annual report 2019 ASX300 ENTRY

CONTINUED GROWTH 1 MILLION OUNCE LIFE OF MINE PLAN DIVIDEND PAYMENT

CORPORATE DIRECTORY

Directors	Kevin Lines - BSc (Geology), MAusIMM, MAICDIndependent Non – Executive Chairman
	Mark Zeptner - BEng (Hons) Mining, MAusIMM, MAICDManaging Director and Chief Executive Officer
	Michael Bohm - BAppSc (Mining Engineering),MAusIMM, MAICD
	Independent Non-Executive Director
	David Southam - B. Com, CPA, MAICDIndependent Non-Executive Director
	Natalia Streltsova - MSc, PhD (Chem Eng), GAICD,MSME, MCIM (appointed 1 October 2019 and afterpreparation of segments of this report)
Company Secretary	Richard Jones - BA (Hons), LLB
Chief Financial Officer	Tim Manners - BBus (Accounting), FCA, AGIA, MAICD
Chief Operating Officer	Duncan Coutts - BEng (Hons) Mining, MAusIMM
General Manager – Exploration	Kevin Seymour - BSc (Geology), MAusIMM
Principal registered office	Level 1, 130 Royal Street
	East Perth WA 6004+ 61 8 9202 1127
Share registry	Computershare Investor Services Pty Limited
	Level 5, 115 Grenfell Street
	Adelaide SA 50001300 556 161 (within Australia)
	+ 61 3 9415 4000 (outside Australia)
Auditor	Deloitte Touche Tohmatsu
	Tower 2, Brookfield Place
	125 St Georges TerracePerth WA 6000
Stock exchange listing	Ramelius Resources Limited ("RMS") shares are listed on
	the Australian Securities Exchange (ASX)
Website	www.rameliusresources.com.au

Chairman's Report	02
Managing Director's Report	04
2019 Highlights	06
Operations Review	08
Overview	08
Operational Summary	09
Mt Magnet	10
Edna May	13
Development & Exploration Projects	14
Resources and Reserves	24
Company Summary	24
Mineral Resources	25
Ore Reserves	27
Competent Persons	28
Native Title Statement	29
Sustainability Statement	30
Workplace Health and Safety	30
Social Responsibility	31
Environmental Protection	32
Water Resource Management	33
Diversity Statement	34
Corporate Governance Statement	35
Annual Financial Report	37
Directors' Report	38
Auditor's Independence Declaration	59
Income Statement	62
Statement of Comprehensive Income	63
Balance Sheet	64
Statement of Changes in Equity	65
Statement of Cash Flows	66
Notes to the Financial Statements	69
Directors' Declaration	110
Independent Auditor's Report	111
Shareholder Information	116

CHAIRMAN'S REPORT

DEAR FELLOW SHAREHOLDERS,

I am pleased to report that Ramelius continued its recent record of strong financial and operational performances in the financial year ended 30 June 2019. The Company reported:

Net profit before tax of $30.4 million;
Net Profit after tax of $21.8 million;
Gold sales of 203,318 ounces generating revenue of $352.8 million;
Cash flows from operating activities for the year of $137.0 million; and
Cash and gold at 30 June 2019 of $106.8 million.

This operational and financial performance has underpinned the Company's core strategies of securing both the immediate short-term future of Ramelius and building the Company's capacity in the medium to longer term. Complementing the strong operational performance has been a very active programme of corporate and asset level acquisitions, designed to strengthen and extend the mine lives of our two key processing facilities at Mt Magnet and Edna May.

At Edna May, 315km east of Perth, the decision was made early in 2019 financial year to commit to the development of a new underground mine in preference to the Stage 3 expansion of the open pit. As a result of this decision the milling facility at Edna May has excess processing capacity. The acquisitions of Marda, located 191km north-northeast of Edna May, and the Tampia Hill project, near Narembeen, 240km east of Perth, have allowed Ramelius to secure new gold resources to address the latent processing capacity of the Edna May Mill. Both these transactions were successfully completed in February 2019 and an aggressive programme of planning/approvals has commenced. In parallel with these corporate initiatives the Company has consolidated a strategic landholding to support exploration for new gold deposits in the region. Early success at Symes' Find, south of Edna May,

is very encouraging and supports the Company's belief in the prospectivity of this under-explored terrain.

At Mt Magnet our exploration team has had a very successful year highlighted by the discovery of the Eridanus deposit, adjacent to the previously mined Lone Pine pit. This exciting discovery has been the focus of an accelerated drilling programme with an initial reserve of 3.1 million tonnes at 1.1g/t Au containing 110,000 ounces of gold. The Eridanus discovery continues to build on earlier successes at Shannon and Stellar and reinforces the value of the Company's commitment to ongoing exploration at Mt Magnet. Similarly, exploration has been ongoing at our Vivien underground mining operations near Leinster, with the Board recently taking a decision to extend mine life by almost a year with further exploration ongoing.

The combination of these Exploration, Corporate and Mine optimisation efforts has culminated during the year with the release, in June, of the Company's first One Million Ounce mine plan. This plan underpins production, for the next five years, at both of the Company's processing centres resulting in gold output averaging approximately 200,000 ounces per annum. It is a very significant achievement for Ramelius and a credit to a great many employees and contractors across our operations.

The efforts of your company have been appreciated by the market with a growing recognition, not just of the capability of our team to continuously deliver on forecasts, but the expanding capacity of Ramelius to action growth initiatives in a timely and cost-effective manner. As a result, in the period 30 June 2018 to 22 August 2019;

Ramelius share price has appreciated 103%;
Market Capitalisation has appreciated 153%;
Market Capitalisation (at A$1.15/share) has risen to A$757 million; and
Ramelius re-entered the ASX300.

It is particularly pleasing, following the release of the Ramelius Dividend Policy at the AGM last year, that your Board has been able to approve the payment of a fully franked dividend of 1.0 cent per share. Whilst the dividend is the minimum allowed under our new policy it is an important first step and represents a payout ratio of 27% when compared to Basic Earnings per share of 3.7 cents.

Since the end of the year under review, the gold price, both in US$ and A$ terms, has appreciated substantially. This situation is beneficial for all Ramelius stakeholders and hopefully represents a new longer-term support level for gold globally. However, in this very dynamic price environment it can be challenging to confidently set the appropriate level of revenue protection via the Company's gold hedging portfolio. Your Board is very conscious of the need for the Company

RAMELIUS RESOURCES ANNUAL REPORT 2019

million

Chairman Ramelius Resources Ltd

to balance the levels for suitable downside insurance, through hedging, whilst maintaining exposure to any future upside in the gold price and will continue to actively manage our gold hedging to achieve best outcomes.

The year ahead will be both exciting and challenging for the Ramelius team with continued developments at the Marda and Tampia projects at Edna May and new mines, Eridanus and Shannon, at Mt Magnet.

Your Board remains focused on continuing to grow your investment in the Company by prudent use of capital on exploration, asset acquisition and corporate activities. In parallel with these initiatives Ramelius will continue to monitor an often rapidly changing external business environment to ensure the Company retains the necessary skills to manage change at all levels within the organisation. As part of these initiatives the Board is very pleased to welcome Dr Natalia Streltsova to the Board as an Independent Non-Executive Director. Dr Streltsova's very strong technical background and valuable Board experience will be of significant future value to our company.

I thank our employees and contractors for their continuing efforts during past year. I also would like to particularly thank our Managing Director, Mark Zeptner and the management team, as well as my fellow non-executive directors, Mike Bohm and David Southam.

On behalf of the Board, I also thank all of you, our shareholders, for your ongoing support and look forward to an interesting year ahead.

MANAGING DIRECTOR'S REPORT

DEAR SHAREHOLDERS,

During the 2019 financial year your company made significant progress towards becoming a mid-tier gold producer in the Australian sector with production hitting 196,679 ounces, backing up from the plus 200,000 ounces of production in the year prior.

The acquisitions of the Marda & Tampia Gold Projects, both of which are located within 200km of the Edna May production centre, demonstrate the Company's proactive commitment to growth. The addition of these new projects led to our One Million Ounce mine plan, which was announced in June 2019, and which is a landmark point in the history of Ramelius. Although we have been a successful gold miner for more than 10 years, we have never been in a position to demonstrate such a significant mine life at meaningful production levels. On top of this, the Company delivered a positive Net Profit after Tax for the fifth year running, as well as boasting a cash and gold balance of over A$100M to close out the financial year.

Ramelius started the year well, achieving guidance for the September 2018 Quarter with production of 51,428 ounces from our Mt Magnet, Edna May and Vivien operations. The Annual Resources and Reserves Statement, released in September, featured a 54% increase in Ore Reserves from a year earlier. This Quarter saw the commencement of two new acquisitions, that of Explaurum Limited (Tampia) & Black Oak Minerals Ltd (Marda) via a takeover and deed of Company arrangement respectively.

The Greenfinch open pit, adjacent to Edna May, appeal process for the 48.8Ha Clearing Permit commenced in the December 2018 Quarter. On 7 October 2019 the Company announced that it had received approval of a revised Clearing Permit application for a reduced footprint of 16.6Ha submitted

in June 2019. Development may occur following the completion of a 21-day public advertising period and approval of an offset arrangement. Spectacular gold intersections within numerous high grade hits occurring immediately below the Stellar open pit (Mt Magnet) were also announced during the Quarter. At the Annual General Meeting in November, the Company announced a new dividend policy that targets a minimum $0.01/share payment per annum, subject to meeting mining reserve and cash reserve hurdles. The Company exceeded the guidance range, producing 52,623 ounces for the Quarter.

The third Quarter was productive seeing multiple mining proposals approved and previously commenced acquisitions finalised. The mining proposal for Eridanus (Mt Magnet) open pit was approved and Edna May underground commenced. The Marda acquisition was approved by the courts and completed, whilst the Company also proceeded to compulsorily acquire all the shares it did not hold

10+ years AS A SUCCESSFUL GOLD MINER

196,679

ounces OVER THE YEAR

RAMELIUS RESOURCES ANNUAL REPORT 2019

in Explaurum Limited, at which point Ramelius held a relevant intertest of 95.58%. Production remained steady throughout the Quarter with 45,286 ounces of gold poured, again achieving guidance.

The exploration team continued to provide excellent results from diamond drilling at Vivien and Edna May undergrounds mines, as well as from RC drilling at Symes' Find (Edna May) and below the Eridanus open pit (Mt Magnet). Pleasingly, our strategic tenement position continued to yield positive results over the last 12 months, justifying our continued investment into exploration in the region. The 2019 financial year saw approximately $19.8M spent on exploration at Ramelius, and with our strong balance sheet, this still gives us the flexibility to pursue growth opportunities as and when they arise.

Ramelius re-entered the ASX300 Index in late March 2019 which complemented a welcome re-rating of the stock that had commenced in the new year.

Essentially the share price has doubled over the 12 month period, delivering strong capital gains for shareholders.

There is no doubt that is has once again been a busy year for the Company I would like to thank the Board and staff for their support and ongoing efforts throughout the year, with the established mining teams at Mt Magnet, Vivien and Edna May performing exceptionally well. Additionally, I would like to extend a warm welcome to our new teams at Tampia & Marda.

Looking forward to another exciting year of growth at Ramelius.

Mark Zeptner Managing Director Ramelius Resources Ltd

2019 HIGHLIGHTS

Over the past year, Ramelius has achieved a number of major milestones, helping to entrench its reputation as an emerging Australian mid-tier gold miner with an excellent track record of meeting guidance and delivering growth for shareholders.

CONTINUED GROWTH

Ramelius saw its share price increase 25% over the 12 months to June 30, 2019. The positive momentum was partly driven by the Australian gold price, but also reflected our strong operational performance, the bedding down of the Marda and Tampia Hill acquisitions and continued success with our exploration programs at Mt Magnet, Vivien and Edna May. The share price continued to appreciate strongly in the early months of the new financial year.

ROBUST FINANCIALS

The Company delivered its fifth consecutive year of profit, posting a net profit after tax of $21.8 million. The full-year result was accompanied by the declaration of a 1.0c fully franked dividend in keeping with its dividend policy announced earlier in the year. At the end of June, the Company held $106.8 million in cash and bullion and was debt-free.

ASX300 ENTRY

At the bi-annual rebalance of the S&P/ ASX 300 in March this year, Ramelius re-entered the ASX 300. Inclusion, which is determined on measures of market capitalisation and liquidity, typically results in greater interest from institutional investors whose mandates deem that they can only invest in larger ASX-listed companies.

FY2019 KEY FINANCIAL HIGHLIGHTS

Earnings:

EBITDA: A$112.2M (2018: A$127.0M)
NPAT: A$21.8M (2018: A$30.8M)

Cashflow:

Cash from Operating Activities: A$137.0M (2018: A$118.9M)
Net Mine Cash Flow: A$70.7M (2018: 48.5M)

Balance Sheet Cash & Bullion:

A$106.8M (2018: A$95.5M)
Debt free. Capacity to secure debt if required

Dividend Payment:

Directors declare 1.0c fully franked dividend (27% payout ratio)
Record date of 4 Sept 2019 and a payment date of 4 Oct 2019

FIVE-YEAR MINE PLAN

In June this year, Ramelius announced a landmark five-year life of mine plan, based around the twin production centres of Mt Magnet and Edna May. The Company envisages producing in excess of 1,000,000 ounces of gold over the next five years.

• Key production centres continue to deliver mine life extensions

• Anticipate maintaining mine life at five years or more through exploration and acquisition
• Provides long-term clarity over production and
costs • Plan underpinned largely by existing Ore

Reserves/Indicated Resources

EDNA MAY

Edna May production centre set to deliver higher margins

Edna May Operations

Underground development well progressed, stoping to commence soon
Greenfinch approval targeted for December 2019

Marda Project

Mining works have commenced
Haulage to Edna May in the December Quarter

Tampia Hill Project

Strategic review completed June 2019
Confirmed haulage to Edna May as preferred development option
Decision to mine targeted for end of CY19

MT MAGNET

Effective exploration strategies keep delivering Resource/Reserve replacement

Cosmos Mine Area

• Drilling beneath new Eridanus open pit produces excellent intercepts

Vivien Satellite Mine

Resource update delivers an additional 12 months of mine life
Incorporates new high grade results from diamond drilling at depth

CORPORATE SUMMARY

Shares on Issue: 658m

Market Cap: @ $1.01/sh: 664M

Cash & Gold*: $106.8M

Enterprise Value: $558M

*As at June 30, 2019

OPERATIONS REVIEW

OVERVIEW

Ramelius is a well-established mid-tier ASX 300 gold production and exploration Company. Ramelius has averaged production of in excess of 200,000 ounces per annum over the last two years and has set guidance for the 2020 financial year of 205,000 – 225,000 ounces.

Furthermore, a life of mine plan was released on 17 June 2019 which detailed annual gold production of over 200,000 ounces out to the 2023 financial year.

During the 2019 year the Company produced 196,679 ounces from its Mt Magnet, Vivien, and Edna May gold mines at an All-In Sustaining Cost ("AISC") of A$1,192 per ounce. Sales for the year totaled 203,318 ounces at an average realised gold price of A$1,726 generating strong a return of $A534 per ounce above AISC per ounce.

WESTERN AUSTRALIA

196,679 ounces

from its Mt Magnet, Vivien, and Edna May gold mines.

Ramelius' operations locations

OPERATIONAL SUMMARY

	Unit	Mt Magnet1	Edna May	Group
OPEN PIT
High grade ore mined	kt	2,034	542	2,576
Grade	g/t	1.23	1.40	1.26
Contained gold	oz	80,118	24,412	104,530

UNDERGROUND
High grade ore mined	kt	305	32	337
Grade	g/t	5.14	4.14	5.04
Contained gold	oz	50,346	4,245	54,591

Total ore mined	kt	2,338	574	2,912

MILL PRODUCTION
Tonnes milled	kt	1,962	2,842	4,804
Grade	g/t	1.91	0.94	1.33
Contained gold	oz	120,271	85,650	205,921
Recovery	%	95.5	93.9	94.8
Recovered gold	oz	114,800	80,464	195,264
Gold poured	oz	114,840	81,839	196,679

Gold sold oz 119,997 83,321 203,318 1 In the above table and throughout this report Mt Magnet incorporates the high grade Vivien underground ore which is processed through the Mt Magnet processing plant.

Mine operations performance for the 2019 financial year

Average realised gold price v All-in sustaining cost (by Quarter) %/Oz

MT MAGNET Mining

Operations at Mt Magnet continued on a multi pit / underground basis throughout the 2019 financial year with ore being milled from five open pit and two underground projects. A summary of the main projects for the year is provided as follows:

Area	Type	Operational commentary
		Milky Way was the main ore source at Mt Magnet during the year making up 51% ofthe ore feed.
Milky Way	Open pit	Total high grade ore mined for the year was 1.4 million tonnes at a grade of 1.06 g/twith 1.0 million tonnes being milled at a grade of 1.10 g/t and recovery of 93.4% forrecovered gold of 33,021 ounces.
		At the end of the year there were 0.4 million tonnes of high grade Milky Way orestockpiled which will provide base load mill feed in the 2020 financial year as theEridanus pit is developed.
		Work at Eridanus commenced in May 2019 following the announcement of a maidenOre Reserve and subsequent mining approvals.
Eridanus	Open pit	Eridanus is a low strip ratio open pit mine which will provide the base load feed for theMt Magnet processing facility from the second Quarter of the 2020 financial year.
		A total of 1.1 million bcms were moved during 2019 with negligible ore being mined asoperations focused on the site establishment and pre strip activities.
		Mining at Stellar West concluded in the second Quarter of the 2019 financial year with84k tonnes being milled at a grade of 1.61 g/t and a recovery of 93.7% for recoveredgold of 4,091 ounces.
Stellar &		At Stellar, spectacular drill results in December 2018 led to mining being suspended inthat month as the drill results were analysed, and mine plan options were assessed.
Stellar West	Open Pit	Mining of the Stellar pit is expected to re-commence during the 2020 financial year,with the high grade areas being exposed in the second half of the year. Mining atStellar is expected to be completed by the June 2020 Quarter.
		A total of 257k tonnes were milled at a grade of 1.50 g/t and recovery of 93.9% forrecovered gold of 11,598 ounces.
		The Shannon open pit was completed during the year which provided modestvolumes of ore and provided access for the underground, with the portal beingestablished in the June 2019 Quarter.
Shannon	Open Pit	During the year 168k tonnes were milled at a grade of 2.41 g/t at a recovery of 97.0% forrecovered gold of 12,663 ounces.
		Development of the Shannon underground has now commenced with commercialvolumes of ore expected from the December 2019 Quarter.

Area	Type	Operational commentary
		Vegas is a new small pit whose development was bought forward into the year toassist with mine sequencing and provide oxide BIF ore for blending purposes.
Vegas	Open Pit	The Vegas pit is planned to continue at modest volumes throughout the 2020financial year to provide ongoing material for ore feed blending.
Water TankHill	Underground	The Water Tank Hill underground mine was completed in the March 2019 Quarter.By the end of that Quarter, the link decline and vent drives had reached theHill 60 deposit and the first level cross-cut was completed. In the June Quarter,several additional small stope areas at Water Tank Hill were identified with miningcommencing in June.
		A total of 67k tonnes were milled at a grade of 3.64 g/t and recovery of 97.1% forrecovered gold of 7,641 ounces.
	Underground	Work commenced at the Hill 60 underground mine during the year with 1,910 metresof development being achieved.
Hill 60		During the year operations focused on development with negligible ore being minedand milled from the Hill 60 underground mine.
		Steady state volumes of ore are expected to be available from the September 2019Quarter.
		With the completion of the Shannon open pit, work on the portal and declinecommenced in June 2019.
Shannon	Underground	Only minimal development was made during year with commercial volumes of oreexpected from the December 2019 Quarter.
		Despite lower output than last year the Vivien mine performed well producing 37%(2018: 39%) of the gold production from the Mt Magnet operation.
Vivien	Underground	Total high grade mill production from Vivien was 256k tonnes at a grade of 5.34g/t and recovery of 97.1% for recovered gold of 42,761 ounces. During the year goodcontributions were made from both stoping and development ore.A recent mine extension diamond drilling program returned significant high gradegold mineralisation below the current mine plan at Vivien (Vivien Deeps). The resultsare considered very significant as they now extend the known mineralisation a further200m below the current mine plan, deepening the known mineralisation to 600mbelow surface. An extension of mine and new resource and reserve information wereannounced by the Company on 12 September 2019.

MT MAGNET (continued)

Milling

		2019	2018	Change (%)
MILL PRODUCTION
Tonnes milled	Kt	1,962	1,995	- 2 %
Grade	g/t	1.91	2.23	- 14 %
Contained gold	Oz	120,271	143,141	- 16 %
Recovery	%	95.5	94.3	+ 1 %
Recovered gold	Oz	114,800	135,021	- 15 %
Gold poured	Oz	114,840	135,597	- 15 %

Gold sold	Oz	119,997	135,565	- 11 %

Mt Magnet mill production for the 2019 financial year

A total of 1,962k tonnes were processed at the Mt Magnet mill during the year compared to 1,995k tonnes in the prior year representing a 2% decrease in throughput. In addition to the lower throughput the grade was down 14% on the prior year which resulted in a decrease in gold poured of 20,757 ounces or 15%.

Grades at Mt Magnet were down on the prior year as a result of 23% less underground ore being available at a grade 16% less than the prior year. Underground operations at Mt Magnet focused on the development of Hill 60, and to a lesser extent the Shannon underground. Both of these sources of high grade underground ore will reach commercial extraction rates in the 2020 financial year.

Gold production from Mt Magnet is forecast to be 140,000oz – 150,000oz in the 2020 financial year.

A total of 1,962,000 tonnes were processed at the processing facility at Mt

Magnet

RAMELIUS RESOURCES ANNUAL REPORT 2019

EDNA MAY

Mining

During the year mining of the Stage 2 open pit at Edna May was completed with operations at Edna May focussing on the development of the underground mine and the milling of existing Stage 2 high grade and low grade stockpiles.

The Stage 2 open pit performed better than expected with 542k tonnes being mined at a grade of 1.40 g/t for the year. Mining at Stage 2 concluded in the December 2018 Quarter with the milling of the ore continuing into the March 2019 Quarter as the Stage 2 high grade stockpiles were exhausted.

In the September 2018 Quarter an assessment of the Edna May development options post the Stage 2 open pit was completed with the decision to develop an underground mine chosen in preference to a larger Stage 3 open pit cutback. In the March 2019 Quarter, the preferred underground mining contractor was mobilised, and development commenced. During this period of development 32k tonnes of ore were mined at a grade of 4.14 g/t.

With Stage 2 ore being exhausted in the March 2019 Quarter, and commercial quantities of underground ore not being available until the 2020 financial year, milling focused on the low grade stockpiles with this ore making up 92% of ore being milled in the second half of the 2019 financial year. This low grade ore performed better than expected and achieved a grade of 0.67 g/t for the 2019 year. The stockpile carried no cost and hence made a positive contribution to both earnings and cashflows.

