8.63 1.20 (9.8) 723 107 830 8.8 1,309
Total gold sales Average sales price Gross cash costs including:  Mining cost  Processing cost	oz US$/oz of gold sold US$/oz US$/tonne of material mined US$/tonne of ore milled
		50,785
		1,463
		817
		2.89
		9.70
 G & A cost	US$M / month	1.71
Accounting adjustment Adjusted cash costs Royalties Adjusted cash costs including royalties Sustaining capital and plant upgrade costs	US$M US$/oz US$/oz US$/oz US$M	(18.0)
		475
		94
		569
		6.1
Total site cash cost	US$/oz	**1,094 **	1,038

Of the 50,785oz of gold that were sold during the Quarter, at a weighted average delivered price of US$1,463/oz, 30,000oz were delivered into forward sales contracts at an average price of US$1,225/oz with the remaining gold sold at spot prices.

Perseus has a total outstanding hedge commitment, as at 30 September 2012, of 230,000 oz of gold to be delivered at an average gold price of US$1,365/oz in quarterly instalments up to and including December 2015 as a result of the debt restructure (see the Corporate Section of this report ).

The cash cost for the Quarter of US$475/oz compared very favourably to guidance of US$575/oz and to the comparable cost in the June 2012 Quarter. A significant factor in the cash costs being so low relative to guidance and past performance was the material adjustment of US$18.0M to gross cash costs of US$817/oz. This adjustment is largely the result of a movement in the value of the ROM low grade ore stockpile caused by three factors including a significant increase in tonnage of low grade (+34% or 764,899t), the increase in the contained gold in the low grade ore (+45%) and the increases in gold price (+11%). (Note: the low grade ore stockpile is valued on the basis of net realisable value rather than cost of production whilst the high grade ore stockpile is valued at cost of mining).

It should also be noted that the increase in the gross cash costs relative to the June 2012 Quarter can be attributed to a 7% increase in unit mining costs for the period, a 4% increase in the unit processing costs reflecting the expensing of materials plus the use of additional cranes and tools to deal with the mechanical issues associated with the primary crusher; and a increase of 21% in general and administrative (G&A) costs related to several ‘one off’ items.

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A total of US$6.1M of capital was expensed during the Quarter including US$1.3M on tailings dam modifications, US$1.8M on construction of a new haul road to the site of the soon to be developed Fetish open pit, and US$1.0M on community relations.

Ghana

Exploration

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EDIKAN GOLD MINE

The Company completed 5,115 meters of drilling at the EGM (13,447 metres in June 2012 Quarter) and adjoining licenses during the September 2012 Quarter. Activity focused on core drilling several prospects to obtain more detailed geological information aimed at improving understanding of the nature of and controls on mineralisation in the different deposit styles in the district.

Hole DDD018 at Dadieso was significant as it intercepted a granitoid intrusive over a 20m interval. The hole returned 32.5m at 3.5g/t from 39.6m and 11.1m at 1.5g/t Au from 82.7m.

Re-logging of diamond drill core and RC cuttings from a number of deposits is continuing as part of a broader review of EGM geology and mineralisation controls.

Significant recent drill intercepts from EGM are as follows:

Core drilling results from the Dadieso deposit included:

• DDD011 - 8.0m at 2.9g/t from 103.1m, 4.8m at 4.7g/t from 135.2m, 3.7m at 1.9g/t from 171.5m, 3.6m at 2.1g/t from 204.6m and 6.9m at 1.8g/t Au from 215.6m

• DDD012 - 2.5m at 2.2g/t from 28m, 4.6m at 1.0g/t from 32.9m, 4.6m at 2.2g/t from 91.5m and 18.6m at 1.7g/t Au from 139.1m.

• DDD014 - 7.5m at 2.9g/t from 101m, 4m at 1.4g/t from 116m, 1.5m at 3.8g/t from 144.5m and 1.1m at 50.0g/t Au from 155.5m.

• DDD018 - 32.5m at 3.5g/t from 39.6m and 11.1m at 1.5g/t Au from 82.7m. DDD020 - 9.1m @ 1.8g/t from 2.5m, 18.6m @ 1.8g/t from 23m and 19.1m @ 2.8g/t Au from 52.9m

Core drilling results from the Nkonya prospect included:

NKDD005 - 16.3m @ 1.2g/t Au from 98.7m NKDD010 - 12.8m @ 2.9g/t from 9.3m, 8.9m @ 2.5g/t from 33.2m and 4.9m @ 1.2g/t Au from 151.2m

Details of the intercepts are tabled in the exploration update released on 9 October 2012.

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Côte d’Ivoire

Exploration

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TENGRÉLA GOLD PROJECT (INCLUDES SISSINGUÉ DEPOSIT)

The Company completed 18,604 metres of drilling on various prospects located on the Tengréla tenements during the September 2012 Quarter (49,578 metres June 2012 Quarter).

The next Mineral Resource increase for the Sissingué deposit is expected to be completed in January 2013, subject to assay turnaround for the final 2,000m of the current infill drilling program.

A number of significant intercepts from infill drilling of the Sissingué deposit were returned and are listed below. Additionally, results have been returned for exploration drilling on the Kanakono, Papara, Logbog and Zinguinasso prospects. These prospects will not be included in the next Mineral Resource upgrade.

Deeper core drilling results from the Sissingué gold deposit included:

SD221 SD235 SD236 SD268 SD276

SD277 SD279

SRD1090

• 1.5m at 85.0g/t Au from 53.2m.

• 4.5m at 9.7g/t from 33.7m and 16.3m at 2.5g/t Au from 130m.

• 47.5m at 1.4g/t from 37.5m and 8.5m at 2.1g/t Au from 109.5m.

• 21m at 3.2g/t from 249m

• 6.5m at 10.2g/t from 258.6m, 2.5m at 5.2g/t from 284.6m and 4.2m at 2.5g/t Au from 303.7m.

• 1.7m @ 55.2g/t from 210m including 0.5m @ 169.0g/t Au.

• 3.4m at 3.05g/t from 140.6m, 37.7m at 2.1g/t from 185.4m, 5m at 2.3g/t from 232m and 8m at 2.6g/t Au from 246m

• 11m at 7.5g/t from 274m and 9m at 1.3g/t Au from 288m.

Extensional RC drilling results from the Sissingué gold deposit including:

• SRC1136 - 10m at 5.1/t from 38m including 2m at 17.2g/t Au from 42m. SRC1148 - 4m at 81.8g/t from 2m including 2m at 155g/t Au from 2m.

Exploration drilling at Papara, including 2m at 10.8g/t from 36m and 2m at 18.7g/t Au from 44m. Exploration drilling at Logbog, including 4m at 13.1g/t from 10m, 2m at 37.8g/t from surface and 22m at 1.3g/t Au from 22m.

Exploration drilling at Sissingué ROM Pad included 6m at 6.8g/t Au from 54m.

Details of the intercepts are tabled in the exploration update released on 9 October 2012.

Mbengue, Côte d’Ivoire

A 22,000m first pass aircore drilling program has commenced at Mbengue on the 5 km by 2 km Kanadi gold in soil anomaly located 7 kilometres north of Randgold Resources’ Tongon mine, with 1,720 metres drilled thus far. Drilling has intercepted quartz veined diorite to granodiorite. Assays are pending.

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Côte d’Ivoire

Sissingué Gold Mine Development

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Permiting and Fiscal Arrangements

On Wednesday, 8 August 2012, the government of Côte d’Ivoire announced the grant of an Exploitation Permit (“EP”) to a subsidiary of the Company (Occidental Gold SARL or “Occidental”) for the development of its Sissingué gold deposit, part of the Tengrela Gold Project, in northern Côte d’Ivoire.

A draft Mining Convention lodged by the Company in June 2012 containing potential fiscal terms under which the Sissingué Gold Mine could be developed and operated is still under consideration by the Government.