Gold production from Edna May is forecast to be 65,000oz – 75,000oz in the 2020 financial year.

Milling

Throughput for the year, when compared to the 2018 financial year (including the period under Evolution Mining Limited's control) was up 7% due to improved plant optimisation.

		2019	20181	Change (%)
MILL PRODUCTION
Tonnes milled	Kt	2,842	2,010	+ 41 %
Grade	g/t	0.94	1.20	- 22 %
Contained gold	Oz	85,650	77,352	+ 11 %
Recovery	%	93.9	93.9	0 %
Recovered gold	Oz	80,464	72,611	+ 11 %
Gold poured	Oz	81,839	72,521	+ 13 %

Gold sold	Oz	83,321	67,520	+ 23 %

The figures reported for 2018 are for the nine months ended 30 June 2018, the period of Ramelius ownership

Edna May mill production for the 2019 financial year

OPERATIONS REVIEW

(CONTINUED)

DEVELOPMENT & EXPLORATION PROJECTS

Development projects

In the 2018 Annual Report Ramelius outlined the plans for the following development projects:

Edna May project (Stage 3 open pit or underground)
Shannon (Mt Magnet)
Hill 60 (Mt Magnet)
Morning Star (Mt Magnet)
Eridanus (Mt Magnet)
Greenfinch (Edna May)

Of these six development projects, mining or development has commenced on four projects (Edna May underground, Shannon, Hill 60, and Eridanus). On the remaining two, Morning Star has been deferred in favour of the Eridanus open pit at Mt Magnet, and a revised Clearing Permit has been submitted for Greenfinch which is currently under assessment by the regulators.

Development & exploration projects

(continued)

Greenfinch project (Edna May, WA)

The Clearing Permit for Edna May was rejected by the Department of Mines, Industry Regulations and Safety (DMIRS) in November 2018. This decision was appealed by Ramelius and on 13 May 2019 the Environment Minister upheld the decision of the DMIRS, however at the same time, the Environment Minister invited Ramelius re-submit a revised Clearing Permit application. The revised submission, which had a significantly reduced project disturbance footprint, was made in June 2019 and focused on completely avoiding the Declared Rare Flora species, Eremophila resinosa, without loss of the original 57,000 ounces of recoverable gold.

On 7 October 2019 the Company announced that it had received approval of the revised Clearing Permit application. Development may occur following the completion of a 21-day public advertising period and approval of an offset arrangement.

The development of the Greenfinch project is dependent upon the approval of the revised Clearing Permit as well as the Commonwealth EPBC Act approvals which are currently being assessed in parallel by the Federal Department of the Environment and Energy (DotEE).

Marda Gold Project (Yilgarn, WA)

In June 2019 initial Mineral Resources of 4.8Mt at 2.0 g/t for 300,000oz of contained gold and Ore Reserves of 1.1Mt at 2.4 g/t for 89,000oz of contained gold were announced.

The Marda Gold Project is an open pit deposit with the ore to be hauled to, and milled at, the Edna May mill for processing.

Resource drilling and project development activities (studies and costings) were largely completed by 30 June 2019, with statutory approvals well-advanced and expected in the September 2019 Quarter. The capital works programme is scheduled to commence in October 2019. Haulage is planned to the Edna May mill with commercial quantities coming into production in the December 2019 Quarter.

RAMELIUS RESOURCES ANNUAL REPORT 2019

Development & exploration projects (continued)

Tampia Hill Gold Project (Narembeen, WA)

Since completing the acquisition of the Tampia Hill Gold Project in April 2019 Ramelius moved to complete a Strategic Review of the project which aimed to determine the best economic outcomes for the future development of the project. Broadly, the premise of the Strategic Review was to compare the merits of an on-site processing facility at Tampia ('milling option') versus mining only at Tampia with the ore hauled to the Edna May mill located some 140km to the north ('haulage option').

The haulage option was identified to deliver superior economic returns for shareholders and as a result the Board resolved to evaluate the project based on milling at the Edna May production centre. The results of the Strategic Review were discussed in detail in the ASX announcement on 17 June 2019. Ramelius continues to advance the project with work still required on hydrology, environmental, permitting and stakeholder engagement. With further work still to be undertaken to evaluate the project the Tampia Hill Gold Project has been classified as an Exploration & Evaluation Asset within the financial report.

The final investment decision is anticipated to occur late in the 2019 calendar year.

In June 2019 initial Mineral Resources of 8.2Mt at 1.7 g/t for 460,000oz of contained gold and Ore Reserves of 2.2Mt at 2.8g/t for 200,000oz of contained gold was announced.

Water Bore Drilling Tampia Hill Gold Project

Development & exploration projects

(continued)

Exploration

Ramelius' exploration activities focused around the Mt Magnet and Edna May Gold Projects during the year.

Mt Magnet

ERIDANUS DEEPS PROSPECT

Diamond and RC drilling programmes were completed on the Eridanus Deeps Prospect during the year. Drilling was oriented parallel to the strike of the Eridanus Granodiorite to scope for orthogonal vein arrays identified in earlier resource definition drilling. The new drilling confirmed the presence of broad intervals of significant (>1.0 g/t Au) mineralisation within the Eridanus Granodiorite below the proposed open pit. Drill testing has now been partially completed to 400m below surface. Selected (>0.5 g/t Au) assay results as reported during the year include:

8m at 5.06 g/t Au from 37m in GXRC1904,
including 3m at 11.42 g/t Au
23m at 1.93 g/t Au from 126m in GXRC1904
12m at 6.41 g/t Au from 183m in GXRC1904, including 2m at 25.85 g/t Au
15m at 3.32 g/t Au from 27m in GXDD0075
23m at 3.98 g/t Au from 240m in GXDD0075
36m at 3.29 g/t Au from 375m in GXDD0075
43m at 4.17 g/t Au from 27m in GXDD0084, including 12m at 11.6 g/t Au
14m at 2.45 g/t Au from 324m in GXDD0084
12.6m at 5.39 g/t Au from 230.4m in GXDD0085
32m at 2.26 g/t Au from 23m in GXDD0086
15m at 4.10 g/t Au from 385m in GXDD0086
7m at 6.32 g/t Au from 450m in GXDD0086
12m at 6.90 g/t Au from 211m in GXRC2027
30m at 1.85 g/t Au from 206m in GXRC2028
37m at 2.60 g/t Au from 30m in GXRC2029
16m at 2.66 g/t Au from 84m in GXRC2030
8m at 7.66 g/t Au from 218m in GXRC2030

Development & exploration projects (continued)

Detailed structural and vein density logging of the diamond core revealed a dominant subvertically dipping, northwesterly striking vein set within a broader stockwork vein array. The gold mineralisation is best developed within the competent east-west trending Eridanus Granodiorite but numerous lodes are seen to extend well beyond the granodiorite and are hosted by the surrounding Boogardie Basin felsic porphyry rocks.

Eridanus Deeps RC and Diamond drill hole location plan

Eridanus exploration drilling cross section (north-south) below the current pit design

Development & exploration projects (continued)

TITAN DEEPS PROSPECT

Two Titan Deeps diamond holes were drilled below the Titan pit during the year. Only narrow, low order anomalous intersections were generated but further step out drilling along the controlling Boogardie Break structure is warranted.

9.2m at 2.10 g/t Au from 131.9m in GXDD0088
3.5m at 6.77 g/t Au from 461.5m in GXDD0088, including 1.5m at 15.35 g/t Au

LONE PINE SOUTH PROSPECT

RC drilling was completed over the Lone Pine South Prospect (located below the backfilled Lone Pine Palaeochannel). Gold mineralisation appears associated with a north-northwest trending sericite-carbonate altered shear zone in felsic porphyry rocks.

6m at 2.05 g/t Au from 19m in GXRC1872
5m at 3.29 g/t Au from 109m in GXRC1873
1m at 21.2 g/t Au from 127m in GXRC1897
3m at 4.23 g/t Au from 90m in GXRC2003
6m at 13.67 g/t Au from 200m in GXRC2010
11m at 2.19 g/t Au from 175m in GXRC2011

A steep west dip is preferred at present with mineralisation remaining open down dip and along strike to the south. With this predicted dip projection, true widths are estimated to be 30% of the reported down hole intersections.

Development & exploration projects (continued)

Edna May

Over the year Ramelius has consolidated its land holding around the Edna May Gold Mine through numerous tenement acquisitions along with the acquisitions of the Tampia Hill Gold Project and Marda Gold Project.

Exploration & development projects around the Edna May Gold Mine

Drill hole location and conceptual pit design over Symes' Find

SYMES' FIND

Symes' Find encompasses Mining Lease (ML) 77/1111, situated over the historical Symes Find gold workings, located 80km south of the Moorine Rock township. During the year Ramelius exercised its right to acquire the project outright having completed RC drilling with highly encouraging results, including:

12m at 2.23 g/t Au from 70m in SYFC002, including 1m at 11.4 g/t Au
6m at 3.11 g/t Au from 46m in SYFC003
9m at 2.19 g/t Au from 44m in SYFC004
16m at 3.59 g/t Au from 18m in SYFC010, including 2m at 8.98 g/t Au
8m at 43.23 g/t Au from 5m in SYFC073, including 3m at 112.4 g/t Au
14m at 5.31 g/t Au from 51m in SYFC087, including 4m at 12.64 g/t Au
8m at 17.05 g/t Au from 33m in SYFC093, including 3m at 42.01 g/t Au
11m at 6.65 g/t Au from 8m in SYFC094, including 2m at 30.90 g/t Au
7m at 11.62 g/t Au from 10m in SYFC097, including 3m at 23.56 g/t Au
12m at 6.79 g/t Au from 1m in SYFC100, including 2m at 33.85 g/t Au

True widths are interpreted to be around 80% of the reported downhole intersections for the shallow plunging gneissic fabric mineralisation and 50% for the sub-vertical quartz healed shears.

Infill RC drilling culminated in the successful delineation of a maiden Indicated and Inferred Mineral Resource of 540Kt at 1.90 g/t for 34,000oz. The drilling has further delineated a broad southeast trending surficial laterite gold anomaly (at plus 1.0 g/t Au) which remains open to the southeast.

12m at 4.49 g/t Au from surface in SYFC101, including 2m at 23.35 g/t Au
6m at 10.62 g/t Au from surface in SYFC140, including 2m at 30.20 g/t Au

The defined resource is currently constrained by the boundaries of the granted Mining Lease (ML) 77/1111. Step out RC drilling, targeting the southern strike and plunge projection of the higher grade shoots at Symes' Find has commenced within the surrounding Exploration Licence (EL) 77/2474 (where drilling access can now be achieved as paddocks are in fallow).

Development & exploration projects (continued)

EDNA MAY GOLD MINE

Subsequent to the completion of the Stage 2 open pit at Edna May, access has now been gained off the switchback within the open pit to target deeper exploration drill holes into the predicted extensions of the Greenfinch and Golden Point Gneisses (located within the footwall of the Edna May Gneiss). Better drill results returned include 5m at 5.02 g/t Au from 16m in EMRC015.

A deep surface diamond drill program targeted the extension of the high grade underground Jonathan and Fuji lodes. A number of good results were returned for the Jonathan lode position, including:

7m at 4.93 g/t Au from 521m EMRCD022
7m at 8.95 g/t Au from 508m in EMRCD025
5.4m at 5.67 g/t Au from 480m in EMRCD027

WESTONIA / HOLLETON / MT HAMPTON PROJECTS

Wholly owned Ramelius subsidiary, Edna May Operations Pty Ltd (EMO) acquired 100% of the Westonia Exploration Licence (EL) 77/2443 that surrounds its gold mining operations at Edna May along with acquiring 100% of three Exploration Licences (EL) 77/2334, 77/2458 and 70/5033 around the historical Holleton Mining Centre located south of the mine.

During the year the focus was on negotiating land access for future exploration activities. Land access and compensation agreements continue to be negotiated with various private land owners in the district to allow Ramelius more flexibility to schedule its planned exploration activities without disrupting any farmers' wheat/canola crops throughout the year.

NULLA SOUTH FARM-IN & JOINT VENTURE PROJECT – RAMELIUS EARNING 75%

Early in the year Ramelius entered into a Farm-in and Joint Venture Agreement with CGM (WA) Pty Ltd, a subsidiary of Chalice Gold Mines Limited (ASX: CHN) over CGM's Nulla South Exploration Licences (EL) 77/2353 and 2354. Under the terms of the farm-in and joint venture agreement, Ramelius may earn a 75% interest in the project by spending $2 million on exploration within 3 years.

Exploration drilling initially focused around the historical Felstead's Find workings before moving to drill test a series of blind lithostructural targets located elsewhere within the project area (while access was available ahead of winter cropping). Encouraging drill results from Felstead's Find include:

13m at 2.34 g/t Au from 34m in NUSC004
10m at 1.08 g/t Au from 53m in NUSC004
9m at 2.07 g/t Au from 69m in NUSC005

Felstead's Find, Nulla South Farm-in Project drilling cross section

Jupiter RC drilling cross section

GIBB ROCK FARM-IN & JOINT VENTURE PROJECT – RAMELIUS EARNING 75%

During the year, Ramelius executed a Farm-in and Joint Venture Agreement with CGM (WA) Pty Ltd, a subsidiary of Chalice Gold Mines Limited (ASX: CHN), for Ramelius to fund all exploration over CGM's Gibb Rock Exploration Licence (EL) 70/4869 and EL 70/5194. Under the terms of the Agreement, Ramelius may earn a 75% interest in the project by spending $2 million within three years. Ramelius continues to advance land access and is designing work programmes over selected target areas within the project.

Other

YANDAN PROJECT (QLD)

Ramelius relinquished the Yandan project during the year.

TANAMI JOINT VENTURE (NT) – RAMELIUS 85%

No field work was completed during the year.

JUPITER FARM-IN & JOINT VENTURE (NEVADA, USA) – RAMELIUS EARNING 75%

RC drilling was completed during the year with the drilling confirming the continuity of lowlevel gold anomalism associated with flat lying brecciated jasperoids, sitting along the Tertiary volcanics. Drilling failed to enhance the results from the prior year. More drilling is planned for the 2020 year.

RESOURCES AND RESERVES

COMPANY SUMMARY AS AT 30 JUNE 2019

Total Mineral Resources are estimated to be 81 Mt at 1.6 g/t Au for 4.1 Moz of gold as shown in table A
Total Ore Reserves are estimated to be 15 Mt at 1.8 g/t Au for 840 koz of gold as shown in table B

The previous publicly reported estimate of total Mineral Resources was 70.5Mt at1.5 g/t Au for 3,476 koz of gold announced 18 September 2018. The previous publicly reported estimate of total Ore Reserves was 13.3 Mt at 1.6 g/t Au for 698 koz of gold announced 18 September 2018.

Increases were largely achieved via the acquisition of the Marda and Tampia projects.

MINERAL RESOURCES

Table A: Mineral Resources

MINERAL RESOURCES AS AT 30 JUNE 2019 - INCLUSIVE OF RESERVES
			Measured			Indicated			Inferred			Total Resource
Project	Deposit	t	g/t	oz	t	g/t	oz	t	g/t	oz	t	g/t	oz
	Galaxy Group	92,000	1.8	5,400	4,100,000	1.6	220,000	2,300,000	1.3	96,000	6,600,000	1.5	320,000
	Morning Star	-	-	-	4,900,000	1.9	300,000	4,300,000	1.5	210,000	9,200,000	1.7	510,000
	Bartus Group	49,000	2.2	4,000	110,000	2.1	8,000	240,000	1.6	12,000	400,000	1.9	24,000
	Boomer	-	-	-	1,200,000	1.8	68,000	790,000	1.0	26,000	2,000,000	1.5	94,000
	Britannia Well	-	-	-	180,000	2.0	12,000	-	-	-	180,000	2.1	12,000
	Bullocks	-	-	-	200,000	3.3	21,000	40,000	2.5	3,000	240,000	3.1	24,000
	EasternJaspilite	150,000	2.2	10,000	120,000	2.8	11,000	130,000	2.5	11,000	400,000	2.5	32,000
	Eclipse	-	-	-	170,000	2.2	12,000	41,000	2.1	3,000	210,000	2.2	15,000
	Eridanus	-	-	-	2,800,000	1.3	120,000	690,000	1.1	23,000	3,500,000	1.3	150,000
	Golden Stream	-	-	-	150,000	2.9	14,000	67,000	1.2	2,700	220,000	2.4	17,000
	Lone Pine	-	-	-	490,000	1.3	21,000	390,000	1.7	21,000	870,000	1.5	42,000
	Milky Way	-	-	-	1,400,000	1.3	58,000	880,000	1.1	30,000	2,300,000	1.2	88,000
	O'Meara Group	-	-	-	180,000	2.5	14,000	230,000	1.7	12,000	410,000	2.0	27,000
MtMagnet	SpearmontGaltee	-	-	-	25,000	2.9	2,000	210,000	4.3	28,000	230,000	4.0	30,000
	Stellar	-	-	-	380,000	2.1	26,000	-	-	-	380,000	2.1	26,000
	Welcome -Baxter	220,000	1.6	11,000	280,000	1.6	15,000	200,000	1.8	11,000	700,000	1.7	37,000
	Open Pitdeposits	510,000	1.9	30,000	17,000,000	1.7	920,000	11,000,000	1.4		480,000 28,000,000	1.6	1,400,000
	Hill 50 Deeps	280,000	5.5	49,000	930,000	7.0	210,000	400,000	6.4	81,000	1,600,000	6.6	340,000
	Hill 60	-	-	-	200,000	4.4	28,000	160,000	4.3	22,000	360,000	4.3	50,000
	Morning StarDeeps	-	-	-	190,000	4.2	26,000	330,000	5.0	53,000	530,000	4.7	79,000
	Saturn UG	-	-	-	-	-	-	1,600,000	2.5	130,000	1,600,000	2.5	130,000
	Shannon	-	-	-	330,000	5.9	63,000	290,000	4.2	39,000	620,000	5.1	100,000
	UG deposits	280,000	5.5	49,000	1,700,000	6.1	330,000	2,800,000	3.6	320,000	4,700,000	4.6	700,000
	ROM & LGstocks	1,500,000	0.7	33,000	-	-	-	-	-	-	1,500,000	0.7	33,000
	Total MtMagnet	2,300,000	1.5	110,000	18,000,000	2.1	1,200,000	13,000,000	1.9		810,000 34,000,000	2.0	2,200,000
	Edna May	-	-	-	21,000,000	0.9	580,000	5,100,000	0.8		130,000 26,000,000	0.9	720,000
	Edna May UG	-	-	-	310,000	6.9	70,000	12,000	6.7	2,700	330,000	6.9	73,000
Edna	Greenfinch	-	-	-	2,700,000	1.1	94,000	1,700,000	1.1	60,000	4,400,000	1.1	150,000
May	ROM & LGstocks	1,700,000	0.5	25,000	-	-	-	-	-	-	1,700,000	0.5	25,000
	Total Edna May	1,700,000	0.5		25,000 24,000,000	1.0	750,000	6,800,000	0.9		200,000 32,000,000	0.9	970,000
Vivien	Vivien UG	370,000	5.8	68,000	41,000	3.9	5,100	34,000	2.9	3,100	440,000	5.4	77,000
	Mossbecker	-	-	-	110,000	2.6	8,900	120,000	3.4	13,000	230,000	3.0	22,000
	Yellow Aster	-	-	-	91,000	3.8	11,000	300,000	2.0	18,000	390,000	2.4	30,000
KathleenValley	Nil
	Desperandum	-	-	-	23,000	5.8	4,400	100,000	2.9	9,500	120,000	3.5	14,000
	Total KV	-	-	-	220,000	3.4	24,000	520,000	2.5	41,000	750,000	2.7	66,000
Coogee	Coogee	-	-	-	31,000	3.6	3,600	65,000	3.3	7,000	96,000	3.4	11,000
WesternQueen	WQ South	-	-	-	100,000	3.6	12,000	81,000	3.4	8,800	180,000	3.5	21,000
Symes	Symes Find	-	-	-	400,000	1.9	24,000	150,000	2.1	10,000	540,000	1.9	34,000
	Dolly Pot	-	-	-	560,000	1.7	31,000	44,000	1.7	2,300	610,000	1.7	34,000
	Dugite	-	-	-	250,000	1.9	15,000				250,000	1.9	15,000
	Python	-	-	-	760,000	1.9	47,000	170,000	1.8	10,000	940,000	1.9	57,000
	Goldstream	-	-	-	100,000	2.5	8,300	130,000	1.4	5,900	230,000	1.9	14,000
Marda	Golden Orb	-	-	-	370,000	3.0	35,000	190,000	1.8	11,000	560,000	2.6	46,000
	King Brown	-	-	-	130,000	4.3	18,000	41,000	1.9	2,600	170,000	3.7	21,000
	Die Hardy	-	-	-	1,100,000	1.6	54,000	450,000	1.5	21,000	1,500,000	1.6	75,000
	Red Legs	-	-	-	-	-	-	370,000	2.9	34,000	370,000	2.9	34,000
Tampia	Total MardaTampia	-390,000	-2.4	-31,000	3,200,0007,700,000	2.01.7	210,000420,000	1,400,000130,000	2.01.8	87,0007,400	4,600,0008,200,000	2.01.7	300,000460,000
Total Resource		4,700,000			1.6 240,000 54,000,000	1.6		2,700,000 22,000,000	1.6	1,200,000	81,000,000	1.6	4,100,000

Figures rounded to 2 significant figures. Rounding errors may occur. RAMELIUS RESOURCES ANNUAL REPORT 2019

Mineral Resource Commentary

Mt Magnet is comprised of numerous gold deposits contained within a contiguous tenement holding, located within an 8km radius of the processing facility. The Galaxy group includes the Saturn, Mars, Titan, Brown Hill and Vegas deposits. Current mining operations include the Milky Way, Eridanus, Stellar West & Vegas open pits, and the Hill 60 and Shannon underground mines. Vivien is a high grade quartz lode deposit, located near Leinster.

The Edna May mine was acquired in October 2017. It was re-modelled and reported in early 2018, following a significant underground and surface drilling campaign. It comprises of the large-scale Edna May stockwork deposit and the related, adjacent Greenfinch deposit. Two high grade quartz lodes are modelled within the broader Edna May deposit. Underground mining is in progress on high grade lodes and large low grade stockpiles are providing significant mill feed.

All deposits have been depleted for mining during the 2019 financial year.

Acquisition of the Marda and Tampia projects has provided the main increase to Mineral Resources. Both are unmined ore deposits. Marda comprises a number of BIF hosted gold deposits, located 120km north of Southern Cross. Tampia is hosted within amphibolite facies mafic rocks 12km SE of Narembeen in the WA wheatbelt. Symes Find is located 120km SSE of Edna May, also in the WA wheatbelt and consists of lateritic and primary

mineralisation hosted in mafic gneiss units similar to Tampia.

All resources are based on combinations of RC and diamond drill holes. Sampling has been via riffle or cone splitters (RC) or by sawn half core. Assay is carried out by commercial laboratories and accompanied by QAQC samples. A substantial proportion of drill data is historic in nature or gathered by previous owners, however Ramelius has added significant further drilling for all deposits, especially those forming Ore Reserves. Mineralisation has been modelled via crosssectional interpretations using deposit appropriate lower cut-off grade shapes and geological interpretations. Geological understanding has formed the basis of all ore interpretations. Interpretations have then been wireframed using geological software, including Micromine, Leapfrog & Surpac. Mineralisation has been grouped by domain where required and statistical analysis, top-cutting and estimation carried out using anisotropic search ellipses. Estimation uses Ordinary Kriging and/or Inverse Distance methods. Modelling has been undertaken with recognition of the probable mining method and minimum mining widths and resource classifications reflect drill spacing, data quality, geological and grade continuity. Density information for fresh rock is generally well established and new measurements have frequently been obtained. Nearly all deposits listed, with the exceptions of Marda and Tampia, have had some degree of recent production or historic mining. Resources are reported using cutoffs approximating an A$1,850/oz gold price.

ORE RESERVES

Table B: Ore Reserves

ORE RESERVE STATEMENT AS AT 30 JUNE 2019
			Proven			Probable		Total Reserve
Project	Deposit	t	g/t	oz	t	g/t	oz	t	g/t	oz
	Boomer	-	-	-	130,000	2.9	12,000	130,000	2.9	12,000
	Brown Hill	-	-	-	620,000	1.6	31,000	620,000	1.6	31,000
	Eridanus	-	-	-	3,100,000	1.1	110,000	3,100,000	1.1	110,000
	Golden Stream	-	-	-	95,000	3.0	9,200	95,000	3.0	9,200
	Milky Way	-	-	-	200,000	1.2	7,800	200,000	1.2	7,800
	Morning Star	-	-	-	1,100,000	1.9	68,000	1,100,000	1.9	68,000
	Stellar	-	-	-	170,000	2.7	15,000	170,000	2.7	15,000
Mt Magnet	Vegas	-	-	-	180,000	1.3	7,500	180,000	1.3	7,500
	Total Open Pit	-	-	-	5,600,000	1.4	260,000	5,600,000	1.4	260,000
	Hill 60	-	-	-	240,000	3.2	25,000	240,000	3.2	25,000
	Shannon	-	-	-	290,000	5.1	48,000	290,000	5.1	48,000
	Total Underground	-	-	-	530,000	4.3	73,000	530,000	4.3	73,000
	ROM & LG stocks	1,500,000	0.7	33,000	-	-	-	1,500,000	0.7	33,000
	Mt Magnet Total	1,500,000	0.7	33,000	6,100,000	1.7	330,000	7,600,000	1.5	360,000
	Edna May UG	-	-	-	420,000	4.7	63,000	420,000	4.7	63,000
	Greenfinch	-	-	-	1,700,000	1.2	62,000	1,700,000	1.2	62,000
Edna May	ROM & LG stocks	1,700,000	0.5	25,000	-	-	-	1,700,000	0.5	25,000
	Edna May Total	1,700,000	0.5	25,000	2,100,000	1.9	130,000	3,700,000	1.3	150,000
Vivien	Vivien UG	220,000	6.2	44,000	-	-	-	220,000	6.2	44,000
	Dolly Pot	-	-	-	300,000	1.7	16,000	300,000	1.7	16,000
	Dugite	-	-	-	170,000	2.0	11,000	170,000	2.0	11,000
	Python	-	-	-	320,000	2.2	22,000	320,000	2.1	22,000
	Goldstream	-	-	-	71,000	2.6	6,000	71,000	2.6	6,000
Marda	Golden Orb East	-	-	-	64,000	4.2	8,600	64,000	4.2	8,600
	Golden Orb West	-	-	-	140,000	2.7	12,000	140,000	2.7	12,000
	King Brown	-	-	-	75,000	5.3	13,000	75,000	5.4	13,000
	Marda Total	-	-	-	1,100,000	2.5	89,000	1,100,000	2.5	89,000
Tampia	Tampia	170,000	3.7	20,000	2,000,000	2.7	180,000	2,200,000	2.8	200,000
Total Reserve		3,600,000	1.1		120,000 11,000,000	2.0		720,000 15,000,000	1.8	840,000

Figures rounded to 2 significant figures. Rounding errors may occur.

Ore Reserve Commentary

All Ore Reserves have been reported from Measured and Indicated Resources only. Current operational open pits are Milky Way, Vegas and Eridanus and these were depleted via mining to the end of June 2019. Current underground operations are the Vivien, Edna May, Shannon and Hill 60 mines which were also depleted. All Ore Reserves have been generated from a number of internal and external mining optimisations and open pit or underground design studies using appropriate cost, geotechnical, slope angle, stope span, dilution, cut-off grade and recovery parameters. Ore Reserves are utilised in the current Life of Mine plan. Mining approvals processes are in progress for the Greenfinch, Tampia and Marda open pits.

Ore Reserve Commentary (continued)

The Eridanus Ore Reserve is based on an open pit mine design and has been reported from Indicated Resource only. It has been calculated from several internal and external optimisation and design studies using appropriate cost, geotechnical, slope design criteria, dilution, cut-off grade and recovery parameters. Ore Reserves are reported above 0.6g/t Au. The design pit totals 5.5Mbcm, is 450m long and reaches a maximum depth of 110m.

Ore Reserve gold prices as below (per oz), were used to generate appropriate cut-offs;

Mt Magnet open pits reserves utilise a gold price of A$1,650 and underground utilise a gold price of A$1,800
Edna May open pits reserves utilise a gold price of A$1,650 and underground utilise a gold price of A$1,800
Vivien reserves utilise a gold price of A$1,800
Marda open pits reserves utilise a gold price of A$1,700
Tampia open pits reserves utilise a gold price of A$1,800

Mining, milling and additional overhead costs are based on currently contracted and budgeted operating costs. Costs for Vivien underground mining and ore haulage are based on current contracted and budgeted rates. Mill recoveries for all ore types are well established. Mt Magnet and Edna May stockpiles consist of ROM stocks & low grade stocks mined post 2012.

COMPETENT PERSONS

The information in this report that relates to Mineral Resources and Ore Reserves is based on information compiled by Rob Hutchison (Mineral Resources) and Duncan Coutts (Ore Reserves), who are Competent Persons and Members of The Australasian Institute of Mining and Metallurgy. Rob Hutchison and Duncan Coutts are full-time employees of the Company. Rob Hutchison and Duncan Coutts have sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Rob Hutchison and Duncan Coutts consent to the inclusion in this report of the matters based on their information in the form and context in which it appears.

NATIVE TITLE STATEMENT

Exploration and mining areas held by the Company may be subject to issues associated with Native Title. While it is not appropriate to comment in any detail upon specific negotiations with Native title parties, the directors of Ramelius believe it is important to state the Company's policy and approach to Native Title and dealings with indigenous communities.

The directors believe that the following native title policy statement summarises the Company's desire to develop a spirit of cooperation in its dealings with indigenous people, create goodwill, mutual awareness and understanding and most importantly, respect and commitment.

Recognition and Respect

Ramelius recognises Aboriginal regard for land and respects their culture, traditions and cultural sites.

Understanding and Trust

Ramelius listens to Aboriginal community representatives to understand their views and beliefs. Recognising that communities may not be fully appreciative of how the Company's business and industry operates, Ramelius works towards increasing their understanding, respect and trust and to promote the Company's obligations and economic constraints among indigenous communities.

Ramelius ensures that its employees and contractors approach the Company's activities at local sites with respect and a clear understanding of important issues and priorities.

Communication and Commitment

Ramelius adopts practical measures to develop trust. Acknowledging that community leaders and representatives have an obligation to consult their people to determine their opinions and wishes, and that this may often not be achieved as quickly as is desired, Ramelius uses its best endeavours to expedite the process and ensure that its commercial interests are not adversely impacted.

The Company also uses its best endeavours to ensure reasonable rights of consultation and continued access to land are facilitated and the integrity of land is preserved.

The Company is committed to taking appropriate steps to identify and reduce the effects of any unforeseen impacts from its activities.

SUSTAINABILITY STATEMENT

The Ramelius Board of Directors maintains oversight of sustainability issues. Sustainability embraces how Ramelius conducts business and includes workforce occupational health and safety, social responsibility to the general community, minimising business operational impact on the environment and protecting the Company's reputation as a gold producer in Australia.

The following is a summary of how Ramelius deals with sustainability.

WORKFORCE HEALTH AND SAFETY

Ramelius is committed to providing a healthy and safe environment for all employees and contractors. This is achieved as follows:

Creating a culture that promotes health and safety in the best interests of all workforce participants;
Regular site safety meetings which encourage identification of issues and continual improvement;
Strict mine site entry procedures and requirements including enforcement of a drug and alcohol policy and testing of site personnel;
Incident investigations and reporting to the Board;
Documented and regular review of emergency procedures and processes;
Ongoing staff training; and
by a process of risk management.

RAMELIUS RESOURCES ANNUAL REPORT 2019

SUSTAINABILITY STATEMENT (CONTINUED)

SOCIAL RESPONSIBILITY

Ramelius endeavours to build and maintain a sustainable and diverse workforce focused on high performance. The Company publically reports to shareholders and investors to ensure they are informed on corporate governance issues and the entity's approach to sustainability matters. The Company's efforts in regard to social responsibility include the following:

Maintaining and reviewing the Company's diversity policy which encourages a workforce comprised of individuals with diverse backgrounds, experiences, values and skills;
Encouraging staff training and ongoing professional development;
Acknowledgement of native title which promotes indigenous regard for land and respect of their culture, traditions and cultural sites;
Engagement of shareholders and investors through presentations, roadshows and information booths at various industry conferences;
Encouraging full participation of shareholders at the Annual General Meeting to ensure a high level of accountability and identification with the Company's strategy and goals
Providing security holders with an on-line voting facility to enable voting through a secure website or mobile device and providing the option to receive and send communications electronically;
Identification and ongoing management of economic and other business-related risks including the maintenance of a risk register; and
Community support through sponsorships and donations.

Sunrise at Edna May Gold mine

SUSTAINABILITY STATEMENT (CONTINUED)

ENVIRONMENTAL PROTECTION

The Company has policies and procedures in place which aim to protect the environment. Ramelius seeks to comply with legislative requirements and to promote a high regard for the environment in conducting its business. Key areas on which Ramelius focuses to address this important sustainability issue are summarised below:

Environmental incidence documentation and reporting;
Addressing biodiversity issues as part of the Company's planning for and conduct of exploration and mining activities including flora and fauna studies, native vegetation recording and disturbed land restoration;
Conducting environmental impact studies and preparing reports thereon including rehabilitation measures for government assessment as part of the process in seeking approval for proposed mining activities;

Undertaking appropriate waste product management activities including mine site sewage, tailings and other hazardous materials, dust and general waste;
Landfill rehabilitation and conducting ongoing restoration wherever possible;
Maintaining a focus on the efficient use of resources including water and power;
Implementing water and other resource recycling measures; and
Facilitating environmental pollution audits and reporting.

Edna May Gold Mine

Southern Waste Dump

RAMELIUS RESOURCES ANNUAL REPORT 2019

SUSTAINABILITY STATEMENT (CONTINUED)

WATER RESOURCE MANAGEMENT

Ramelius conducts open pit gold mining and processing at its Mt Magnet and Edna May operations and underground gold mining at its Mt Magnet, Edna May and Vivien sites located in Western Australia where water management is an important and integral part of site activities. We seek to engage with our local communities and government regulators to promote efficient water use and effective catchment management to help improve water security. The Company's objectives with respect to effective water management at its operating sites includes:

maximising water use efficiency at all mine sites to reduce the need for water to be abstracted from the environment;
ensuring water management planning includes consideration of mine voids at closure;
ensuring that environmental, social and cultural values are not adversely affected from the abstraction and release of water;
effective planning and design of mining activity to ensure quality and quantity of public and private drinking water supplies are not adversely affected; and
optimising the use of excess water from mine dewatering, either on site or off site, to reduce adverse effects of releases to the environment.

DIVERSITY STATEMENT

Ramelius acknowledges that benefits flow from a workforce comprised of individuals with diverse backgrounds, experiences, values and skills. The Company is committed to recruitment based on qualifications, skills, abilities and merit to ensure workforce vacancies are filled with the most suitable employees available regardless of gender, religion, cultural background or marital status. Ramelius values the contribution of all its employees and encourages personal development and training of employees to achieve their full potential for the mutual benefit of Ramelius and employees.

WORKPLACE GENDER PROFILE

During the year, the Company updated its workplace gender profile as follows.

WORKPLACE PROFILE
	Women			Men		Casual		%
	FullTime	PartTime	FullTime	PartTime	Women	Men	TotalStaff	Women	Men
Board*	-	-	4	-	-	-	4	-	100.00
Senior Executives/KMP's	-	-	4	-	-	-	4	-	100.0
Managers	2	-	15	-	-	1	18	11.1	88.9
Professional Staff	3	1	28	-	-	3	35	11.4	88.6
Technical Staff	10	-	86	-	-	10	106	9.4	90.6
Community & PersonalService Staff	3	-	5	-	2	3	13	38.4	61.6
Clerical & AdministrativeStaff	10	1	4	-	2	1	18	83.3	16.7
Machinery Operators andDrivers	1	-	48	-	1	3	53	3.7	96.3
Other	-	-	1	-	-	-	1	-	100.0
Total	29	2	195	-	5	21	252	14.2	85.8

*Excludes appointment of Natalia Streltsova on 1 October 2019

RAMELIUS RESOURCES ANNUAL REPORT 2019

CORPORATE GOVERNANCE STATEMENT

The Board of Directors is responsible for the overall Corporate Governance of the Company including strategic direction, management goal setting and monitoring, internal control, risk management and financial reporting. In discharging this responsibility, the Board seeks to take into account the interests of all key stakeholders of the Company, including shareholders, employees, customers and the broader community.

Ramelius is committed to conducting its business with high standards of ethics and corporate governance in the best interests of all stakeholders.

The 2019 Corporate Governance Statement of Ramelius has been lodged with the Australian Securities Exchange Limited and is publically available from the "Investors" section of the Company's website at www.rameliusresources. com.au

financial report 2019

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DIRECTORS' REPORT

Your Directors present their report on the consolidated entity consisting of Ramelius Resources Limited and the entities it controlled at the end of, or during, the year ended 30 June 2019. Throughout the report, the consolidated entity is referred to as the group. Unless specifically noted, all dollar amounts disclosed in this report are Australian Dollars (A$ or AUD).

Directors and Company secretary

The following persons were Directors of Ramelius Resources Limited during the whole of the financial year and up to the date of this report: Kevin Lines

Mark Zeptner Michael Bohm

David Southam was appointed as a Director on 2 July 2018 and continued in office at the date of this report.

The Company Secretary is Richard Jones. Mr Jones was appointed to the position of Company Secretary on 30 November 2018 after serving as Joint Company Secretary from 1 October 2018. Mr Jones has nearly 20 years' experience as a corporate commercial lawyer in both private and in-house capacities and across various industries. He has also served as Company Secretary for ASX listed and unlisted companies in the mining sector.

Principal activities

The principal activities of the group during the year included exploration, mine development, mine operations and the production and sale of gold. There were no significant changes to those activities during the year.

Operations review

A review of the group's operations during the year ended 30 June 2019 is provided in the section of the report headed 'Review of Operations', which commences on page 8.

Development & exploration projects

A review of the group's development and exploration projects during the year ended 30 June 2019 is provided in the section of the report headed 'Development & Exploration Projects, which commences on page 14.

Dividends

Dividends recommended but not yet paid

Since the end of the 2019 financial year the Directors have recommended the payment of a fully franked final dividend of 1 cent per fully paid share. The fully franked final dividend will have a record date of 4 September 2019 and a payment date of 4 October 2019.

The financial effect of the final dividend has not been brought to account in the financial statements for the year ended 30 June 2019 and will be recognised in subsequent financial reports.

Dividends paid

There were no dividends paid in the year ended 30 June 2019.

Significant changes in the state of affairs

Acquisition of the Tampia Hill Gold Project (Explaurum Limited)

The Tampia Hill Gold Project is located near Narembeen, 204km east of Perth in Western Australia and 140km by road from the existing Edna May gold mine and processing facility. The Tampia Hill Gold Project has a Mineral Resource of 460,000 ounces and an Ore Reserve of 200,000 ounces (refer to ASX Announcement dated 17 June 2019 "Life of Mine and Tampia Update").

On 10 September 2018 Ramelius announced an initial off-market takeover bid to acquire all of the ordinary shares of Explaurum Limited ("Explaurum"). Under the offer, Explaurum shareholders would have received one (1) Ramelius share for every four (4) Explaurum shares held.

On 13 December 2018 Ramelius announced an improved, best and final takeover offer for Explaurum. Under the improved offer Explaurum shareholders received $0.02 cash for every Explaurum share held in addition to the existing consideration of one (1) Ramelius share for every four (4) Explaurum shares held. On 18 December 2018 the Explaurum Board unanimously recommended that Explaurum shareholders accept the Ramelius offer in the absence of a superior proposal.

Control of Explaurum was attained on 27 December 2018. The offer formally closed on 25 February 2019 with Ramelius holding a relevant interest in 95.58% of Explaurum shares. On this date Ramelius exercised its compulsory acquisition powers under the Corporations Act to acquire the remaining Explaurum shares. The compulsory acquisition was completed on 4 April 2019 with Ramelius having a 100% relevant interest in Explaurum Limited and its subsidiaries.

Significant changes in the state of affairs (continued)

Acquisition of the Tampia Hill Gold Project (Explaurum Limited) (continued)

A total of $8.5 million cash consideration (net of receipts) was paid along with 127,778,619 Ramelius shares issued to Explaurum Shareholders as part of the offer. Acquisition costs totaled $4.9 million which includes stamp duty on the transaction.

Acquisition of the Marda Gold Project

The Marda Gold Project is located 191km north-northeast of the Edna May operations and is amenable to processing at the existing Edna May facilities. The Marda Gold Project has a Mineral Resource of 300,000 ounces and an initial Ore Reserve of 89,000 ounces.

On 13 September 2018 Ramelius entered into a binding agreement for the acquisition of Black Oak Minerals Limited (in Liquidation) ("BOK"), the owner of the Marda Gold Project, for $13.0 million.

A BOK creditors meeting held on 1 November 2018 approved the acquisition of BOK by Ramelius paving the way for Ramelius to apply to the Federal Court of Australia for the transfer of the shares in BOK to the group. On 31 January 2019 the Federal Court of Australia approved the transfer of shares with completion occurring on 13 February 2019. Transaction costs were $0.9 million.

Further details of the acquisitions can be found in note 17 to the financial statements.

Greenfinch approvals delayed

The Clearing Permit for Edna May was rejected by the Department of Mines, Industry Regulations and Safety (DMIRS) in November 2018. This decision was appealed by Ramelius and, on 13 May 2019, the Environment Minister upheld the decision of the DMIRS. However, at the same time, the Environment Minister invited Ramelius to re-submit a revised Clearing Permit application. This revised submission, with a materially reduced project footprint, was made in June 2019 and focused on avoiding all of the Declared Rare Flora species, Eremophila resinosa, without loss of the original 57,000 ounces of recoverable gold.

There were no other significant changes in the state of affairs of the group that occurred during the financial year not otherwise disclosed in this report or the financial statements.

Events since the end of the financial year

No matter or circumstance has arisen since 30 June 2019 that has significantly affected the group's operations, results, or state of affairs, or may do so in the future.

Financial review

Financial performance	MtMagnet$M	EdnaMay$M	Corp &other$M	Group2019$M	2018$M	Change$M	Change%
Revenue	207.2	145.6	-	352.8	341.8	11.0	+ 3 %
Cash costs of production	(130.1)	(80.1)	-	(210.2)	(209.4)	(0.8)	+ 0 %
Gross margin excluding"non-cash" items	77.1	65.5	-	142.6	132.4	10.2	+ 8 %
Amortisation and depreciation	(67.9)	(13.4)	-	(81.3)	(80.7)	(0.6)	+ 1 %
Inventory movements	5.3	(23.0)	-	(17.7)	8.2	(25.9)	- 316 %
Gross profit	14.5	29.1	-	43.6	59.9	(16.3)	- 27 %
Earnings before interest & tax (EBIT)	14.5	29.1	(12.9)	30.7	46.2	(15.5)	- 34 %
Profit / (loss) before income tax	14.5	29.1	(13.2)	30.4	45.5	(15.1)	- 33 %
Income tax expense	-	-	(8.6)	(8.6)	(14.7)	6.1	- 41 %
Profit / (loss) for the year fromcontinuing operations	14.5	29.1	(21.8)	21.8	30.8	(9.0)	- 29 %

2019 Financial performance

Financial review (continued)

Revenue reconciliation between 2019 and 2018

Revenue

Revenue for the year ended 30 June 2019 increased by 3% to $352.8 million compared to $341.8 million for the year ended 30 June 2018. The main driver behind this has been an improved gold price environment with lower production from Mt Magnet being offset by increased production at Edna May:

Mt Magnet gold sales decreased by 11% or 15,568 ounces due to the lower grades as discussed within this report;
Edna May gold sales increased by 23% or 15,861 ounces due to the operation being owned for the full financial year (owned for only nine months of the 2018 financial year) as well as higher throughput rates;
The realised gold price was $1,726 per ounce, a 3% increase on the 2018 realised gold price of $1,679, and slightly below the average spot price for the year of A$1,768 per ounce;
Silver & other sales increased to $1.8 million in 2019 from $0.8 million in 2018, this was mainly due to the sale of equipment at Edna May as the mine moved to a contractor model when operations focused on the underground development.

Earnings before interest & tax (EBIT)

The EBIT for the year ended 30 June 2019 was $30.7 million compared to $46.2 million for the year ended 30 June 2018, representing a 34% decrease.

Mt Magnet delivered an EBIT of $14.5 million for the year ended 30 June 2019 which was down from the $44.2 million gross profit for the year ended 30 June 2018. Profitability at Mt Magnet was down on 2018 due to slightly higher operating costs and lower grades in 2019 financial year at that operation. The cost per tonne at Mt Magnet was up 7% on the prior year due to higher operating costs due to higher stripping costs at Milky Way in the year and the operations moving to smaller open pits which have lower productivity rates.

Whilst operating costs were higher the main driver of the reduced profitability has been due to the lower grades at Mt Magnet & Vivien with the total cost of sales per ounce increasing 19%. Grades were down at the Mt Magnet project as a result of 58% less high grade underground ore being available as mining at Water Tank Hill concluded and underground operations focused on the development of the new Hill 60 and Shannon underground mines. The development of these underground mines in 2019 will deliver higher grades in the 2020 financial year. This drop in underground ore was offset in part by a 6% increase in the grade of open pit ore fed into the processing plant at Mt Magnet. Whilst the volumes from the Vivien mine were comparable to the 2018 financial year grades at Vivien decreased 20% on the 2018 grades.