The Ivorian government has conducted a review of the tax regime that it wished to apply to its bourgeoning gold industry and on 14 September 2012 made a public statement concerning the possible introduction of a “super profits tax”. Subsequent to the end of the Quarter, the Minister for Mines and Energy met with participants in the Ivorian gold industry, including Perseus, to explain details of the possible tax and to receive feedback from the mining companies. It is expected that further consultation with companies involved in the gold industry in Côte d’Ivoire will occur before enabling legislation for the new tax is introduced to the Parliament for consideration.

Clarification of fiscal terms applicable to the Sissingué Gold Mine by the government in C ô te d’Ivoire is one of the few remaining prerequisites for seeking the approval of the Perseus Board for the full scale development of the project.

Project Approval & Funding

As a precursor to seeking Board approval to proceed with the development of the Sissingué Gold Mine, the Company has undertaken a comprehensive review of operating and capital cost assumptions made in preparing the DFS of the project in October 2010, and where appropriate updated the cost estimates to take account of changes in scope of the project (taking into account its recent experience of starting up a new gold mine in Ghana) and cost inflation.

Proposed changes to capital and operating cost budgets are relatively moderate given reported levels of industry inflation, and will be fully disclosed along with updated project economics once they have been reviewed and approved by the Perseus Board.

Given the Company’s existing cash balance and undrawn line of credit, ( Refer to the Corporate Section of this report ) plus the cash flow expected to be generated by the Edikan Gold Mine in the next 18 months, the task of funding the slightly increased capital development budget is well within the Company’s capability without the need to access any additional sources of funds. Furthermore, the upsizing and restructuring of the Company’s debt facility has provided an additional funding buffer to cover unforeseen increases to the Sissingué capital cost.

Plant Design and Procurement

An Australian engineering firm, GR Engineering Services, in conjunction with the Perseus’s Projects Team, has completed the process portion of the Sissingué plant design and about 95% of the total detailed design.

Letters of intent have been issued for major equipment and tender packages for fabrication and construction works are being prepared.

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Sixty percent of the SAG mill supply contract value has been invoiced and paid in accordance with the achievement of milestones set out in the contract with Outotec Pty Ltd. Delivery of the SAG mill’s components commenced in the September Quarter 2012 and the majority of the SAG mill’s components are currently in store in Abidjan pending delivery to the Sissingué mine site.

Early Site Works

Limited “early works” commenced on site in September 2012 in preparation for the commencement of full scale development later this calendar year. In particular, the process of compensating landowners for loss of crops and land commenced and orders have been placed for the supply of prefabricated accommodation units. Limited earthworks, including the grading of roads is scheduled to commence as soon as compensation has been advanced.

Mine Design

The Company is currently in the process of updating its Mineral Resource model taking into account the drill results achieved since the last Mineral Resource update in November 2010. Once this is completed mine plan optimisation will commence enabling an updated Mineral Resource to be published early in the March 2013 Quarter.

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Proposed Sissingué plant.

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Corporate

Debt Restructure

The Company’s Ghanaian subsidiary Perseus Mining (Ghana) Limited (“PMGL”) has successfully renegotiated the terms of its existing US$85M project debt facility with Credit Suisse AG and Macquarie Bank Limited. In summary, the amendments to the facility include:

• The facility changes from a conventional project debt facility to a revolving line of credit.

• The size of the facility has increased from US$85M to US$100M with commitment limits that progressively reduce from US$100M in September 2013 to zero in December 2015.

• The Company has flexibility to vary the amount drawn under the facility at its election, within commitment limits. A total of US$54M is currently drawn under the facility, and the Company has the ability to draw a further US$46M as required.

• The undrawn line fee is LIBOR plus 1.75% while the margin above LIBOR on the drawn amount 4.0%.

• The permitted uses of the facility have been expanded to include the repayment of intercompany loans made by Perseus to PMGL;

• The Company’s hedge position has been returned to 230,000 ounces of gold, the amount of hedging required by the Lenders when the US$85M project debt facility was established. The average deliverable price has increased to US$1,365/oz. The hedge position represents about 20% of the Group’s currently targeted production of 1.1-1.2 million ounces from October 2012 to the end of 2015.