Edna May delivered an EBIT of $29.1 million for the year ended 30 June 2019 compared to $15.7 million for the year ended 30 June 2018. Whilst this is in part due to the operation being controlled by Ramelius for the whole financial year in 2019 it is also, and more importantly, attributable the improved financial performance of the operation. Profitability at Edna May increased in the 2019 financial year with the completion of the Stage 2 open pit delivering higher than expected grades. This was despite the business incurring costs involved in the restructure of the operations as a seamless transition to the Greenfinch project was not possible. As the Stage 2 stockpiles were exhausted the mill feed came to rely on the low grade stockpiles which again delivered excellent, and higher than expected, grades.

Financial review (continued)

Earnings before interest & tax (EBIT) (continued)

Low grade ore stockpiles will continue to be the primary source of ore feed at Edna May until the Marda and Greenfinch ore becomes available and will continue to be used for blending purposes. Low grade ore has delivered positive earnings as well as positive cash flow over the year.

Reconciliation of movement in EBIT from 2018 to 2019

Overall the cost of sales for the group (on a per tonne basis) decreased 9%, however, the cost of sales increased in absolute terms as a result of higher tonnes being milled. This has not been reflected in higher gold sales revenue due to the decreased grades across the group's operations.

Net profit after tax (NPAT)

A net profit after income tax of $21.8 million was recorded for the year ended 30 June 2019, representing a decrease of 29% from the year ended 30 June 2018.

Net finance costs, which include interest income and non-cash financing costs relating to the unwinding of provisions and contingent consideration, were comparable to the 2018 financial year.

The effective tax rate of the group for the year ended 30 June 2019 was 28% compared to 32% for the year ended 30 June 2018. The 30 June 2018 effective tax rate was higher due to non-deductible costs associated with the acquisition of Edna May.

Cashflow

The net cash from operations for the year was $137.0 million compared to $118.9 million in the 2018 financial year. This has been due to the monetisation of ore stockpiles and gold on hand that was accumulated in the prior year. Ore & gold stockpiles decreased $17.7 million in the financial year ended 30 June 2019 compared to a build-up of gold and ore stockpiles in the 2018 financial year of $8.2 million.

A total of $109.0 million was re-invested during the year which included:

Payments for the Tampia Gold Project (Explaurum Limited) (net of cash acquired) of $8.4 million;
Payments for the Marda Gold Project (Black Oak Minerals Limited) of $13.2 million;
Payments for the development of open pit and underground mines of $58.2 million; and
Payments for mining tenements and exploration of $19.0 million.

Free cash flow# for the year was $51.8 million (2018: $34.9 million). Cash on hand at the end of the financial year was $95.8 million compared to $68.2 million at 30 June 2018. As at 30 June 2019 a total of 5,465 ounces of gold were on hand with the reported cash and gold bullion on hand at 30 June 2019 being $106.8 million (2018: $88.7 million).

Corporate

Ramelius held forward gold sales contracts at 30 June 2019 totaling 240,900 ounces of gold at an average price of A$1,834 per ounce over a period to August 2021. This compared to forward gold sales contracts at 30 June 2018 totaling 140,250 ounces of gold at an average price of A$1,719 per ounce over a period to November 2019. The level of price protection has increased as the group's production profile has increased along with the record AUD gold prices enabling attractive cash margins to be secured.

- Free cash flow is defined as operating cash flows less payments for development, exploration and property, plant, and equipment.

Material business risks

The material business risks for the group include:

• Fluctuations in the United States Dollar ("USD") spot gold price and AUD/USD exchange rate: The financial results and position of the group are reported in Australian dollars. Gold is sold throughout the world based principally on the U.S. dollar price. Accordingly, the groups revenues are linked to both the USD spot gold price and AUD/USD exchange rate. Volatility in the gold price creates revenue uncertainty and requires careful management to ensure that operating cash margins are maintained should there be a sustained fall in the AUD spot gold price. The group uses AUD gold forward contracts, within certain Board approved limits, to manage exposure to fluctuations in the AUD gold price.
• Government regulation: The group's mining, processing, development and exploration activities are subject to various laws and statutory regulations governing prospecting, development, production, taxes, royalty payments, labour standards and occupational health, mine safety, toxic substances, land use, water use, communications, land claims of local people and other matters.

No assurance can be given that new laws, rules and regulations will not be enacted or that existing laws, rules and regulations will not be applied in a manner which could have an adverse effect on the group's financial position and results of operations. Any such amendments to current laws, regulations and permits governing operations and activities of mining and exploration, or more stringent implementation thereof, could have a material adverse impact on the group.

• Operating risks and hazards: The group's mining operations, consisting of open pit and underground mines, involve a degree of risk. The group's operations are subject to all the hazards and risks normally encountered in the exploration, development and production of gold. Processing operations are subject to hazards such as equipment failure, toxic chemical leakage, loss of power, fast-moving heavy equipment, failure of tailings disposal pipelines and retaining dams around tailings containment areas, rain and seismic events which may result in environmental pollution and consequent liability. The impact of these events could lead to disruptions in production and scheduling, increased costs and loss of facilities, which may have a material adverse impact on the group's results of operations, financial condition, license to operate and prospects. These risks are managed by a structured operations risk management framework, experienced employees and contractors and formalised procedures. Ramelius also has in place a comprehensive insurance program with a panel of experienced industry supportive underwriters.
• Production, cost and capital estimates: The group prepares estimates of future production, operating costs and capital expenditure relating to production at its operations. The ability of the group to achieve production targets or meet operating and capital expenditure estimates on a timely basis cannot be assured. The assets of the group are subject to uncertainty with regards to ore tonnes, grade, metallurgical recovery, ground conditions, and operational environment. Failure to achieve production, cost or capital estimates, or material increases to costs, could have an adverse impact on the group's future cash flows, profitability and financial condition. The development of estimates is managed by the group using a rigorous budgeting and forecasting process. Actual results are compared with forecasts and budgets to identify drivers behind discrepancies which may result in updates to future estimates.
• Exploration and development risk: An ability to sustain or increase the current level of production in the longer term is in part dependent on the success of the group's exploration activities and development projects, and the expansion of existing mining operations.

The exploration for, and development of, mineral deposits involves significant risks that even a combination of careful evaluation, experience and knowledge may not eliminate. While the discovery of an ore body may result in substantial rewards, few properties that are explored subsequently have economic deposits of gold identified, and even fewer are ultimately developed into producing mines. Major expenses may be required to locate and establish mineral reserves, to establish rights to mine the ground, to receive all necessary operating permits, to develop metallurgical processes and to construct mining and processing facilities at a particular site.

• Ore Reserves and Mineral Resources: The group's estimates of Mineral Resources and Ore are based on different levels of geological confidence and different degrees of technical and economic evaluation, and no assurance can be given that anticipated tonnages and grades will be achieved, that the indicated level of recovery will be realised or that Ore Reserves could be mined or processed profitably. The quality of any Mineral Resources and Ore Reserves estimate is a function of the quantity of available technical data and of the assumptions used in engineering and geological interpretation, and modifying factors affecting economic extraction. Such estimates are compiled by experienced and appropriately qualified personnel and subsequently reported by Competent Persons under the JORC Code. Fluctuation in gold prices, key input costs to production, as well as the results of additional drilling, and the evaluation of reconciled production and processing data subsequent to any estimate may require revision of such estimates.

Material business risks (continued)

Actual mineralisation of ore bodies may be different from those predicted, and any material variation in the estimated Ore Reserves, including metallurgy, grade, dilution, ore loss, or stripping ratio at the group's properties may affect the economic viability of its properties, and this may have a material adverse impact on the group's results of operations, financial condition and prospects. There is also a risk that depletion of reserves will not be offset by discoveries or acquisitions, or that divestitures of assets will lead to a lower reserve base. The reserve base of the group may decline if reserves are mined without adequate replacement and the group may not be able to sustain production beyond current mine lives, based on current production rates.

• Climate Change: Ramelius acknowledges that climate change effects have the potential to impact our business. The highest priority climate related risks include reduced water availability, extreme weather events, changes to legislation and regulation, reputational risk, and technological and market changes. The group is committed to understanding and proactively managing the impact of climate related risks to our business. This includes integrating climate related risks, as well as energy considerations, into our strategic planning and decision making.

Environmental regulation

Regulations

The operations of the group in Australia are subject to environmental regulations under both Commonwealth and State legislation. In the mining industry, many activities are regulated by environmental laws as they may have the potential to cause harm and/or otherwise impact upon the environment. Therefore, the group conducts its operations under the necessary State Licences and Works Approvals to carry out associated mining activities and operate a processing plant to process mined resources. The group's licences and works approvals are such that they are subject to audits both internally and externally by the various regulatory authorities. These industry audits provide the group with valuable information in regard to environmental performance and opportunities to further improve systems and processes, which ultimately assist the business in minimising environmental risk.

Reporting

Due to the various licences and works approvals the group holds, annual environmental reporting (for a 12-month period) is a licence and works approval condition. The group did not experience any reportable environmental incidents for the reporting year 2018-2019. Regulatory agencies requiring annual environmental reports are outlined below but are not limited to the following:

Department of Water and Environmental Regulation (DWER);
Department of Mines, Industry Regulation and Safety (DMIRS);
Tenement Condition Report;
Native Vegetation Clearing Report;
Mining Rehabilitation Fund (MRF) Levy;
National Pollutant Inventory (NPI);
National Greenhouse and Energy Reporting Scheme (NGERS); and
Bureau of Land Management.

Sustainability

The group is committed to environmental performance and sustainability and works closely with the regulatory authorities to minimise the environmental impact and achieve sustainable operations. Where the business can, continuous improvement processes are implemented to improve the operation and environmental performance. The group seeks to build relationships with all stakeholders to ensure that their views and concerns are taken into account in regard to decisions made about the operations, to achieve mutually beneficial outcomes. This includes current operations, future planning and post closure activities.

Information on Directors

Kevin Lines BSc (Geology), MAusIMM, MAICD

Independent Non-Executive Chairman

Experience

Mr Lines is a geologist and has more than 35 years' experience in mineral exploration and mining for gold, copper, lead, zinc and tin. He has held senior geological management positions with Newmont Australia Limited, Normandy Mining Limited and the CRA group of companies. He was the foundation Chief Geologist at Kalgoorlie Consolidated Gold Mines where he led the team that developed the ore-body models and geological systems for the Super-Pit Operations in Kalgoorlie.

Interest in Shares and Options 1,000,000 Ordinary Shares

Special responsibilities Chairman of the Board

Member of Audit & Risk Committee

Member of Nomination & Remuneration Committee

Directorships held in other listed entities in the last three years None.

Mark Zeptner BEng (Hons) Mining, MAusIMM, MAICD

Managing Director & Chief Executive Officer

Experience

Mr Zeptner has more than 25 years' industry experience including senior operational and management positions with WMC and Gold Fields Limited at their major gold and nickel assets in Australia and offshore. He joined Ramelius on 1 March 2012 as the Chief Operating Officer, was appointed Chief Executive Officer on 11 June 2014 and Managing Director effective 1 July 2015.

Interest in Shares and Options

3,012,500 Ordinary Shares

1,500,000 Options over Ordinary Shares exercisable at $0.20 expiring on 11 June 2020

500,000 Performance Rights over Ordinary Shares expiring on 11 June 2026

568,956 Performance Rights over Ordinary Shares vesting on 1 July 2021 and expiring on 1 July 2028

Special responsibilities Chief Executive Officer

Directorships held in other listed entities in the last three years None.

Information on Directors (continued)

Michael Bohm B.AppSc (Mining Eng.), MAusIMM, MAICD

Independent Non-Executive Director

Experience

Mr Bohm is a mining engineer with extensive corporate and operational management experience in the minerals industry in Australia, South East Asia, Africa, Chile, Canada and Europe. He is a graduate of the WA School of Mines and has worked as a mining engineer, mine manager, study manager, project manager, project director and Managing Director. He has been directly involved in many project developments in the gold, base metals and diamond sectors in both open pit and underground mining environments.

Interest in Shares and Options

1,237,500 Ordinary Shares (as at 30 June 2019)

Special responsibilities

Chairman of Nomination & Remuneration Committee

Member of Audit & Risk Committee

Directorships held in other listed entities in the last three years

Chairman of Cygnus Gold Limited and Non-Executive Director Mincor Resources NL

Previously a Non-Executive Director of Perseus Mining Limited, Tawana Resources NL and Berkut Minerals Limited

David Southam B.Comm, CPA, MAICD

Independent Non-Executive Director

Experience

Mr Southam is a Certified Practicing Accountant with more than 25 years' experience in accounting, capital markets and finance across the resources and industrial sectors. Mr Southam has been intimately involved in several large project financings in multiple jurisdictions and has completed significant capital market and M & A transactions.

Interest in Shares and Options Nil

Special responsibilities

Chairman of Audit & Risk Committee

Member of Nomination & Remuneration Committee

Directorships held in other listed entities in the last three years

Managing Director of Mincor Resources NL

Previously Executive Director of Western Areas Limited

Previously Non-Executive Director of Kidman Resources Limited

Meetings of Directors

The number of meetings of the Company's Board of Directors and each Board Committee held during the year ended 30 June 2019, and number of meetings attended by each Director were:

			Meetings of Committees
	Full meetings of Directors			Audit & Risk Committee		Nomination &remuneration Committee
Director	A	B	A	B	A	B
Kevin Lines	17	17	6	6	5	5
Mark Zeptner	17	17	-	-	-	-
Michael Bohm	17	17	6	6	5	5
David Southam	15	17	6	6	5	5

A = Number of meetings attended; B = Number of meetings held during the time the Director held office or was a member of the Committee during the year

Remuneration report (audited)

The Directors present the Ramelius Resources Limited 2019 remuneration report, outlining key aspects of our remuneration policy and framework, and remuneration awarded this year. This remuneration report is prepared in accordance with the requirements of the Corporations Act 2001 (the Act) and its regulations. This information has been audited as required by section 308(3C) of the Act.

The remuneration report details the remuneration arrangements for key management personnel (KMP) who are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the group, directly or indirectly, including any directors (executive and non-executive) of Ramelius Resources Limited.

For this report a KMP is a direct report to the Managing Director / Chief Executive Officer which includes the Chief Financial Officer, Chief Operating Officer, General Manager – Exploration, and the Manager Legal / Company Secretary.

The report is structured as follows:

(a) Key management personnel covered in this report
(b) Remuneration governance
(c) Remuneration policy and framework
(d) Elements of remuneration
(e) Link between remuneration and performance
(f) Contractual arrangements for executive KMP
(g) Non-executive director arrangements
(h) Details of KMP remuneration
(i) Other statutory information

(a) Key management personnel covered in this report

Name	Position
Directors of the group during the financial year were:
Kevin Lines	Non-Executive Chairman
Mark Zeptner	Managing Director / Chief Executive Officer
Michael Bohm	Non-Executive Director
David Southam	Non-Executive Director (appointed 2 July 2018)

The KMP during the financial year were:
Tim Manners	Chief Financial Officer
Duncan Coutts	Chief Operating Officer
Kevin Seymour	General Manager – Exploration
Richard Jones 1	Manager Legal / Company Secretary (appointed 1 October 2018)
Domenico Francese 1	Company Secretary (resigned 30 November 2018)

Richard Jones & Domenico Francese served as Joint Company Secretary for the period 1 October 2018 to 30 November 2018.

Details on the Executive and Non-Executive Directors can be found on pages 45 to 46 of the Directors report.

Remuneration report (audited) (continued)

(b) Remuneration governance

The Nomination & Remuneration Committee (NRC) is a Committee of the Board. It is primarily responsible for making recommendations to the Board on:

Non-executive director fees;
Executive remuneration (directors and executives); and
The executive remuneration framework and incentive plan policies.

The objective of the NRC is to ensure that remuneration policies and structures are fair and competitive and aligned with the long-term interests of the Company. In performing its functions, the NRC may seek advice from independent remuneration consultants. No such consultants were engaged during the year.

(c) Remuneration policy and framework

Ramelius has adopted a policy that aims to attract, motivate and retain a skilled executive team focused on contributing to its objective of creating wealth and adding value for its shareholders. The remuneration framework has been formed on this basis. The remuneration framework is based on several factors including the experience and performance of the individual in meeting key objectives of Ramelius.

The objective of the executive remuneration framework includes incentives that seek to encourage alignment of management performance and shareholder interests. The framework aligns executive rewards with strategic objectives and the creation of value for shareholders and conforms to market practices for delivery of rewards.

In determining executive remuneration, the NRC aims to ensure that remuneration practices are:

Competitive and reasonable, enabling the Company to attract and retain and incentivise key talent;
Aligned to the Company's strategic and business objectives and the creation of shareholder value;
Distinctly demonstrate a link between performance and pay;
Structured to have a suitable mix of fixed and performance related variable components;
Acceptable to shareholders, and
Transparent.

The executive remuneration framework is designed to ensure market competitiveness and achievement of the remuneration objective. The remuneration of executives is:

Benchmarked from time to time against similar organisations both within the industry and of comparable market size to ensure uniformity with market practices;
A reflection of individual roles, levels of seniority and responsibility that key personnel hold;
Structured to take account of prevailing economic conditions; and
A mix of fixed remuneration and at-risk performance-based elements using short and long-term incentives.

The executive remuneration framework has three components:

Base pay and benefits, including superannuation;
Short-term performance incentives; and
Long-term incentives through participation in the Performance Rights Plan as approved by the Board.

The combination of these comprises an executive's total remuneration package. Incentive plans are regularly reviewed to ensure continued alignment with financial and strategic objectives.

(d) Elements of remuneration

Ramelius remunerates its executives with a total remuneration package ("TRP") that consists of two components:

Total fixed remuneration; and
Total variable remuneration.

The total variable remuneration ensures an executive's remuneration is aligned to the group's performance, this portion of an executive's remuneration is considered "at risk". Variable remuneration can be in the form of either a short-term incentive (STI) or a long-term incentive (LTI).

Remuneration report (audited) (continued)

(d) Elements of remuneration (continued)

Total fixed remuneration

Total fixed remuneration ("TFR") comprises of base salary, superannuation, and any fringe benefits tax charges related to employee benefits. The group allows a KMP to salary sacrifice certain items such as superannuation and motor vehicles (on a total cost basis).

Remuneration levels are reviewed annually in June by the NRC through a process that considers individual and overall performance of the group. Industry remuneration surveys and data are utilised to assist in this process. There are no guaranteed base pay increases included in any executive contracts.

Short-term incentives

Short-term incentives (STI) allow executives to earn an annual incentive which is linked the group's annual performance.

How is it paid?	Any STI awards are paid in cash after the assessment of the annual performance is made.
	In the 2019 financial year the Managing Director / Chief Executive Officer was able to earn amaximum STI of 60% of the TFR. Other executives were able to earn a maximum STI of 45% oftheir TFR.
How much can anexecutive earn?	In conjunction with the group's key performance measures detailed below, a comprehensivereview of each executive's individual performance is made to determine the achievablepercentage (between 0% - 100%) of the maximum potential STI available to be awarded.This may result in the proportion of remuneration related to performance varying betweenindividual executives.
	A structured set of key performance measures have been selected which are core driversof short-term performance as well as considered important for the group's growth andprofitability.
	For any STI to be paid two "gates" must be passed, these are:
	•No loss of life at any project site; and•No serious environmental breach.
	The KPI's used to measure performance for the Managing Director / Chief Executive Officerare:
	•Net profit after tax relative to budget	30%
	•Gold production relative to budget	20%
How is performance	•All in sustaining cost (AISC) relative to budget	30%
measured?	•Reserve addition to Life of Mine Plan	20%
	The KPI's used to measure performance for the other KMP's are as follows. Ranges are shownas the particular weighting varies depending on the role of the KMP:
	•Net profit after tax relative to budget	20 - 30%
	•Gold production relative to budget	20 - 30%
	•All in sustaining cost (AISC) relative to budget	20 - 30%
	•Reserve addition to Life of Mine Plan	20 - 40%
	The performance is measured relative to the budget with threshold, target, and stretch casesconsidered.
	The STI's are payable at the absolute discretion of the Board, there are several modifiersconsidered by the Board which may result in a downward reduction in the STI's paid.
When is it paid?	The STI award is determined following a review of the financial results, operations, life-ofmine plan and the annual Resources & Reserves Statement by the NRC. This typically occursin the second Quarter of the financial year. No amount is provided for or included in thefinancial report and remuneration report until such review has taken place.

Remuneration report (audited) (continued)

(d) Elements of remuneration (continued)

Short-term incentives (continued)

Based on this assessment, the STI cash payments for the 2018 financial year which were paid in the 2019 financial year are detailed in the following table:

			Maximum STI1		Achieved STI1
Name	Position	%	$	%	$
Mark Zeptner	Managing Director / Chief Executive Officer	60%	326,700	46%	250,470
Tim Manners	Chief Financial Officer	45%	176,963	33%	129,773
Duncan Coutts	Chief Operating Officer	45%	190,575	34%	142,932
Kevin Seymour	General Manger – Exploration	45%	141,750	33%	103,818
Richard Jones 2	Manager Legal / Company Secretary	n/a	n/a	n/a	n/a
Domenico Francese	Company Secretary	45%	163,123	29%	103,455

Amounts disclosed above include superannuation attributable to the STI.

Richard Jones was not employed by the group in the 2018 financial year and as such no bonus payment was made.

Long-term incentives

Under the Ramelius Performance Rights Plan, annual grants of performance rights are made to executives to align remuneration with the creation of shareholder value over the long-term. The LTI's are designed to focus executives on delivering long-term shareholder returns.

How is it paid?	LTI's are provided to selected executives under the Ramelius Performance Rights Plan.Selected executives are eligible to receive performance rights (being entitlements toshares in Ramelius subject to satisfaction of vesting conditions) as long-term incentives asdetermined by the Board in accordance with the terms and conditions of the plan.The plan provides selected executives the opportunity to participate in the equity ofRamelius through the issue of rights as a long-term incentive that is aligned to the longterm interests of shareholders.
How much can anexecutive earn?	Under the Performance Rights Plan, the number of rights granted to executives ranges upto 40% (60% for the Managing Director / Chief Executive Officer) of the executive's TFR andis dependent upon the individual's skills, responsibilities and ability to influence financialor other key objectives of Ramelius. The number of rights granted is calculated by dividingthe LTI remuneration dollar amount by the volume weighted average price of Rameliusshares traded on the Australian Securities Exchange during the 5-trading day period priorto the date of the grant.
How is performancemeasured?	The vesting of performance rights is subject to vesting conditions related to achievementof total shareholder returns (TSR) and period of service. TSR performance is measuredagainst the TSR of a benchmark peer group.The following companies have been identified by Ramelius to comprise the peer group.CompanySaracen Mineral Holdings LimitedRegis Resources LimitedSilver Lake Resources LimitedWestgold Resources LimitedGascoyne Resources LimitedNorthern Star Resources Limited #Resolute Mining Limited #Gold Road Resources LimitedMillennium Minerals LimitedDacian Gold LimitedSt Barbara Limited	ASX CodeSARRRLSLRWGXGCYNSTRSGGORMOYDCNSBM
	Pantoro LimitedBlackham Resources LimitedEvolution Mining Limited #	PNRBLKEVN

Companies added to the peer group on 25 July 2019 but not applied retrospectively

Remuneration report (audited) (continued)

(d) Elements of remuneration (continued)

Long-term incentives (continued)

	The NRC may recommend to the Board to either include or exclude gold miningorganisations available on this list to reflect changes in the industry.The proportion of executive rights that vest is dependent on how the Ramelius TSRcompares to the peer group as follows:
How is performancemeasured?	Relative TSR Over the Vesting andMeasurement Period	Proportion of PerformanceRights Vested
(continued)	Below the 50th percentileAt the 50th percentileBetween the 50th and 75th percentileAt and above the 75th percentile	0%50%Pro-rata between 50% and 100%100%
	Once vested, rights may be exercised within seven years of the vesting date.
	The vesting and measurement period for performance rights granted in the 2017 financialyear have been set over three years with vesting and measurement for each third of thegranted rights occurring at the end of each year during the three-year period.
When is performancemeasured?	For performance rights granted after 30 June 2017 the performance rights vest three yearsafter the grant date.
	Any performance rights that do not vest will lapse after testing. There is no re-testing ofperformance rights.
What happens if anexecutive leaves?	Where an executive ceases to be an employee of the group any unvested performancerights will lapse on the date of cessation of employment, except in limited circumstancesthat are approved by the Board on a case by case basis.

Based on the above assessment the performance rights issued, vested, and lapsed in the 2019 financial year (for the 2018 financial year performance) are detailed in the following table:

Name	Position	Issued 1	Performancerights measuredfor vesting	Percentagevested %	Numbervested
Mark Zeptner	Managing Director / ChiefExecutive Officer	568,956	500,000	100%	500,000
Tim Manners	Chief Financial Officer	260,966	-	-	-
Duncan Coutts	Chief Operating Officer	284,483	117,994	83%	98,336
Kevin Seymour	General Manger – Exploration	201,186	87,653	83%	73,050
Richard Jones 1	Manager Legal / CompanySecretary	189,655	-	-	-
Domenico Francese	Company Secretary	-	101,138	83%	84,288
All performance rights		3,825,125	1,358,451	89%	1,215,432

Performance rights issued during the financial year will be measured for vesting on 1 July 2021.

Employee Share Acquisition Plan

The Employee Share Acquisition Plan enables the Board to offer eligible employees ordinary fully paid shares in Ramelius as a long-term incentive, in accordance with the terms of the plan. Shares may be offered at no consideration unless the Board determines that market value or some other value is appropriate. No such shares were offered during the 2019 financial year.

Other long-term incentives

The Board may at its discretion provide share rights/options as a long-term retention incentive to employees.

Remuneration report (audited) (continued)

(e) Link between remuneration and performance

The following table shows key performance indicators for the group over the last five years:

Name	2019	2018	2017	2016	2015
Net profit (loss) after tax ($000)	21,832	30,760	17,765	27,540	16,068
Dividend / capital return ($000)	-	-	-	-	-
Share price 30 June ($)	0.73	0.58	0.45	0.44	0.12
Basic earnings per share (cents)	3.74	5.84	3.39	5.82	3.48
Diluted earnings per share (cents)	3.67	5.75	3.36	5.81	3.48

The total remuneration mix for the Managing Director / Chief Executive Officer and Other Executives is illustrated in the following graph. The link between performance and remuneration is discussed within this remuneration report.

2019 Total remuneration mix

(f) Contractual arrangements for executive KMP

Remuneration and other terms of employment for executives are formalised in service agreements. The service agreements specify the components of remuneration, benefits and notice periods. Participation in short-term and long-term incentives are at the discretion of the Board. Other major provisions of the agreements relating to remuneration are set out below. Contracts with executives may be terminated early by either party as detailed below:

Name and Position	Term of Agreement	Base Salaryincl. Super 1	Company /EmployeeNotice Period	TerminationBenefit 2
Mark ZeptnerManaging Director / ChiefExecutive Officer	On-going commencing1 July 2015	$550,000	6 / 3 months	6 months basesalary
Tim MannersChief Financial Officer	On-going commencing31 July 2017	$378,400	6 / 3 months	6 months basesalary
Duncan CouttsChief Operating Officer	On-going commencing12 February 2016	$412,500	3 / 3 months	3 months basesalary
Kevin SeymourGM – Exploration	On-going commencing1 July 2009	$291,720	3 / 3 months	3 months basesalary
Richard JonesManager Legal / CompanySecretary	On-going commencing26 October 2018	$275,000	6 / 3 months	6 months basesalary

Base salaries quoted are as at 30 June 2019, they are reviewed annually by the Nomination & Remuneration Committee
Termination benefits are payable on early termination by the Company, other than for gross misconduct, unless otherwise indicated. In certain circumstances the termination benefit may be 12 months base salary.

Remuneration report (audited) (continued)

(g) Non-executive director arrangements

Non-executive director fees are determined using the following guidelines. Fees are:

Determined by the nature of the role, responsibility and time commitment necessary to perform required duties;
Not performance or incentive based but are fixed amounts; and
Determined by the desire to attract a group of individuals with pertinent knowledge and experience.

In accordance with the Company's Constitution, the total amount of remuneration of Non-Executive Directors is within the aggregate limit of $550,000 per annum as approved by shareholders at the 2010 Annual General Meeting.

Non-executive directors may apportion any amount up to this maximum level amongst the non-executive directors as determined by the Board. Remuneration consists of non-executive director fees, committee fees and superannuation contributions.

Non-executive directors are also entitled to be paid reasonable travelling, accommodation and other expenses incurred in performing their duties as directors. Non-executive directors do not participate in any performance-based pay including schemes designed for the remuneration of an executives, share rights or bonus payments and are not provided with retirement benefits other than salary sacrifice and superannuation.

All non-executive directors enter into a service agreement with the Company in the form of a letter of appointment. The letter summarises the Board policies and terms, including remuneration, relevant to the office of director. Details of remuneration fees paid to non-executive directors are set out below:

Non-executive directors	Year	Directorfees	Superannuation	Totalremuneration
Robert Kennedy	2019	-	-	-
	2018	141,503	1,444	142,947
Kevin Lines	2019	173,269	17,327	190,596
	2018	116,864	11,686	128,550
Michael Bohm	2019	95,304	9,530	104,834
	2018	95,304	9,530	104,834
David Southam	2019	97,231	9,723	106,954
	2018	-	-	-
Total	2019	365,804	36,580	402,384
	2018	353,671	22,660	376,331

Remuneration report (audited) (continued)

(h) Details of KMP remuneration

The following table shows details of the remuneration expense recognised for the group's executive key management personnel for the current and previous financial year measured in accordance with the requirements of the accounting standards.

FIXED REMUNERATION						VARIABLE REMUNERATION
	CashSalary1	Term.Payments	NonMonetaryBenefits1	Annualand LongServiceLeave2	Superannuation	STI 1	LTIOptions3	LTIRights3	Total	Perform.Related
	Executive Director
			Mark Zeptner – Managing Director / Chief Executive Officer
2019	521,666	-	5,343	85,087	25,000	250,470	-	111,466	999,032	36.2%
2018	470,000	-	3,071	23,440	25,000	44,000	53,130	55,862	674,503	22.7%
Executives
		Tim Manners – Chief Financial Officer
2019	357,868	-	5,343	(218)	20,531	129,773	-	46,378	559,675	31.5%
2018	308,620	-	2,815	12,992	19,714	5,500	-	21,722	371,363	7.3%
			Duncan Coutts – Chief Operating Officer
2019	387,499	-	5,343	15,076	25,000	142,932	-	58,667	634,517	31.8%
2018	363,796	-	3,071	(1,601)	27,129	19,438	-	65,713	477,546	17.8%
			Kevin Seymour – General Manager – Exploration
2019	266,720	-	5,343	12,143	25,000	103,818	-	42,699	455,723	32.2%
2018	260,000	-	3,071	(4,466)	27,500	15,000	-	48,816	349,921	18.2%
			Richard Jones – Company Secretary (appointed 8 October 2018)
2019	187,500	-	3,740	17,456	18,750	-	-	8,736	236,182	3.7%
2018	-	-	-	-	-	-	-	-	-	-
			Domenico Francese – Company Secretary (up to 30 November 2018)4
2019	124,826	299,583	-	(44,146)	21,888	94,050	-	202	496,403	19.0%
2018	313,021	-	477	34,665	17,511	9,900	-	56,326	431,900	15.3%
			Simon Iacopetta – Chief Financial Officer
2019	-	-	-	-	-	-	-	-	-	-
2018	50,741	40,000	95	(69,564)	1,988	-	-	-	23,260	0%
Total
2019	1,846,079	299,583	25,112	85,398	136,169	721,043	-	268,148	3,381,532	29.3%
2018	1,766,178	40,000	12,600	(4,534)	118,842	93,838	53,130	248,439	2,328,493	17.0%

Short-term benefits as per Corporations Regulation 2M.3.03(1) Item 6.
Other long-term benefits as per Corporations Regulation 2M.3.03 (1) Item 8. The amounts disclosed in this column represent the movements in the associated provisions. They may be negative where a KMP has taken more leave than accrued during the year.
Rights and options relate to rights and options over ordinary shares issued to key management personnel. The fair value of rights and options granted shown above is non-cash and was determined in accordance with applicable accounting standards and represents the fair value calculated at the time rights and options were granted and not when shares were issued.
In addition to the amounts above Domenico Francese was paid $329,661 in annual and long service leave entitlements which had been accrued but not paid during his employment.

Remuneration report (audited) (continued)

(i) Other statutory information

(i) Terms and conditions of the share-based payment arrangements

Performance rights

The terms and conditions of each grant of performance rights affecting remuneration in the current or future reporting period are as follows:

Grant Date	Vesting andExercise Date	Expiry Date	Exercise Price	Value Per PerformanceRight at Grant Date	Vested
23 November 2016	1 July 2019	1 July 2026	$nil	$0.37	0%
22 December 2016	11 June 2019	11 June 2026	$nil	$0.36	100%
1 July 2017	1 July 2020	1 July 2027	$nil	$0,33	0%
31 July 2017	1 July 2020	1 July 2027	$nil	$0.29	0%
3 October 2017	1 July 2020	1 July 2027	$nil	$0.27	0%
5 September 2018	1 July 2021	1 July 2028	$nil	$0.39	0%
29 November 2018	1 July 2021	1 July 2028	$nil	$0.27	0%

Rights to deferred shares under the Performance Rights Plan are assessed against vesting criteria (and vested accordingly) in July each year. For the performance rights granted on 23 November 2016, one third of the performance rights granted vested on 1 July 2017, another third vested on 1 July 2018, and the final third vests on 1 July 2019. Performance rights granted after 30 June 2017 vest three years from the grant date. On vesting, each right must be exercised within seven years of the vesting date. The performance rights carry no dividend or voting rights. If an employee ceases employment before the performance rights vest, the rights will be forfeited, except in limited circumstances that are approved by the Board on a case-by-case basis.

(ii) Reconciliation of options, performance rights, and ordinary shares held by KMP Options

The table below shows a reconciliation of options held by each KMP from the beginning to the end of the 2019 financial year. All vested options were exercisable.

		Vested		Balance at the end of the year
Name &grant dates	Balance at start ofyear Number	Number	%	Exercised	Vested	Unvested
Mark Zeptner
26 November 2015	1,500,000	1,500,000	100	(1,500,000)	-	-
26 November 2015	1,500,000	1,500,000	100	-	1,500,000	-

The amounts paid per ordinary share on the exercise of options at the date of exercise were as follows:

Exercise date	Amounts paid per share
3 June 2019	$0.20

No amounts are unpaid on any shares issued on the exercise of options.

Remuneration report (audited) (continued)

(i) Other statutory information (continued)

(ii) Reconciliation of options, performance rights, and ordinary shares held by KMP (continued)

Performance rights

The table below shows a reconciliation of performance rights held by each KMP from the beginning to the end of the 2019 financial year. All vested performance rights were exercisable.

Name	Balanceat startof year	Grantedduringthe year	Vested		Forfeited /Cessation as KMP		Balance at the endof the year
Grant Year	Number		Number	%	Number	%	Vested	Unvested	$
Mark Zeptner
2019	-	568,956	-	-	-	-	-	568,956	128,547
2017	500,000	-	500,000	100	-	-	500,000	-	-
Tim Manners
2019	-	260,966	-	-	-	-	-	260,966	80,140
2018	317,778	-	-	-	-	-	-	317,778	46,736
Duncan Coutts
2019	-	284,483	-	-	-	-	-	284,483	87,361
2018	342,222	-	-	-	-	-	-	342,222	56,467
2017	353,982	-	216,330	61	-	-	216,330	117,994	-
Kevin Seymour
2019	-	201,186	-	-	-	-	-	201,186	61,782
2018	254,222	-	-	-	-	-	-	254,222	41,947
2017	262,958	-	160,703	61	-	-	160,703	87,652	-
Domenico Francese
2018	293,333	-	-	-	(293,333)	-	-	-	-
2017	303,413	-	185,426	61	(286,563)	-	-	-	-
Richard Jones
2019	-	189,655	-	-	-	-	-	189,655	42,850

The maximum value of the performance rights yet to vest has been determined as the amount of the grant date fair value of the rights that is yet to be expensed.

Shareholdings

The table below shows a reconciliation of shareholdings held by each KMP from the beginning to the end of the 2019 financial year.

Name	Balance atstart of year	Receivedduring the yearon the exerciseof options	Received duringthe year onexercising ofperformance rights	Sold duringthe year	Cessationas KMP	Balance atthe end ofthe year
Mark Zeptner	3,012,500	1,500,000	-	(1,500,000)	-	3,012,500
Kevin Lines	1,000,000	-	-	-	-	1,000,000
Michael Bohm	1,237,500	-	-	-	-	1,237,500
Kevin Seymour	224,860	-	-	(30,000)	-	194,860
Domenico Francese	1,314,922	-	-	-	(1,314,922)	-

All shareholdings noted above are held either directly by the KMP or their associate.

Remuneration report (audited) (continued)

(i) Other statutory information (continued)

Loans to key management personnel

There were no loans made to key management personnel or their personally related parties during the current or prior financial year.

Other transactions with key management personnel

There were no other transactions with key management personnel.

Aggregate amounts of each of the above types of transactions with key management personnel of Ramelius Resources Limited:

	2019$	2019$
Amounts recognised as an expense
Rent of office building	-	45,286

Voting and comments made at the Company's 2018 Annual General Meeting

Of the total valid available votes lodged, Ramelius received 97% of "FOR" votes on its remuneration report for the 2018 financial year. The Company did not receive any specific feedback at the AGM on its remuneration practices.

Share trading policy

The trading of shares is subject to, and conditional upon, compliance with the Company's employee share trading policy. The policy is enforced through a system that includes a requirement that executives confirm compliance with the policy and provide confirmation of dealings in Ramelius securities. The ability for an executive to deal with an option or a right is restricted by the terms of issue and the plan rules which do not allow dealings in any unvested security. The Share Trading Policy specifically prohibits an executive from entering into transactions that limit the economic risk of participating in unvested entitlements such as equity-based remuneration schemes. The Share Trading Policy can be viewed on the Company's website.

Remuneration report ends.

Shares under option

(a) Unissued ordinary shares

Unissued ordinary shares of Ramelius Resources Limited under option at the date of this report are as follows:

Date options granted	Expiry date	Exercise price	Number under option
26 November 2015	11 June 2020	$0.20	1,500,000
			1,500,000

No option holder has any right under the options to participate in any other share issue of the Company or any other entity.

(b) Shares issued on the exercise of options

The following ordinary shares of Ramelius were issued during the year ended 30 June 2019 as a result of the exercise of options. No amounts are unpaid on any of the shares.

Date options granted	Exercise price of options	Number of shares issued
26 November 2015	$0.20	1,500,000
		1,500,000

Insurance of officers and indemnities

Indemnification

Ramelius is required to indemnify its Directors and Officers against any liabilities incurred by the Directors and Officers that may arise from their position as Directors and Officers of Ramelius and its controlled entities. No costs were incurred during the year pursuant to this indemnity.

Ramelius has entered into deeds of indemnity with each Director whereby, to the extent permitted by the Corporations Act 2001, Ramelius agreed to indemnify each Director against all loss and liability incurred as an officer of the Company, including all liability in defending any relevant proceedings.

Insurance premiums

Since the end of the previous year Ramelius has paid insurance premiums in respect of Directors' and Officers' liability and legal expenses insurance contracts. The terms of the policies prohibit disclosure of details of the amount of the insurance cover, the nature thereof and the premium paid.

Proceedings on behalf of the Company

No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of Ramelius or to intervene in any proceedings to which Ramelius is a party, for the purpose of taking responsibility on behalf of Ramelius for all or part of those proceedings. There were no such proceedings brought or interventions on behalf of Ramelius with leave from the Court under section 237 of the Corporations Act 2001.

Non-audit services

The Company may decide to engage the auditor (Deloitte Touche Tohmatsu) (for 2018 the figures disclosed below relate to Grant Thornton) on assignments additional to their statutory audit duties where the auditor's expertise and experience with the Company and/or the group are important. Details of the amounts paid or payable to the auditor for audit and non-audit services provided during the year are set out below.

The Board of Directors has considered the position and, in accordance with advice received from the Audit & Risk Committee, is satisfied that the provision of the non-audit services is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001. The Directors are satisfied that the provision of non-audit services by the auditor, as set out below, did not compromise the auditor independence requirements of the Corporations Act 2001 for the following reasons:

all non-audit services have been reviewed by the Audit & Risk Committee to ensure they do not impact the impartiality and objectivity of the auditor;
none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional Accountants.

Non-audit services (continued)

During the year the following fees were paid or payable for non-audit services provided by the auditor of the parent entity, its related practices and non-related audit firms:

	2019$	2019$
Other assurance services
Audit of regulatory returns	6,250	-
Accounting assistance	13,200	-
Non-assurance services
Tax advice and compliance services	-	62,400
Total	19,450	62,400

Auditor independence declaration

A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out on page 59.

Rounding of amounts

The Company is of the kind referred to in ASIC Legislative Instrument 2016/191 relating to the 'rounding off' of amounts in the Directors' report. Amounts in the Directors' report have been rounded off in accordance with the instrument to the nearest thousand dollars, or in certain cases, to the nearest dollar.

This report is made in accordance with a resolution of Directors.

Kevin James Lines Chairman

Perth 23 August 2019

AUDITOR'S INDEPENDENCE DECLARATION

Deloitte Touche Tohmatsu ABN 74 490 121 060

Tower 2, Brookfield Place 123 St Georges Terrace Perth WA 6000 GPO Box A46 Perth WA 6837 Australia

Tel: +61 8 9365 7000 Fax: +61 8 9365 7001 www.deloitte.com.au

The Directors Ramelius Resources Limited Level 1, 130 Royal Street East Perth WA 6892

23 August 2019

Dear Directors

Auditor's Independence Declaration to Ramelius Resources Limited

In accordance with section 307C of the Corporations Act 2001, I am pleased to provide the following declaration of independence to the directors of Ramelius Resources Limited and its controlled entities.

As lead audit partner for the audit of the financial report of Ramelius Resources Limited and its controlled entities for the financial year ended 30 June 2019, I declare that to the best of my knowledge and belief, there have been no contraventions of:

(i) the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
(ii) any applicable code of professional conduct in relation to the audit.