Cash Balance

The Group’s available cash balance as at 30 September 2012 was $108.758M. In addition, the Group held 2,929 ounces of gold at its Edikan Gold Mine and a further 5,332 ounces of gold were in the process of being refined on this date. Based on the price of the gold on 30 September 2012 of US$1,776 per ounce and an A$:US$ exchange rate of 1.0377, the total value of the Group’s cash and bullion on hand at 30 September 2012 was $122.897 million. In addition to the above, the Group had a further $8.641M of cash on deposit in escrowed accounts providing security for matters including future environmental commitments.

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Perseus Mining Group

Program for the December 2012 Quarter

Edikan Gold Mine

• Continue production ramp-up, targeting gold

• production of 65-70,000oz at a cash cost of US$575/oz

• Optimise Edikan mine planning

• Continue exploration

Sissingué Gold Project Development

• Discuss and agree fiscal terms with the government

• Complete detailed plant design

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• Commit to full scale development

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EGM Mining Leases

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Tengrela Gold Project – Exploitation and exploration licences

Mark Calderwood Managing Director

16 October 2012

To discuss any aspect of this announcement, please contact:

Mark Calderwood at telephone +61 8 6144 1700 or email mark.calderwood@perseusmining.com Nathan Ryan at telephone +0420 582 887 or email nathan.ryan@nwrcommunications.com.au Rebecca Greco at telephone +1 416 822 6483 or email fighouse@yahoo.com (Toronto)

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About Perseus Mining Limited

Perseus Mining Limited (ASX/TSX: PRU) has forged a reputation as one of West Africa’s most successful gold explorers focused on under-explored gold belts in West Africa. In August 2011 Perseus became a producer at its Edikan Gold Mine (previously known as the Central Ashanti Gold Project) in Ghana. Details of the project and mine plan are set out in the technical report entitled “Technical Report – Central Ashanti Gold Project, Ghana” dated May 30, 2011.

Perseus is currently considering the development of its Sissingué Gold Project, part of the Tengrela Gold Project in Côte d’Ivoire, with potential production from the end of 2013. Tengrela has the potential to become a significant contributor to the Company’s goal to develop into a 400,000-ounce per annum gold producer during 2014. Details of the project are set out within “Technical Report – Tengrela Gold Project, Ivory Coast” dated December 22, 2010.

Perseus will continue its strategy of rapidly increasing its resource and reserve base during the ramp-up of the Edikan Gold Mine and development of the Sissingué Gold Project.

Competent Person Statement : The information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Mark Calderwood, who is a Charted Professional Member of The Australasian Institute of Mining and Metallurgy. Mr Calderwood is a Director and full-time employee of the Company. Mr Calderwood has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity 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’”) and to qualify as a “Qualified Person” under National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). Mr Calderwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. For a description of Perseus’s data verification process, quality assurance and quality control measures, the effective date of the mineral resource and mineral reserve estimates contained herein, details of the key assumptions, parameters and methods used to estimate the mineral resources and reserves set out in this report and the extent to which the estimate of mineral resources or mineral reserves set out herein may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues, readers are directed to the technical report entitled “Technical Report – Central Ashanti Gold Project, Ghana” dated May 30, 2011 and the technical report entitled “Technical Report – Tengrela Gold Project, Ivory Coast” dated December 22, 2010 in respect of the Edikan Gold Mine (formerly the Central Ashanti Gold Project) and the Tengrela Gold Project, respectively.

Caution Regarding Forward Looking Information : This report contains forward-looking information which is based on the assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management of the Company believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect. Assumptions have been made by the Company regarding, among other things: the price of gold, continuing commercial production at the Edikan Gold Mine without any major disruption, development of a mine at Tengrela, the receipt of required governmental approvals, the accuracy of capital and operating cost estimates, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used by the Company. Although management believes that the assumptions made by the Company and the expectations represented by such information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate. Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company’s ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers should not place undue reliance on forwardlooking information. Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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Table 1: EGM, Summary of Total Measured and Indicated Mineral Resources