Yours faithfully

DELOITTE TOUCHE TOHMATSU

David Newman Partner Chartered Accountants

Liability limited by a scheme approved under Professional Standards Legislation. Member of Deloitte Asia Pacific Limited and the Deloitte Network.

financial statements

Income statement	62
Statement of comprehensive income	63
Balance sheet	64
Statement of changes in equity	65
Cash flow statement	66
Notes to the financial statements	69
Directors' declaration	110
Independent auditor's report tothe members	111

INCOME STATEMENT

FOR THE YEAR ENDED 30 JUNE 2019

Revenue1(a)352,770341,784Cost of production2(a)(309,161)(281,864)Gross profit43,60959,920Other expenses2(b)(15,016)(16,994)	Note	20192018$'000$'000





Other income	1(b)	2,1253,322
Interest income1,8861,021
Finance costs2(c)(2,193)(1,770)
Profit before income tax30,41145,499

Income tax expense3(8,579)(14,739)
Profit for the year from continuing operations21,83230,760

Earnings per shareCentsCents
Basic earnings per share263.745.84
Diluted earnings per share263.675.75

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30 JUNE 2019

	Note	2019$'000	2018$'000
Profit for the year		21,832	30,760
Other comprehensive income, net of tax
Items that may be reclassified to profit or loss:
Exchange differences on translation of foreign operations	15	(69)	38

Items that may not be reclassified to profit or loss:
Change in fair value of financial assets	15	(50)	242

Other comprehensive (loss) / income for the year, net of tax		(119)	280

Total comprehensive income for the year		21,713	31,040

BALANCE SHEET

AS AT 30 JUNE 2019

	Note	2019$'000	2018$'000
Current assets
Cash and cash equivalents	4(a)	95,815	68,209
Trade and other receivables	5	6,774	3,358
Inventories	6	41,067	58,086
Other assets	7	8,629	1,439
Total current assets		152,285	131,092

Non-current assets
Other receivables	5	-	1,306
Other assets	7	1,488	7,296
Financial assets		101	126
Property, plant, and equipment	8	43,823	51,122
Development assets	9	99,430	84,728
Exploration and evaluation expenditure	10	99,442	19,317
Deferred tax assets	3	-	917
Total non-current assets		244,284	164,812

Total assets		396,569	295,904

Current liabilities
Trade and other payables	11	44,926	31,796
Provisions	13	6,852	6,075
Current liabilities		51,778	37,871

Non-current liabilities
Provisions	13	45,987	43,169
Contingent consideration	12	12,121	12,892
Deferred tax liabilities	3	7,741	-
Total non-current liabilities		65,849	56,061

Total liabilities		117,627	93,932

Net assets		278,942	201,972

Equity
Share capital	14	214,218	149,568
Reserves	15	(7,674)	1,884
Retained earnings		72,398	50,520
Total equity		278,942	201,972

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 30 JUNE 2019

	Share capital$000's	Share-basedpaymentreserve$000's	Otherreserves$000's	Retainedprofits$000's	Totalequity$000's
Balance at 30 June 2017	149,122	861	59	19,760	169,802
Profit for the year	-	-	-	30,760	30,760
Other comprehensive income	-	-	280	-	280
Total comprehensive income	-	-	280	30,760	31,040
Transactions with owners in theircapacity as owners:
Share capital	448	-	-	-	448
Transaction costs net of tax	(2)	-	-	-	(2)
Share-based payments	-	684	-	-	684
Balance at 30 June 2018	149,568	1,545	339	50,520	201,972

Profit for the year	-	-	-	21,832	21,832
Other comprehensive loss	-	-	(119)	-	(119)
Total comprehensive (loss) / income	-	-	(119)	21,832	21,713
Transactions with owners in theircapacity as owners:
Shares issued for acquisition ofExplaurum Limited (see notes 15 & 17)	64,232	-	(9,926)	-	54,306
Shares issued on exercise of options	300	-	-	-	300
Share-based payments	118	487	-	46	651
Balance at 30 June 2019	214,218	2,032	(9,706)	72,398	278,942

RAMELIUS RESOURCES ANNUAL REPORT 2019 65

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 30 JUNE 2019

	Note	2019$'000	2018$'000
Cash flows from operating activities
Receipts from operations		348,382	337,160
Payments to suppliers and employees		(213,321)	(219,185)
Interest received		1,843	946
Finance costs		(14)	(10)
Income tax refund received		79	-
Net cash provided by operating activities	4(b)	136,969	118,911

Cash flows from investing activities
Payments for derivatives		-	(30)
Payments for property, plant, and equipment		(7,995)	(4,757)
Payments for development assets		(58,233)	(65,628)
Proceeds from sale of property, plant, and equipment		763	-
Proceeds from the sale of subsidiary	5(a)	1,000	60
Payments for the acquisition of Explaurum, net of cash acquired	17(a)	(8,383)	-
Payments for the acquisition of Marda	17(b)	(13,238)	-
Payment for acquisition of subsidiary, net of cash acquired		-	(38,350)
Loan to Explaurum Limited		(3,700)	-
Payments for financial assets		(25)	(17)
Proceeds from the sale of financial assets		-	200
Payments for mining tenements and exploration		(18,962)	(13,620)
Payments for site rehabilitation		(209)	(754)
Net cash used in investing activities		(108,982)	(122,896)

Cash flows from financing activities
Proceeds from the issue of shares		300	448
Transaction costs from issue of shares		-	(2)
(Payments for) / return of secured deposits		(681)	(4)
Net cash provided by financing activities		(381)	442
Net increase / (decrease) in cash and cash equivalents		27,606	(3,543)
Cash at the beginning of the financial year		68,209	71,752
Cash and cash equivalents at the end of the financial year	4(a)	95,815	68,209

Edna May Open Pit

RAMELIUS RESOURCES ANNUAL REPORT 2019

notes to the financial statements

	About this report	70
	Key numbers	72
	Segment information	72
	Note 1: Revenue	75
	Note 2: Expenses	75
	Note 3: Income tax expense	76
	Note 4: Cash and cash equivalents	80
	Note 5: Trade and other receivables	81
	Note 6: Inventories	81
	Note 7: Other assets	82
	Note 8: Property, plant, & equipment	82
	Note 9: Development assets	85
	Note 10: Exploration and evaluation assets	87
	Note 11: Trade and other payables	88
	Note 12: Contingent consideration	88
	Note 13: Provisions	89
	Note 14: Share capital	91
	Note 15: Reserves	92
Risk		93
	Note 16: Financial instruments and financialrisk management	93
	Group structure	95
	Note 17: Asset acquisitions	95
	Note 18: Business combination	97
	Note 19: Interests in other entities	98
	Unrecognised items	99
	Note 20: Contingent liabilities	99
	Note 21: Commitments	99
	Other information	100
	Note 22: Events occurring after the reporting period	100
	Note 23: Related party transactions	100
	Note 24: Share based payments	101
	Note 25: Remuneration of auditors	104
	Note 26: Earnings per share	104
	Note 27: Deed of cross guarantee	105
	Note 28: Parent entity information	107
	Note 29: Accounting policies	109

NOTES TO THE FINANCIAL STATEMENTS: ABOUT THIS REPORT

About this report

Ramelius Resources Limited (referred to as 'Ramelius') is a for-profit Company limited by shares incorporated and domiciled in Australia whose shares are publicly listed on the Australian Securities Exchange Limited (ASX). The nature of the operations and principal activities of Ramelius and its controlled entities (referred to as 'the group') are described in the segment information.

The consolidated general purpose financial report of the group for the year ended 30 June 2019 was authorised for issue in accordance with a resolution of the Directors on 23 August 2019. The Directors have the power to amend and reissue the financial report.

The financial report is a general purpose financial report which:

has been prepared in accordance with Australian Accounting Standards and Interpretations issued by the Australian Accounting Standard Board (AASB) and the Corporations Act 2001. The consolidated financial statements of the group also comply with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB);
has been prepared under the historical cost convention except for FVOCI financial assets, which have been measured at fair value;
has been presented in Australian dollars and rounded to the nearest $1,000 unless otherwise stated, in accordance with ASIC Corporations (Rounding in Financial/Directors Reports) Instrument 2016/191;
adopts all new and amended Accounting Standards and Interpretations issued by the AASB that are relevant to the group and effective for reporting periods beginning on or before 1 July 2018. Refer to Note 29 for further details;
does not early adopt Accounting Standards and Interpretations that have been issued or amended but are not yet effective. Refer to Note 29 for further details.

Certain comparatives on the balance sheet and income statement have been reclassified to bring these into line with classifications in the current period.

Key Judgements, Estimates and Assumptions

In the process of applying the groups accounting policies, management has made a number of judgements and applied estimates of future events. Judgements and estimates which are material to the financial report are found in the following notes:

Page
76	Note 3	Recovery of deferred tax assets
82&85	Note 8 & 9	Impairment of assets
82&85	Note 8 & 9	Depreciation and amortisation
85	Note 9	Deferred mining expenditure
85	Note 9	Ore Reserves estimates
87	Note 10	Exploration and evaluationexpenditure
88	Note 12	Contingent consideration
89	Note 13	Provision for restoration andrehabilitation

Principles of consolidation

The consolidated financial statements comprise the financial statements of the parent entity, Ramelius Resources Limited, and its controlled entities. A list of controlled entities is contained in Note 19 to the consolidated financial statements. All controlled entities have a 30 June financial year end.

In preparing the consolidated financial statements, all inter-Company balances and transactions, income and expenses and profits and losses resulting from intragroup transactions have been eliminated.

Subsidiaries are consolidated from the date on which control is obtained to the date on which control is disposed. The acquisition of subsidiaries is accounted for using the acquisition method of accounting.

Foreign currency

The functional currencies of overseas subsidiaries are listed in note 19. As at the reporting date, the assets and liabilities of overseas subsidiaries are translated into Australian dollars at the rate of exchange ruling at the balance sheet date and the income statements are translated at the average exchange rates for the year. The exchange differences arising on the retranslation are taken directly to a separate component of equity.

Transactions in foreign currencies are initially recorded in the functional currency at the exchange rates ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the balance sheet date. Exchange differences arising from the application of these procedures are taken to the income statement, with the exception of differences on foreign

NOTES TO THE FINANCIAL STATEMENTS: ABOUT THIS REPORT (CONTINUED)

currency borrowings that provide a hedge against a net investment in a foreign entity, which are taken directly to equity until the disposal of the net investment and are then recognised in the income statement. Tax charges and credits attributable to exchange differences on those borrowings are also recognised in equity.

Other accounting policies

Significant and other accounting policies that summarise the measurement basis used and are relevant to an understanding of the financial statements are provided throughout the notes to the financial statements.

The notes to the financial statements

The notes include information which is required to understand the financial statements and is material and relevant to the operations, financial position and performance of the group. Information is considered material and relevant if, for example:

the amount in question is significant because of its size or nature;
it is important for understanding the results of the group;
it helps to explain the impact of significant changes in the group's business – for example acquisition and impairment write downs; or
it relates to an aspect of the group's operations that is important to its future performance.

The notes are organised into the following sections:

Key numbers: provides a breakdown of individual line items in the financial statements that the Directors consider most relevant and summarises the accounting policies, judgements and estimates relevant to understanding these line items;
Risk: provides information about the capital management practices of the group and discusses the group's exposure to various financial risks and what the group does to manage these risks;
Group structure: explains aspects of the group structure and how changes have affected the financial position and performance of the group;
Unrecognised items: provides information about items that are not recognised in the financial statements but could potentially have a significant impact on the group's financial position and performance;
Other information: provides information on items which require disclosure to comply with Australian Accounting Standards and other regulatory pronouncements. However, these are not considered critical in understanding the financial performance of position of the group.

Significant items in the current reporting period

The financial position and performance of the group was particularly affected by the following events and transactions during the reporting period:

The acquisition of Explaurum Limited (Tampia Gold Hill Project) which completed in April 2019 (see note 17) which resulted in an increase in exploration & evaluation assets (note 10).
The acquisition of Marda Operations Pty Limited (formerly Black Oak Minerals Limited) (Marda Gold Project) in February 2019 (see note 17) which resulted in an increase in mine development assets (note 9).
The change in managements judgements regarding the fair value of the Edna May contingent consideration which impacted the other income (see note 1(b)) in the year and the contingent consideration liability (see note 12)

For a detailed discussion about the group's performance and financial position please refer to our operating and financial review on pages 8-13 and 39-41.

KEY NUMBERS

Segment information

(a) Description of segments and principal activities

Management has determined the operating segments based on internal reports about components of the group that are regularly reviewed by the Chief Operating Decision Maker (CODM), being the Managing Director / Chief Executive Officer, to make strategic decisions. Reportable operating segments are Mt Magnet, Edna May and Exploration. The group operates primarily in one business segment, namely the exploration, development and production of minerals with a focus on gold. The CODM monitors performance in these areas separately. Unless stated otherwise, all amounts reported to the CODM are determined in accordance with accounting policies that are consistent to those adopted in the annual financial statements of the group. Operating segment performance details for financial years 2019 and 2018 are set out below:

(b) Segment gross margin

2019 Segment results	Mt Magnet$'000	Edna May$'000	Exploration$'000	Total$'000
Segment revenue	207,123	145,647	-	352,770
Cost of production	(176,895)	(85,537)	-	(262,432)
Amortisation anddepreciation	(67,920)	(13,383)	-	(81,303)
Movement in inventory	5,360	(23,034)	-	(17,674)
Deferred mining costs	46,879	5,369	-	52,248
Segment margin	14,547	29,062	-	43,609

Total segment assets	115,975	74,594	100,021	290,590

Total segment liabilities	55,676	48,163	1,626	105,465

2018 Segment results	Mt Magnet$'000	Edna May$'000	Exploration$'000	Total$'000
Segment revenue	226,720	115,064	-	341,784
Cost of production	(176,752)	(93,003)	-	(269,755)
Amortisation anddepreciation	(61,233)	(19,422)	-	(80,655)
Movement in inventory	(4,823)	13,056	-	8,233
Deferred mining costs	60,313	-	-	60,313
Segment margin	44,225	15,695	-	59,920

Total segment assets	109,453	86,038	19,747	215,238

Total segment liabilities	43,798	48,510	789	93,097

KEY NUMBERS (CONTINUED)

Segment information (continued)

(c) Segment gross margin

Segment margin reconciles to profit before income tax from continuing operations for the year ended 30 June 2019 and 30 June 2018 as follows:

	2019$'000	2018$'000
Segment margin	43,609	59,920
Other income	116	40
Interest income	1,886	1,021
Depreciation and amortisation	(193)	(125)
Employee benefit expense	(6,674)	(3,120)
Equity settled share-based payments	(651)	(684)
Costs associated with the acquisition of Edna May	-	(3,471)
Exploration and evaluation costs	(711)	(610)
Impairment of exploration and evaluation assets	(2,800)	(2,428)
Change in fair value of Edna May contingent consideration	2,009	3,282
Impairment of development assets	-	(2,999)
Impairment of debtors	(717)	-
Loss / (gain) on sale of investments	-	(225)
Finance costs	(2,193)	(1,770)
Other expenses	(3,270)	(3,332)
Profit before income tax from continuing operations	30,411	45,499

(d) Other profit and loss disclosure

2019	Mt Magnet$'000	Edna May$'000	Exploration$'000	Total$'000
Exploration and evaluation costs	-	-	(711)	(711)
Impairment of exploration andevaluation assets	-	-	(2,800)	(2,800)
Change in fair value of contingentconsideration	-	2,009	-	2,009
Total other profit andloss disclosure	-	2,009	(3,511)	(1,502)

2018	Mt Magnet$'000	Edna May$'000	Exploration$'000	Total$'000
Exploration and evaluation costs	-	-	(610)	(610)
Impairment of exploration andevaluation assets	-	-	(2,428)	(2,428)
Change in fair value of contingentconsideration	-	3,282	-	3,282
Impairment of developmentassets	-	(2,999)	-	(2,999)
Total other profit andloss disclosure	-	283	(3,038)	(2,755)

KEY NUMBERS (CONTINUED)

Segment information (continued)

(e) Segment assets

Operating segment assets are reconciled to total assets as follows:

	2019$'000	2018$'000
Segment assets	290,590	215,238
Unallocated assets:
Cash and cash equivalents	95,815	68,209
Trade and other receivables	-	2,877
Other current assets	8,629	1,439
Other non-current assets	1,016	6,819
Available-for-sale financial assets	101	126
Property, plant and equipment	418	279
Deferred tax assets	-	917
Total assets as per the balance sheet	396,569	295,904

(f) Segment liabilities

Operating segment liabilities are reconciled to total liabilities as follows:

	2019$'000	2018$'000
Segment liabilities	105,465	93,097
Unallocated liabilities:
Trade and other payables	3,980	195
Current provisions	423	563
Non-current provisions	18	77
Deferred tax liabilities	7,741	-
Total liabilities as per the balance sheet	117,627	93,932

(g) Major customers

Ramelius sells its gold production to either The Perth Mint or delivers it into forward gold contracts.

(h) Segments assets by geographical location

The total non-current assets other than financial instruments and deferred tax assets, broken down by the location of the assets, is shown in the following table:

	2019$'000	2018$'000
Australia	241,741	155,073
US	954	506
Total non-current assets other than financial instrumentsand deferred tax assets	242,695	155,579

Note 1: Revenue

The group derives the following types of revenue:

(a) Revenue

	2019$'000	2018$'000
Gold sales	350,981	340,957
Silver sales	808	665
Other revenue	981	162
Total revenue from continuing operations	352,770	341,784

(b) Other income

	Note	2019$'000	2018$'000
Change in fair value of Edna May contingent consideration	12	2,009	3,282
Foreign exchange gains		116	40
Total other income from continuing operations		2,125	3,322

(c) Recognising revenue from major business activities

Revenue (general)

Revenue is measured at the fair value of the consideration received or receivable. Revenue from sale of goods or rendering of a service is recognised upon delivery of the goods or service to customers as this corresponds to the transfer of control of the goods and the cessation of all involvement with those goods. All revenue is stated net of goods and services tax (GST).

Gold bullion and silver sales

Revenue from gold bullion and silver sales is brought to account when control over the inventory has transferred to the buyer and selling prices are known or can be reasonably estimated.

Note 2: Expenses

Profit before tax includes the following expenses whose disclosure is relevant in explaining the performance of the group:

(a) Cost of production

	2019$'000	2018$'000

Mining and milling production costs	157,575	160,259
Employee benefits expense	36,247	32,271
Royalties	16,362	16,912
Amortisation and depreciation	81,303	80,655
Inventory movements	17,674	(8,233)
Total cost of production from continuing operations	309,161	281,864

KEY NUMBERS (CONTINUED)

Note 2: Expenses (continued)

(b) Other expenses

	Note	2019$'000	2018$'000
Employee benefit expense		6,674	3,120
Equity settled share-based payments		651	684
Other expenses		3,270	3,332
Costs associated with the acquisition of Edna May		-	3,471
Amortisation and depreciation		193	125
Exploration and evaluation costs		711	610
Impairment of development assets	9	-	2,999
Impairment of exploration and evaluation assets	10	2,800	2,428
Impairment of receivable	5(a)	717	-
Loss on sale of available-for-sale financial assets		-	225
Total other expenses from continuing operations		15,016	16,994
(c) Finance costs
Provisions: unwinding of discount	13	941	631
Contingent consideration: unwinding of discount	12	1,238	1,128
Interest and finance charges		14	11
Total finance costs from continuing operations		2,193	1,770

(d) Recognising expenses from major business activities

Amortisation and depreciation

Refer to notes 8 and 9 for details on depreciation and amortisation

Impairment

Impairment expenses are recognised to the extent that the carrying amounts of assets exceed their recoverable amounts. Refer to notes 8, 9 and 10 for further details on impairment.

Employee benefits expense

The group's accounting policy for liabilities associated with employee benefits is set out in Note 13. The policy relating to share-based payments is set out in Note 24.

Note 3: Income tax expense

(a) The components of tax expense comprise

	2019$'000	2018$'000
Current tax	(79)	-
Deferred tax	8,658	14,739
Income tax expense from continuing operations	8,579	14,739

KEY NUMBERS (CONTINUED)

Note 3: Income tax expense (continued)

(b) Recognition of income tax expense to prima facia tax payable:

	2019$'000	2018$'000
Accounting profit before tax	30,411	45,499
Income tax expense calculated at 30%	9,123	13,650
Tax effects of amounts which are not deductible / (taxable) incalculating taxable income:
- Share-based payments	195	205
- Other non-allowable items	11	884
- Adjustments for prior periods	(671)	-
- Research & development tax credit	(79)	-
Income tax expense	8,579	14,739

Applicable effective tax rate	28%	32%

(c) Deferred tax movement:

30 June 2019	Balance at 1July 2018$'000	Charged /(credited) toincome$'000	Balance at 30June 2019$'000
Deferred tax liability ("DTL")
Exploration and evaluation	5,644	3,082	8,726
Development	19,545	2,689	22,234
Property, plant & equipment	499	(499)	-
Inventory – consumables	342	(23)	319
Total DTL	26,030	5,249	31,279

Deferred tax asset ("DTA")
Inventory – deferred mining costs	2,236	-	2,236
Property, plant, and equipment	933	1,011	1,944
Provisions	14,886	668	15,554
Tax losses	8,296	(6,181)	2,115
Other	596	1,093	1,689
Group DTA	26,947	(3,409)	23,538

Net deferred tax asset / (liability)#	917		(7,741)

Deferred tax assets and liabilities have been offset for presentation on the balance sheet pursuant to set off provisions

KEY NUMBERS (CONTINUED)

Note 3: Income tax expense (continued)

(c) Deferred tax movement: (continued)

30 June 2018	Balance at 1July 2017$'000	Acquisitionof subsidiary$'000	Charged /(credited) toincome$'000	Charged /(credited) toequity$'000	Balance at30 June 2018$'000
Deferred tax liability ("DTL")
Exploration and evaluation	5,730	-	(86)	-	5,644
Development	13,127	3,799	2,619	-	19,545
Property, plant & equipment	-	-	499	-	499
Inventory – consumables	134	-	208	-	342
Total DTL	18,991	3,799	3,240	-	26,030
DTL from discontinued operation	(2)	-	2	-	-
DTL from continuing operations	18,989	3,799	3,242	-	26,030
Deferred tax asset ("DTA")
Equity transaction costs	503	-	-	(143)	360
Inventory – deferred mining costs	1,749	-	487	-	2,236
Property, plant, and equipment	1,279	-	(346)	-	933
Receivables	3	-	(3)	-	-
Provisions	7,863	7,500	(477)	-	14,886
Tax losses	20,394	-	(12,098)	-	8,296
Other	141	-	95	-	236
Total DTA	31,932	7,500	(12,342)	(143)	26,947
DTA from discontinued operation	(988)	-	988	-	-
DTA from continuing operations	30,944	7,500	(11,354)	(143)	26,947

Net deferred tax asset / (liability) # 11,955 917

Deferred tax assets and liabilities have been offset for presentation on the balance sheet pursuant to set off provisions

(d) Franking credits

	2019$'000	2018$'000
Franking credits available for subsequent years (at 30%)	21,826	21,826

The above represents the balance of the franking account as at the end of the reporting period, adjusted for:

Franking credits / debits that will arise from payment of any current tax liability / current tax asset, and
Franking debits that will arise from the payment of dividends recognised as a liability at the reporting date.

No such adjustments are required in the current financial year.

(e) Tax losses

	2019		2018
	Gross	Net (30%)	Gross	Net (30%)
Unused tax losses:
- for which a deferred asset has been recognised	7,050	2,115	27,653	8,296
- for which a no deferred asset has been recognised	37,923	11,377	4,305	1,292
Total potential unused tax losses	44,973	13,492	31,958	9,588

NOTES TO THE FINANCIAL STATEMENTS: KEY NUMBERS (CONTINUED)

Note 3: Income tax expense (continued)

(e) Tax losses (continued)

Explaurum Limited, Explaurum Operations Pty Ltd, and Ninghan Exploration Pty Ltd ("Explaurum Group") entered the Ramelius tax consolidated group on 4 April 2019. When a Company enters an existing tax consolidated group the tax losses of that Company at the date it enters the tax consolidated group may be transferred to the existing tax group and utilised against future taxable income, subject to various provisions in the relevant tax legislation.

The balance of the unused tax losses for which no deferred tax has been recognised relates to capital losses.

All other unused tax losses have been recognised as a deferred tax asset. The Directors have assessed that it is probable the group will generate sufficient taxable profits to utilise the losses recognised as a deferred tax asset.

Key judgement, estimates and assumptions: Recovery of deferred tax assets

Judgement is required to determine whether deferred tax assets are recognised in the balance sheet. Deferred tax assets, including those arising from un-utilised tax losses, require management to assess the likelihood that the group will generate sufficient taxable earnings in the future periods in order to recognise and utilise those deferred tax assets. Judgement is also required in respect of the expected manner of recovery of the value of an asset or liability (which will then impact the quantum of the deferred tax assets or deferred tax liabilities recognised) and the application of existing laws in each jurisdiction.

Estimates of future taxable income are based on forecast cash flows from operations and existing tax laws in each jurisdiction. These assessments require the use of estimates and assumptions such as exchange rates, commodity prices and operating performance over the life of the assets. To the extent that cash flows and taxable income differ significantly from estimates, the ability of the group to realise the net deferred tax assets reported at the reporting date could be impacted.

Additionally, future changes in tax laws in the jurisdictions in which the group operates could limit the ability of the group to obtain tax deductions and recover/utilise deferred tax assets in future periods.

As at 30 June 2019 the ability of the Ramelius tax group to access and utilise the carried forward tax losses from the Explaurum Group is being assessed and as such no deferred tax asset has been recognised in relation to these carried forward tax losses. At the date the Explaurum Group entered the Ramelius tax group it had carried forward tax losses of $33,618,000 with a potential benefit of $10,085,400.

(f) Recognition and measurement of income tax

Current income tax

Current income tax expense charged to the profit or loss is the tax payable on taxable income calculated using applicable income tax rates that have been enacted, or substantially enacted by the reporting date. Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretations. Current tax liabilities (assets) are therefore measured at the amounts expected to be paid to (recovered from) the relevant taxation authority.

Deferred taxes

Deferred income tax expense reflects movements in deferred tax asset and deferred tax liability balances during the year as well as unused tax losses.

Deferred tax assets and liabilities are ascertained based on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. Deferred tax assets also result where amounts have been fully expensed for accounting purposes, but future tax deductions are available. No deferred income tax will be recognised from the initial recognition of an asset or liability, excluding a business combination, where there is no effect on accounting or taxable profit or loss.

Deferred tax assets and liabilities are calculated at the tax rates that are expected to apply to the period when the asset is realised, or the liability is settled, based on tax rates enacted or substantively enacted at reporting date. Their measurement also reflects the way management expects to recover or settle the carrying amount of the related asset or liability.

Deferred tax assets relating to temporary differences and unused tax losses are recognised only to the extent that it is probable that future taxable profits will be available against which the benefits of the deferred tax asset can be utilised. The amount of benefits brought to account or which may be realised in the future is based on the assumption that no adverse change will occur in income tax legislation and the anticipation that the group will derive sufficient future assessable income to enable the benefit to be realised and comply with the conditions of deductibility imposed by the law.

Note 3: Income tax expense (continued)

(f) Recognition and measurement of income tax (continued)

Tax consolidated group

Ramelius Resources Limited and its wholly-owned Australian subsidiaries have formed an income tax consolidated group under tax consolidation legislation. Each entity in the group recognises its own current and deferred tax assets and liabilities. Such taxes are measured using the 'stand-alone taxpayer' approach to allocation.

Current tax liabilities (assets) and deferred tax assets arising from unused tax losses and tax credits in the subsidiaries are immediately transferred to the head entity.

The tax consolidated group has entered into a tax funding arrangement whereby each Company in the group contributes to the income tax payable by the group in proportion to their contribution to the group's taxable income. Differences between the amounts of net tax assets and liabilities derecognised and the net amounts recognised pursuant to the funding arrangement are recognised as either a contribution by, or distribution to the head entity.

Note 4: Cash and cash equivalents

(a) Cash and cash equivalents

	2019$'000	2018$'000
Cash at bank and in hand	40,815	38,181
Deposits at call	55,000	30,028
Total cash and cash equivalents	95,815	68,209

(b) Reconciliation of net profit after tax to net cash flows from operations

Net profit	21,832	30,760

Non-cash items
Share based payments	651	684
Depreciation and amortisation	81,496	80,780
Write off and impairment of exploration assets	3,511	3,038
Discount unwind on provisions	941	631
Discount unwind on deferred consideration	1,238	1,128
Change in fair value of Edna May contingent consideration	(2,009)	(3,282)
Impairment of development assets	-	2,999
Impairment of receivable	717	-
Items presented as investing or financing activities
Gain on disposal of non-current assets	(765)	-
Payments for derivatives	-	30
Financial assets at FVOCI	-	225
(Increase) / decrease in assets
Prepayments	(690)	(316)
Trade and other receivables	(3,337)	(587)
Inventories	17,019	(8,233)
Deferred tax assets	3,409	11,497
Increase / (decrease) in liabilities
Trade and other payables	8,111	(3,645)
Provisions	(404)	(40)
Deferred tax liabilities	5,249	3,242
Net cash provided by operating activities	136,969	118,911

(c) Recognition and measurement

Cash and cash equivalents

Cash and cash equivalents in the balance sheet comprise cash at bank, demand deposits held with banks, other short-term highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in values. For the purposes of the Statement of cash flows, cash and cash equivalents consist of cash and cash equivalents as defined above.

Risk exposure

The group's exposure to interest rate risk is discussed in Note 16. Maximum exposure to credit risk at the end of the reporting period is the carrying amount of each class of cash and cash equivalents disclosed above.

Note 5: Trade and other receivables

	2019$'000	2018$'000
Current
Trade receivables	5,422	128
Provision for impairment	(8)	(8)
Trade receivables	5,414	120
Other receivables	1,360	3,238
Total current trade and other receivables	6,774	3,358

Non-current
Other receivables	-	1,306
Total non-current trade and other receivables	-	1,306

(a) Other receivables

Other receivables in the prior year included a $411,000 (current) and $1,306,000 (non-current) receivable from Maximus Resources Limited in relation to the Share Sale Agreement for Ramelius Milling Services Pty Limited. This receivable was settled during the year for $1,000,000 resulting in an impairment of the receivable of $717,000.

Note 6: Inventories

	2019$'000	2018$'000
Ore stockpiles	22,313	26,012
Gold in circuit	2,107	4,444
Gold bullion & dore	5,475	17,115
Gold nuggets	80	80
Consumables and supplies	11,092	10,435
Total inventories	41,067	58,086

(a) Inventory expense

The reversal of prior year write down of inventories due to an increase in net realisable value recognised during the year ended 30 June 2019 amounted to a net $548,000 credit to the income statement (2018: $1,446,000 charge to income statement).

(b) Recognition and measurement

Inventories

Gold ore, gold in circuit and poured gold bars are physically measured, or estimated, and valued at the lower of cost and net realisable value. Cost represents the weighted average cost and includes direct costs and an appropriate allocation of fixed and variable production overhead costs, including depreciation and amortisation.

Consumables and stores are valued at the lower of cost and net realisable value. Costs of purchased inventory are determined after deducting any applicable rebates and discounts. A periodic review is undertaken to establish the extent of any surplus or obsolete items and where necessary a provision is made.

Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion of sale.

Gold ore represents stockpiled ore that has been mined or otherwise acquired and is available for further processing. If there is significant uncertainty as to whether the stockpiled ore will be processed, it is expensed. Where future processing of ore can be predicted with confidence (e.g. it exceeds the mine cut-off grade), it is valued at the lower of cost and net realisable value. If ore is not expected to be processed within 12 months after reporting date, it is classified as non-current assets. Ramelius believes processing ore stockpiles may have a future economic benefit to the group and accordingly ore is valued at lower of cost and net realisable value.

Note 7: Other assets

	2019$'000	2018$'000
Current
Prepayments	2,129	1,439
Secured term deposits with financial institutions	6,500	-
Total other current assets	8,629	1,439

Non-current
Secured term deposits with financial institutions	1,000	6,819
Other security bonds & deposits	488	477
Total other non-current assets	1,488	7,296

(a) Other non-current assets

Other non-current assets comprise secured deposits with financial institutions for finance facilities as well as bonds and deposits with government bodies with regards to the mining and exploration activities of the group.

Note 8: Property, plant, and equipment

2019	Land andbuildings$'000	Plant andequipment$'000	Assets underconstruction$'000	Total$'000
As at 1 July 2018
Cost or fair value	7,096	102,212	1,913	111,221
Accumulated depreciation	(802)	(59,297)	-	(60,099)
Net book amount	6,294	42,915	1,913	51,122

Year ended 30 June 2019
Opening net book amount	6,294	42,915	1,913	51,122
Additions on the acquisition ofsubsidiary	135	134	-	269
Transfers from minedevelopment	-	249	-	249
Additions	-	-	7,458	7,458
Disposals	-	(6)	-	(6)
Transfers	1,420	5,223	(6,643)	-
Depreciation charge	(775)	(14,494)	-	(15,269)
Closing net book amount	7,074	34,021	2,728	43,823

As at 30 June 2019
Cost or fair value	8,651	107,852	2,728	119,231
Accumulated depreciation	(1,577)	(73,831)	-	(75,408)
Net book amount	7,074	34,021	2,728	43,823

KEY NUMBERS (CONTINUED)

Note 8: Property, plant, and equipment (continued)

2018	Land andbuildings$'000	Plant andequipment$'000	Assets underconstruction$'000	Total$'000
As at 1 July 2017
Cost or fair value	1,618	59,376	1,744	62,738
Accumulated depreciation	(210)	(43,289)	-	(43,499)
Net book amount	1,408	16,087	1,744	19,239
Year ended 30 June 2018
Opening net book amount	1,408	16,087	1,744	19,239
Additions on the acquisition ofsubsidiary	5,478	35,752	1,793	43,023
Transfers from minedevelopment	-	703	-	703
Additions	-	4,637	120	4,757
Transfers	-	1,744	(1,744)	-
Depreciation charge	(592)	(16,008)	-	(16,600)
Closing net book amount	6,294	42,915	1,913	51,122

As at 30 June 2018
Cost or fair value	7,096	102,212	1,913	111,221
Accumulated depreciation	(802)	(59,297)	-	(60,099)
Net book amount	6,294	42,915	1,913	51,122

(a) Valuation of property

Properties are recognised as a Level 2 in the fair value hierarchy as defined under AASB 13 Fair Value Measurements. The valuation basis of property is fair value being the amounts for which the assets could be exchanged between willing parties in an arm's length transaction, based on current prices in an active market for similar properties in the same location and condition.

(b) Depreciation

Items of plant and equipment are depreciated on a straight-line basis over their estimated useful lives, the duration of which reflects the useful lives depending on the nature of the asset. The group uses the straight-line method when depreciating property, plant and equipment, resulting in estimated useful lives for each class of depreciable assets as follows:

Class of fixed asset	Useful life
Properties	40 years
Plant and equipment – mine camp	2 – 15 years
Plant & equipment – mill refurbishments	5 years
Plant & equipment – tailings dam	5 years
Plant & equipment – computers	4 years
Plant & equipment – office equipment	3 – 10 years
Plant & equipment – office furniture	10 – 25 years
Plant & equipment – other	2.5 – 25 years
Mine and exploration equipment	2 – 33.3 years
Motor vehicles	8 – 12 years

Key judgement, estimates and assumptions: Depreciation

The estimations of useful lives, residual value and depreciation methods require management judgement and are reviewed bi-annually for all major items of plant and equipment. If they need to be modified, the change is accounted for prospectively from the date of reassessment until the end of the revised useful life (for both the current and future years).

NOTES TO THE FINANCIAL STATEMENTS: KEY NUMBERS (CONTINUED)

Note 8: Property, plant, and equipment (continued)

(c) Derecognition

An item of property, plant and equipment is derecognised when it is sold or otherwise disposed of, or when its use is expected to bring no future economic benefits. Gains and losses on derecognising assets are determined by comparing proceeds with the carrying amount. These gains and losses are included in the Income Statement. When revalued assets are sold, amounts included in the revaluation reserve relating to that asset are transferred to retained earnings.

(d) Impairment

Key judgement, estimates and assumptions: Impairment of assets

The group assesses each Cash-Generating Unit (CGU) at least annually, to determine whether there is any indication of impairment or reversal of a prior impairment. Where an indicator of impairment or reversal exists, a formal estimate of the recoverable amount is made, which is deemed as being the higher of the fair value less costs to sell and value in use. These assessments require the use of estimates and assumptions such as ore reserves, future production, commodity prices, discount rates, exchange rates, operating costs, sustaining capital costs, any future development cost necessary to produce the reserves (including the magnitude and timing of cash flows) and operating performance.

Some of the factors considered in management's assessment as to whether there existed any indicators of impairment at the CGU's included:

• Strong operational; and financial performance of the CGU's compared to that assumed in the prior year impairment model, particularly for the Edna May CGU;
• The extension of mine life across all CGU's;
• Positive gold price environment;
• The decision of the business to develop an underground operation at Edna May; and
• Acquisitions complementing the existing CGU's of the group.

(e) Recognition and measurement of property, plant, and equipment

Cost

Each class of plant and equipment is carried at cost or fair value as indicated less, where applicable, any accumulated depreciation and impairment losses.

Properties are shown at fair value based on valuations by external independent valuers, less subsequent depreciation for buildings. Any accumulated depreciation at the date of revaluation is eliminated against the carrying amount of the asset and the net amount is restated to the revalued amount of the asset. All other plant and equipment are stated at historical cost less depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Major spares purchased specifically for particular plant are capitalised and depreciated on the same basis as the plant to which they relate when in use. Assets are depreciated or amortised from the date they are installed and are ready for use, or in respect of internally constructed assets, from the time the asset is completed and deemed ready for use.

Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the group and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the income statement during the financial period in which they are incurred.

KEY NUMBERS (CONTINUED)

Note 9: Development assets

	Note	2019$'000	2018$'000
Development assets		330,866	249,937
Less: accumulated amortisation		(231,436)	(165,209)
Net book amount		99,430	84,728

Development asset reconciliation
Opening net book amount		84,728	53,455
Additions on the acquisition of subsidiary	17(b)	13,759	23,240
Additions		57,159	65,568
Restoration and rehabilitation adjustment		3,164	817
Impairment	2(b)	-	(2,999)
Transfer to property, plant, and equipment	8	(249)	(703)
Transfer from exploration and evaluation asset	10	7,096	9,515
Amortisation		(66,227)	(64,165)
Closing net book amount		99,430	84,728

(a) Impairment

No impairment of development assets arose during the 2019 financial year. Refer to note 8(d) for further discussion on the impairment of assets and the process undertaken by managements in forming this conclusion.

In the prior year the evaluation of the mine plan and future cash flows of the Edna May gold mine resulted in an impairment charge of $2,999,000 being incurred on the Edna May cash generating unit (CGU). However, in conjunction with the assessment of the recoverable amount for the Edna May CGU management revised the fair value of the contingent consideration which resulted in a reduction in the fair value of the contingent consideration of $3,282,000 in the prior year.

(b) Recognition and measurement

Mine development

Development assets represent expenditure in respect of exploration, evaluation, feasibility and development incurred by or on behalf of the group, including overburden removal and construction costs, previously accumulated and carried forward in relation to areas of interest in which mining has now commenced. Such expenditure comprises net direct costs and an appropriate allocation of directly related overhead expenditure.

All expenditure incurred prior to commencement of production from each development property is carried forward to the extent to which recoupment out of future revenue from the sale of production, or from the sale of the property, is reasonably assured.

When further development expenditure is incurred in respect of a mine property after commencement of production, such expenditure is carried forward as part of the cost of the mine property only when future economic benefits are reasonably assured, otherwise the expenditure is classified as part of the cost of production and expensed as incurred. Such capitalised development expenditure is added to the total carrying value of development assets being amortised.

Deferred mining expenditure - Pre-production mine development

Pre-production mining costs incurred by the group in relation to accessing recoverable reserves are carried forward as part of 'development assets' when future economic benefits are established, otherwise such expenditure is expensed as part of the cost of production.

KEY NUMBERS (CONTINUED)

Note 9: Development assets (continued)

(b) Recognition and measurement (continued)

Deferred mining expenditure - Surface mining costs

Mining costs incurred during the production stage of operations are deferred, this is generally the case where there are fluctuations in deferred mining costs over the life of the mine, and the effect is material. The amount of mining costs deferred is based on the ratio obtained by dividing the amount of waste mined by the quantity of gold ounces contained in the ore. Mining costs incurred in the period are deferred to the extent that the current period waste to contained gold ounce ratio exceeds the life-of-mine waste-to-ounce (life-of-mine) ratio. The life-of-mine ratio is based on economically recoverable reserves of the operation.

In the production stage of some operations, further developments of the mine require a phase of unusually high overburden removal activity that is similar in nature to pre-production mine development. The costs of such unusually high overburden removal activity are deferred and charged against reported profits in subsequent periods on a unitof-production basis. The accounting treatment is consistent with that of overburden removal costs incurred during the development phase of a mine, before production commences. Deferred mining costs that relate to the production phase of the operation are carried forward as part of 'development assets'. The amortisation of deferred mining costs is included in site operating costs.

Key judgement, estimates and assumptions: Production stripping

The life-of-mine ratio is a function of an individual mine's design and therefore changes to that design will generally result in changes to the ratio. Changes in other technical or economic parameters that impact reserves will also have an impact on the life-of-mine ratio even if they do not affect the mine's design. Changes to the life-of-mine ratio are accounted for prospectively.

Key judgement, estimates and assumptions: Deferred mining expenditure

The group defers mining costs incurred during the production stage of its operations. Changes in an individual mine's design will generally result in changes to the life-of-mine waste to contained gold ounces (life-of-mine) ratio. Changes in other technical and economic parameters that impact reserves will also have an impact on the life-of-mine ratio even if they do not affect the mine's design. Changes to the life-of-mine are accounted for prospectively.

Key judgement, estimates and assumptions: Amortisation and impairment

The group uses the unit-of-production basis when depreciating / amortising mine specific assets which results in a depreciation / amortisation charge proportional to the depletion of the anticipated remaining life-of-mine production. Economic life, which is assessed annually, has due regard to both its physical life limitations and to present assessments of economically recoverable reserves of the mine property. These calculations require the use of estimates and assumptions.

Development assets are amortised based on the unit-of-production method which results in an amortisation charge proportional to the depletion of the estimated recoverable reserves. Where there is a change in the reserves the amortisation rate is adjusted prospectively in the reporting period in which the change occurs. The net carrying values of development expenditure carried forward are reviewed half-yearly by Directors to determine whether there is any indication of impairment, refer to Note 8 (d) for further information.

Key judgement, estimates and assumptions: Ore reserves

The group estimates ore reserves and mineral resources each year based on information compiled by Competent Persons as defined in accordance with the Australian code for reporting Exploration Results, Mineral Resources and Ore Reserves 2012 ('JORC code'). Estimated quantities of economically recoverable reserves are based upon interpretations of geological models and require assumptions to be made including estimates of short and long-term commodity prices, exchange rates, future operating performance and capital requirements. Changes in reported reserve estimates can impact the carrying value of plant and equipment and development, provision for restoration and rehabilitation obligations as well as the amount of depreciation and amortisation.

KEY NUMBERS (CONTINUED)

Note 10: Exploration and evaluation assets

	Note	2019$'000	2018$'000
Exploration and evaluation		99,442	19,317

Exploration and evaluation asset reconciliation
Opening net book amount		19,317	19,101
Additions on the acquisition of subsidiary	17(a)	72,262	-
Additions		17,732	12,165
Impairment	2(b)	(2,800)	(2,428)
Exchange differences		27	(6)
Transfer to development asset		(7,096)	(9,515)
Closing net book amount		99,442	19,317

(a) Recognition and measurement

Exploration and evaluation

Exploration and evaluation costs related to areas of interest are capitalised and carried forward to the extent that:

(a) Rights to tenure of the area of interest are current; and
(b) (i) Costs are expected to be recouped through successful development and exploitation of the area of interest or alternatively by sale; or
- (ii) Where activities in the area of interest have not yet reached a stage which permits a reasonable assessment of the existence or otherwise of economically recoverable reserves, active and significant operations in, or in relation to, the areas are continuing.

Such expenditure consists of an accumulation of acquisition costs and direct net exploration and evaluation costs incurred by or on behalf of the group, together with an appropriate portion of directly related overhead expenditure.

Deferred feasibility

Feasibility expenditure represents costs related to the preparation and completion of feasibility studies to enable a development decision to be made in relation to an area of interest and is capitalised as incurred.

When production commences, relevant past exploration, evaluation and feasibility expenditure in respect of an area of interest that has been capitalised is transferred to mine development where it is amortised over the life of the area of interest to which it relates on a unit-of-production basis.

When an area of interest is abandoned or the Directors decide it is not commercial, any accumulated costs in respect of that area are written off in the year the decision is made. Each area of interest is reviewed at the end of each reporting period and accumulated costs written off to the extent they are not expected to be recoverable in the future.

Mineral rights

Mineral rights comprise identifiable exploration and evaluation assets, mineral resources and ore reserves, which are acquired as part of a business combination or a joint venture and are recognised at fair value at date of acquisition. Mineral rights are attributable to specific areas of interest and are classified within exploration and evaluation assets.

Mineral rights attributable to each area of interest are amortised when commercial production commences on a unitof-production basis over the estimated economic reserve of the mine to which the rights related.

Impairment

Impairment of specific exploration and evaluation assets during the year have occurred where Directors have concluded that capitalised expenditure is unlikely to be recovered by sale or future exploitation. At each reporting date the group undertakes an assessment of the carrying amount of its exploration and evaluation assets. During the year indicators of impairment were identified on certain exploration and evaluation assets in accordance with AASB 6 Exploration for and Evaluation of Mineral Resources. As a result of this review, an impairment loss of $2.8 million (2018: $2.4 million) has been recognised in relation to areas of interest where the directors have concluded that capitalised expenditure is unlikely to be recovered by sale or future exploitation.

NOTES TO THE FINANCIAL STATEMENTS: KEY NUMBERS (CONTINUED)

Note 10: Exploration and evaluation assets (continued)

Key judgement, estimates and assumptions: Exploration, Evaluation and Deferred feasibility expenditure Judgement is required to determine whether future economic benefits are likely, from either exploitation or sale, or whether activities have not reached a stage that permits a reasonable assessment of existence of reserves. In addition to these judgements, the group has to make certain estimates and assumptions. The determination of JORC resources is itself an estimation process that involves varying degrees of uncertainty depending on how the resources are classified (i.e. measured, indicated or inferred). The estimates directly impact when the group capitalises exploration and evaluation expenditure. The capitalisation policy requires management to make certain estimates and assumptions as to future events and circumstances, in particular, the assessment of whether economic quantities of reserves will be found. Any such estimates and assumptions may change as new information becomes available.

Note 11: Trade and other payables

	2019$'000	2018$'000
Trade payables	9,436	7,080
Other payables and accruals	35,490	24,716
Total trade and other payables	44,926	31,796

(a) Recognition and measurement

Trade and other payables

Liabilities for trade and other payables are initially recorded at the fair value of the consideration to be paid in the future for goods and services received, whether or not billed to the group, and then subsequently at amortised cost. Trade payables are unsecured and are usually paid within 30 days of recognition. The carrying amounts of trade and other payables are assumed to be the same as their fair values, due to their short-term nature.

Risk exposure

The group's exposure to cash flow risk is discussed in Note 16.

Note 12: Contingent consideration

	2019$'000	2018$'000
Non-current
Acquisition of Edna May contingent consideration	12,121	12,892
Total contingent consideration	12,121	12,892
	Note	Contingentconsideration$'000
Movements
Balance as at 1 July 2018		12,892
Unwinding of discount rate	2(c)	1,238
Change in fair value of contingent consideration	1(b)	(2,009)
Total contingent consideration		12,121

Note 12: Contingent consideration (continued)

Significant estimate: contingent consideration

The purchase consideration for Edna May included contingent consideration of:

• $20,000,000 in cash or Ramelius shares, or a combination of both, at Ramelius' sole election, upon a Board approved decision-to-mine the Edna May Stage 3 open pit; and
• Royalty payments of up to a maximum of $30,000,000 payable at $60/oz from gold production over 200,000 ounces (or up to $50,000,000 payable at $100/oz if the Edna May Stage 3 open pit decision-to-mine is not Board approved).