	**Measured Resources1 **	**Measured Resources1 **			Measured + Indicated Resources	Measured + Indicated Resources
			**Indicated Resources1 **
Deposit
	Tonnes Au	Au	Tonnes Au	Au	Tonnes Au	Au
	Mt g/t	Ounces	Mt g/t	Ounces	Mt g/t	Ounces
Abnabna/AFGap/Fobinso Esuajah South Esuajah North Fetish Chirawewa Bokitsi Mampong Dadieso Total	49.4 1.2 8.3 1.8 17.2 0.9 8.8 0.9 83.7 1.1	1,850,000 482,000 498,000 255,000 3,085,000	23.2 0.9 6.2 1.7 15.4 0.8 20.6 1.1 4.5 1.1 2.6 2.5 72.5 1.1	666,000 336,000 422,000 717,000 167,000 212,000 2,520,000	72.6 1.1 14.5 1.8 32.7 0.9 29.4 1.0 4.5 1.1 2.6 2.5 156.3 1.1	2,515,000 818,000 920,000 972,000 167,000 212,000 5,604,000

1 Last updated in March 2012 and does not allow for mining depletion.

Table 2: EGM, Summary of Total Inferred Mineral Resources

	**Inferred Resources1 **	**Inferred Resources1 **
Deposit	Tonnes Au	Au
	Mt g/t	Ounces
Abnabna/AFGap/Fobinso Esuajah South Esuajah North Fetish Chirawewa Bokitsi Mampong Dadieso	11.1 1.0 5.3 1.3 6.3 0.8 7.5 1.0 8.7 0.9 1.6 1.7 6.9 0.9 3.2 1.6	362,000 224,000 168,000 248,000 249,000 89,000 210,000 161,000
Total	50.6 1.1	1,711,000

1 Last updated in March 2012.

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Table 3: Total Mineral Resources (Including Reserves)

Deposit (cut-off g/t Au)	Measured Indicated Inferred
	Tonnes (million) g/t Au Ounces Au (,000) Tonnes (million) g/t Au Ounces Au (,000) Tonnes (million) g/t Au Ounces Au (,000)
EGM (1) > 0.8g/t	49.5 1.5 2,367 38.2 1.3 1,814 24.9 1.4 1,111
EGM (1) 0.4g/t - 0.8g/t	34.2 0.7 718 35.7 0.6 706 25.7 0.7 602
GGP (2) > 0.4 (3)	- - - 25.1 0.6 471 16.4 0.5 247
SGP (4) > 1.0g/t	0.9 3.2 90 9.1 2.5 706 3.3 1.7 171
SGP (4) 0.5-1.0g/t	0.04 0.8 1 5.5 0.8 134 3.6 0.7 86
Total (EGM > 0.8g/t & SGP> 1.0g/t )	50.4 1.5 2,457 47.3 1.5 2,520 28.2 1.4 1,282
Total (EGM> 0.4g/t **& SGP >0.5g/t) **	84.6 1.2 3,176 112.4 1.0 3,831 73.9 0.9 2,217
Notes

1 Last updated in March 2012 and does not allow for mining depletion.

2 Last updated in December 2010.

• 3 Primary reported above a 0.4g/t Au cut-off, oxide/transition report above a 0.2g/t Au cut-off.

• 4 Last updated in November 2010.

5 The Company holds 90% of EGM, 90% of GGP and 85% of SGP after allowing for Government equity at mining stage.

Table 4: Total Mineral Reserves

Deposit	Proven Probable Total
	Tonnes (million) g/t Au Ounces Au (,000) Tonnes (million) g/t Au Ounces Au (,000) Tonnes (million) g/t Au Ounces Au (,000)
EGM **>0.4g/t (1,2) **	64.6 1.2 2,417 29.2 1.0 961 93.8 1.1 3,378
Tengrela **>0.55g/t (3) **	- - - 9.7 2.1 657 9.7 2.1 657
**Total **	64.6 1.2 2,417 38.9 1.3 1,618 103.5 1.3 4,035
Notes

• 1 >0.4g/t Au cut-off for Abnabna-Fobinso, >0.5g/t Au cut-off for all other deposits.

2 Last updated in August 2012, and allows for material mined to 30 June 2012. 3 Last updated in November 2010.

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