The potential undiscounted amount payable under the agreement is between $0 and $50,000,000.

The fair value of the contingent consideration has been revalued at 30 June 2019 which resulted in a reduction of the contingent consideration of $2,009,000 which has been recorded in the income statement. The main driver behind the reduction in the fair value of the contingent consideration has been the decision to commence underground mining at Edna May as opposed to carrying out the larger 'Stage 3' open pit, which attracted the $20,000,000 bullet payment noted above.

Note 13: Provisions

	2019$'000	2018$'000
Current
Employee benefits	6,089	5,411
Rehabilitation and restoration costs	763	664
Total current provisions	6,852	6,075

Non-current
Employee benefits	379	1,344
Rehabilitation and restoration costs	45,608	41,825
Total non-current provisions	45,987	43,169

Rehabilitation and restoration costs
Opening book amount	42,489	20,914
New provision from the acquisition of subsidiary	-	20,984
Revision of provision during the year	3,150	714
Expenditure on rehabilitation and restoration	(209)	(754)
Discount unwind	941	631
Total provision for rehabilitation and restoration	46,371	42,489

Rehabilitation and restoration costs
Current	763	664
Non-current	45,608	41,825
Total provision for rehabilitation and restoration	46,371	42,489

(a) Revision of rehabilitation and restoration provision

Represents amendments to future restoration and rehabilitation liabilities resulting from changes to the approved mine plan in the financial year, initial recognition of new rehabilitation provisions as well as a change in provision assumptions. Key provision assumption changes include reassessment of costs and timing of expenditure.

NOTES TO THE FINANCIAL STATEMENTS: KEY NUMBERS (CONTINUED)

Note 13: Provisions (continued)

(b) Recognition and measurement

Provisions

Provisions are recognised when the group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

Employee Benefits - Wages, salaries, salary at risk, annual leave and sick leave

Liabilities arising in respect of wages and salaries, bonuses, annual leave and any other employee benefits expected to be wholly settled within 12 months of the reporting date are measured at their nominal amounts based on remuneration rates which are expected to be paid when the liabilities are settled. These amounts are recognised in 'trade and other payables' (for amounts other than annual leave and bonuses) and 'current provisions' (for annual leave and bonuses) in respect of employee services up to the reporting date. Costs incurred in relation to non-accumulating sick leave are recognised when the leave is taken and are measured at the rate paid or payable.

Long service leave

The liability for long service leave is measured at the present value of the estimated future cash outflows to be made by the group resulting from employees' services provided up to the reporting date. Liability for long service leave benefits not expected to be settled within 12 months are discounted using the rates attaching to high quality corporate bonds at the reporting date, which most closely match the terms of maturity of the related liability. In determining the liability for these long-term employee benefits, consideration has been given to expected future increases in wage and salary rates, the groups experience with staff departures and periods of service. Related on-costs have also been included in the liability.

The obligations are presented as current liabilities in the Balance Sheet if the entity does not have an unconditional right to defer settlement for at least twelve months after the reporting period, regardless of when the actual settlement is expected to occur.

Defined contribution superannuation plans

Contributions to defined contribution superannuation plans are expensed when incurred.

Provision for restoration and rehabilitation

Estimated costs of decommissioning and removing an asset and restoring the site are included in the cost of the asset as at the date the obligation first arises and to the extent that it is first recognised as a provision. The group records the present value of the estimated cost of constructive and legal obligations to restore operating locations in the period in which the obligation is incurred. The nature of decommissioning activities includes dismantling and removing structures, rehabilitating mine sites, dismantling operating facilities, closure of plant and waste sites and restoration, reclamation and revegetation of affected areas.

Typically, the obligation arises when the asset is installed, or the environment is disturbed at the development location. When the liability is initially recorded, the present value of the estimated cost is capitalised by increasing the carrying amount of the related mining assets. Over time, the discounted liability is increased for the change in the present value based on the discount rates that reflect the current market assessments and the risks specific to the liability. Additional disturbances or changes in decommissioning costs will be recognised as additions or changes to the corresponding asset and rehabilitation liability when incurred.

The unwind effect of discounting the provision is recorded as a finance cost in the Income Statement and the carrying amount capitalised as a part of mining assets is amortised on a unit-of-production basis. Costs incurred that relate to an existing condition caused by past operations, but do not have future economic benefits, are expensed as incurred.

Key judgement, estimates and assumptions: Provision for restoration and rehabilitation

The group assesses its mine restoration and rehabilitation provision bi-annually in accordance with the accounting policy. Significant judgement is required in determining the provision for restoration and rehabilitation as there are many transactions and other factors that will affect the ultimate liability payable to rehabilitate and restore the mine sites. The estimate of future costs therefore requires management to make assessment of the future restoration and rehabilitation date, future environmental legislation, changes in regulations, price increases, changes in discount rates, the extent of restoration activities and future removal and rehabilitation technologies. When these factors change or become known in the future, such differences will impact the restoration and rehabilitation provision in the period in which they change or become known. At each reporting date the rehabilitation and restoration provision is remeasured to reflect any of these changes.

NOTES TO THE FINANCIAL STATEMENTS: KEY NUMBERS (CONTINUED)

Note 13: Provisions (continued)

(b) Recognition and measurement (continued)

Key judgement, estimates and assumptions: Long service leave

Management judgement is required in determining the following key assumptions used in the calculation of long service leave at balance sheet date:

- Future increase in salaries and wages;
- Future on cost rates; and
- Future probability of employee departures and period of service

Note 14: Share capital

Noteshares$'000
Ordinary shares
Share capital at 1 July 2017526,734,248149,122

Shares issued from exercise of options1,500,000448
Shares issued from exercise of performance rights274,760	-
Less cost of share issues (net of tax)-	(2)
At 30 June 2018528,509,008149,568

Shares issued as part of the acquisition of Explaurum117(a)127,778,61964,232
Shares issued from exercise of performance rights85,34228
Shares issued from exercise of options1,500,000300
Transfer from share based payments reserve-90
At 30 June 2019657,872,969214,218

Represents the value of shares at the date of issue. Refer to Note 15 for details on the NCI reserve.

(a) Recognition and measurement

Share capital

Ordinary share capital is classified as equity and is recognised at fair value of the consideration received by the group. Any transaction costs arising on the issue of ordinary shares and the associated tax are recognised directly in equity as a reduction of the share proceeds received.

Ordinary shares

Holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at shareholders' meetings other than voting exclusions as required by the Corporations Act 2001. In the event of winding up of the Company, ordinary shareholders rank after all creditors and are fully entitled to any proceeds of liquidation.

Options over shares

Refer Note 24 for further information on options, including details of any options issued, exercised and lapsed during the financial year and options over shares outstanding at financial year end.

Rights over shares

Refer Note 24 for further information on rights, including details of any rights issued, exercised and lapsed during the financial year and rights over shares outstanding at financial year end.

RISK

Note 15: Reserves

	2019$'000	2018$'000
Share-based payments reserve	2,032	1,545
Financial assets at FVOCI	(383)	(333)
Other	634	634
NCI acquisition reserve	(9,926)	-
Foreign currency translation reserve	(31)	38
Total reserves	(7,764)	1,884

Share-based payment reserve

Share-based payments reserve records items recognised as expenses on valuation of employees share options and rights.

Financial assets at FVOCI

The group has elected to recognise changes in the fair value of certain investments in equity securities in OCI. These changes are accumulated within the FVOCI reserve within equity. The group transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.

Non-Controlling Interest (NCI) acquisition reserve

The NCI acquisition reserve represents the incremental increase in the RMS share price on the buy-out of the EXU noncontrolling interest post the date control was obtained.

Foreign currency translation reserve

Foreign currency translation reserve comprises all foreign exchange difference arising from the translation of the financial statements of foreign operations where their function currency is different to the presentation currency of the reporting entity.

Note 16: Financial instruments and financial risk management

The Directors are responsible for monitoring and managing financial risk exposures of the group. The group holds the following financial assets and liabilities:

	2019$'000	2018$'000
Financial assets
Cash at bank	40,815	38,181
Term deposits	55,000	30,028
Trade and other receivables	6,774	4,664
Secured term deposits with financial institutions	7,500	6,819
Other security bonds and deposits	488	477
Available-for-sale financial assets	101	126
Total financial assets	110,678	80,295

Financial liabilities

Trade and other payables	44,926	31,796
Total financial liabilities	44,926	31,796

(a) Recognition and measurement

Initial recognition and measurement

Financial instruments are initially measured at fair value plus transaction costs except where the instrument is classified 'at fair value through profit or loss' in which case transaction costs are expensed immediately.

NOTES TO THE FINANCIAL STATEMENTS: RISK (CONTINUED)

Note 16: Financial instruments and financial risk management (continued)

(b) Classification and subsequent measurement

Financial instruments are subsequently measured at fair value, amortised cost using the effective interest rate method or at cost. Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Quoted prices in an active market are used to determine fair value where possible. The group does not designate any interest in subsidiaries, associates or joint venture entities as being subject to the requirements of accounting standards specifically applicable to financial instruments.

Amortised Cost

Amortised cost amounts are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and are subsequently measured at amortised cost using the effective interest rate method.

Financial liabilities

Non-derivative financial liabilities (excluding financial guarantees) are subsequently measured at amortised cost.

Fair value through other comprehensive income (FVOCI)

FVOCI financial assets include any financial assets not included in the above categories.

(c) Fair value

Fair value is determined based on current bid prices for all quoted investments. Valuation techniques are applied to determine the fair value for all unlisted securities, including recent arm's length transactions, reference to similar instruments and option pricing models.

(d) Expected loss

At each reporting date, the group assesses whether there is objective evidence that a financial instrument has been impaired. If there is objective evidence of impairment, the cumulative loss - measured as the difference between the acquisition cost and the current fair value, less any impairment loss on that financial asset previously not recognised in the profit or loss - is removed from equity and recognised in profit or loss.

Management of financial risk

The group's management of financial risk is aimed at ensuring cash flows are sufficient to:

Withstand significant changes in cash flow at risk scenarios and meet all financial commitments as and when they fall due; and
Maintain the capacity to fund future project development, exploration and acquisition strategies.

The group continually monitors and tests its forecast financial position against these criteria.

The group is exposed to the following financial risks: liquidity risk, credit risk and market risk (including foreign exchange risk, commodity price risk and interest rate risk).

(a) Liquidity risk

Liquidity risk arises from the possibility that the group might encounter difficulty in settling its debts or otherwise meeting its obligations related to financial liabilities. Prudent liquidity risk management implies maintaining sufficient cash to meet obligations when due. The group manages liquidity risk by regularly monitoring forecast cash flows.

i. Maturities of financial liabilities

(a) Payables

Trade and other payables are expected to be settled within 6 months.

(b) Borrowings

The group has no outstanding borrowings as at 30 June 2019.

(b) Credit risk exposures

Credit risk represents the loss that would be recognised if counterparties failed to perform as contracted. The credit risk on financial assets of the entity which have been recognised in the Balance Sheet is the carrying amount, net of any provision for doubtful debts. Credit risk is managed through the consideration of credit worthiness of customers and counterparties. This ensures to the extent possible, that customers and counterparties to transactions are able to pay their obligations when due and payable. Such monitoring is used in assessing impairment.

i. Past due but not impaired

As at 30 June 2019 there were no receivables past due but not impaired.

NOTES TO THE FINANCIAL STATEMENTS: RISK (CONTINUED)

Note 16: Financial instruments and financial risk management (continued)

(b) Credit risk exposures (continued)

ii. Impaired trade receivables

Individual receivables which are known to be uncollectable are written off by reducing the carrying amount directly. The other receivables are assessed to determine whether there is objective evidence that an impairment has been incurred but not yet identified. For these receivables, the estimated impairment losses are recognised in a separate provision for impairment. The group considers that there is evidence of impairment if any of the following indicators are present:

significant financial difficulties of the debtor,
probability that the debtor will enter bankruptcy or financial reorganisation, and
default or delinquency in payments (past due).

Receivables for which an impairment provision was recognised are written off against the provision when there is no expectation of recovering additional cash. Impairment losses are recognised in profit or loss within other expenses. Subsequent recoveries of amounts previously written off are credited against other expenses.

(c) Market risk

i. Foreign currency risk

The group undertakes transactions impacted by foreign currencies; hence exposures to exchange rate fluctuations arise. The majority of the group's revenue is affected by movements in USD:AUD exchange rate that impacts on the Australian gold price whereas the majority of costs (including capital expenditure) are in Australian dollars. The group considers the effects of foreign currency risk on its financial position and financial performance and assesses its option to hedge based on current economic conditions and available market data.

ii. Commodity price risk

The group's revenue is exposed to commodity price fluctuations, in particular to gold prices. Price risk relates to the risk that the fair value of future cash flows of gold sales will fluctuate because of changes in market prices largely due to demand and supply factors for commodities and gold price commodity speculation. The group is exposed to commodity price risk due to the sale of gold on physical delivery at prices determined by markets at the time of sale. The group manages commodity price risk as follows:

Forward sales contracts

Gold price risk is managed through the use of forward sales contracts which effectively fix the Australian Dollar gold price and thus provide cash flow certainty. These contracts are accounted for as sale contracts with revenue recognised once gold has been physically delivered into the contract. The physical gold delivery contracts are considered a contract to sell a non-financial item and therefore do not fall within the scope of AASB 9 Financial Instruments. At 30 June 2019, the group had 240,900 ounces in forward sales contracts at an average price of A$1,834. Refer to Note 21(a) for further details.

Put options

Gold price risk may be managed with the use of hedging strategies through the purchase of gold put options to establish gold "floor prices" in Australian dollars over the group's gold production; however, this is generally at levels lower than current market prices. These put options enable Ramelius to retain full exposure to current, and any future rises in the gold price while providing protection to a fall in the gold price below the strike price. Gold put options are marked to market at fair value through profit and loss.

Gold prices, cash flows and economic conditions are constantly monitored to determine whether to implement a hedging program.

(d) Gold price sensitivity analysis

The group has performed a sensitivity analysis relating to its exposure to gold price risk at reporting date. This sensitivity analysis demonstrates the effect on the current year results and equity which could result in a change in these risks. Any impacts from such hedging would be in relation to revenue from gold sales.

Based on gold sales of 39,102oz (200,352 oz less forward sales of 161,250oz) in 2019 and 51,523oz (200,273oz less forward sales of 148,750oz) in 2018, if gold price in Australian dollars had changed by + / - A$100, with all other variables remaining constant, the estimated realised impact on pre-tax profit (loss) and equity would have been as follows:

NOTES TO THE FINANCIAL STATEMENTS: GROUP STRUCTURE

Note 16: Financial instruments and financial risk management (continued)

(d) Gold price sensitivity analysis (continued)

	2019$'000	2018$'000
Impact on pre-tax profit
Increase in gold price by A$100	3,910	5,152
Decrease in gold price by A$100	(3,910)	(5,152)

Impact on equity
Increase in gold price by A$100	3,910	5,152
Decrease in gold price by A$100	(3,910)	(5,152)

(e) Capital risk management

The objective when managing capital is to maintain a strong capital base capable of withstanding cash flow variability, whilst providing flexibility to pursue growth aspirations. Ramelius aims to maintain an optimal capital structure to reduce the cost of capital and maximise shareholder returns. The capital structure is equity as shown in the Balance Sheet. The group is not subject to any externally imposed capital requirements.

(f) Fair value measurement

The financial assets and liabilities of the group are recognised on the Consolidated Balance Sheet at their fair value in accordance with the group's accounting policies. Measurement of fair value is grouped into levels based on the degree to which fair value is observable in accordance with AASB 7 Financial Instruments: Disclosure.

Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices).
Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

(g) Fair value measurement of financial instruments

Derivative financial assets are measured at fair value using valuation techniques which maximise the use of observable market data and rely as little as possible on entity specific estimates. The valuations would be recognised as a Level 2 in the fair value hierarchy as they have been derived using inputs from a variety of market data. Available-for-sale financial assets are measured at fair value using the closing price on the reporting date as listed on the Australian Securities Exchange Limited (ASX). Available-for-sale financial assets are recognised as a Level 1 in the fair value hierarchy as defined under AASB 7 Financial Instruments: Disclosures. The carrying amounts of trade receivables and payables are assumed to approximate their fair values due to their short-term nature.

Note 17: Asset acquisitions

(a) Tampia Hill Gold Project (Explaurum Limited)

On 10 September 2018 Ramelius released a Bidders Statement in relation to its off-market takeover bid under Chapter 8 of the Corporations Act for all of the fully paid ordinary shares in Explaurum Limited (Explaurum) (then ASX: EXU). Under the offer, Explaurum shareholders would have received one (1) Ramelius share for every four (4) Explaurum shares held.

On 13 December 2018 Ramelius announced an improved, best and final takeover offer ("the Offer") for Explaurum. Under the improved offer Explaurum shareholders received $0.02 cash for every Explaurum share held in addition to the existing consideration of one (1) Ramelius share for every four (4) Explaurum shares held. On 18 December 2018 the Explaurum Board unanimously recommended that Explaurum shareholders accept the Ramelius offer in the absence of a superior proposal.

Control of Explaurum was obtained on 27 December 2018. The offer closed on 25 February 2019 with Ramelius holding a relevant interest in 95.58% of Explaurum shares. On this date Ramelius exercised its compulsory acquisition powers under the Corporations Act to acquire the remaining Explaurum shares. The compulsory acquisition was completed on 4 April 2019 with Ramelius having a 100% relevant interest in Explaurum Limited and its subsidiaries.

NOTES TO THE FINANCIAL STATEMENTS: GROUP STRUCTURE (CONTINUED)

Note 17: Asset acquisitions (continued)

(a) Tampia Hill Gold Project (Explaurum Limited) (continued)

The Tampia Hill Gold Project is located in the wheatbelt of Western Australia is located near Narembeen, 204km east of Perth in Western Australia and 140km by road from the existing Edna May Gold Mine. The Tampia Hill Gold Project has a Mineral Resource of 460,000 ounces and an Ore Reserve of 200,000 ounces.

The group has determined that the transaction does not constitute a business combination in accordance with AASB 3 Business Combinations. The acquisition of the net assets meets the definition of, and has been accounted for, as an asset acquisition. When an asset acquisition does not constitute a business combination, the assets and liabilities are assigned a carrying amount based on their relative fair values in an asset purchase transaction and no deferred tax will arise in relation to the acquired assets and assumed liabilities as the initial recognition exemption for deferred tax under AASB 112 Income Taxes is applied. No goodwill arises on the acquisition and transactions costs of the acquisition are included in the capitalised cost of the asset.

Details of the purchase consideration and the net assets acquired are as follows:

	Note	At acquisition$'000	At 30 June 2019$'000
Purchase consideration:
Cash paid		5,219	8,472
Ordinary shares issued (127,778,619)	14	27,727	64,232
NCI reserve	15	-	(9,926)
Acquisition costs		1,127	4,893
Total purchase consideration		34,073	67,671

The fair value of the shares issued to gain control of Explaurum Limited was based on the Ramelius share price on 27 December 2018 (the date on which control was obtained) of $0.425 per share. The fair value of the shares issued post control being obtained was the share price at the date the shares were issued. The difference between this share price and that at the date of control has been recorded in the NCI acquisition reserve (see note 15).

	At acquisition$'000	At 30 June 2019$'000
Net assets acquired:
Cash and cash equivalents	1,665	1,665
Trade and other receivables	495	495
Plant and equipment	129	129
Exploration & evaluation assets	66,492	72,262
Trade and other payables	(3,063)	(3,063)
Loans payable	(3,700)	(3,700)
Provisions	(117)	(117)
Net identifiable assets acquired	61,901	67,671
Less: Non-controlling interest	(27,828)	-
Net assets acquired	34,073	67,671

Outflow of cash to acquire subsidiary, net of cash acquired:

Cash consideration, net of receipts	8,472
Acquisition costs	4,893
Less: acquisition costs provided for but not paid	(3,317)
Less: cash balance acquired	(1,665)
Net outflow of cash – investing activities	8,383

NOTES TO THE FINANCIAL STATEMENTS: GROUP STRUCTURE (CONTINUED)

Note 17: Asset acquisitions (continued)

(b) Marda Gold Project (Black Oak Minerals Limited)

On 13 September 2018 Ramelius entered into a binding agreement for the acquisition of Black Oak Minerals Limited (in Liquidation) ("BOK"), the owner of the Marda Gold Project, for $13.0 million.

Details of the purchase consideration and the net assets acquired are as follows:

	$'000
Purchase consideration:
Cash paid	13,000
Acquisition costs	901
Total purchase consideration	13,901

Net assets acquired:
Consumables	2
Land & buildings	135
Plant and equipment	5
Mine development	13,759
Net assets acquired	13,901

Outflow of cash to acquire subsidiary, net of cash acquired:
Cash consideration	13,000
Acquisition costs	901

Note 18: Business combination

In the prior reporting period Ramelius acquired Edna May Operations Pty Limited from Evolution Mining Limited. Part of the purchase consideration was consideration contingent upon future production and mine development.

Less: acquisition costs provided for but not paid (663) Net outflow of cash – investing activities 13,238

The contingent consideration arrangement requires the group to pay the former owner Evolution Mining Limited a royalty of either $60 or $100 per ounce and/or a payment of $20,000,000 in cash or Ramelius shares as described in note 12. The maximum amount payable under this arrangement is $50,000,000. There is no minimum amount payable.

The fair value of the contingent consideration as at 30 June 2018 of $12,892,000 was estimated calculating the present value of the future expected cash flows. The estimates were based on a discount rate of 10% and probability adjusted production profiles.

For the year ended 30 June 2019, there was an increase of $1,238,000 recognised in the income statement for the contingent consideration arrangement which represents the unwinding of the discount rate. In addition to this there was a decrease of $2,009,000 recognised in the income statement relating to changes in the fair value of the contingent consideration.

The liability is presented as non-current contingent consideration in the balance sheet.

NOTES TO THE FINANCIAL STATEMENTS: GROUP STRUCTURE (CONTINUED)

Note 19: Interests in other entities

Controlled entities

The group's principal subsidiaries at 30 June 2019 are set out below. Unless otherwise stated, they have share capital consisting solely of ordinary shares that are held directly by the group, and the proportion of ownership interests held equals the voting rights held by the group. The country of incorporation or registration is also their principal place of business.

Name of Entity	Country ofincorporation	Functionalcurrency	Percentageowned 2019%	Percentageowned 2018%
Parent entity
Ramelius Resources Limited	Australia	Australian dollars	n/a	n/a
Subsidiaries of Ramelius Resources Limited
Mt Magnet Gold Pty Limited	Australia	Australian dollars	100	100
RMSXG Pty Limited	Australia	Australian dollars	100	100
Ramelius USA Corporation	USA	US dollars	100	100
Ramelius Operations Pty Limited	Australia	Australian dollars	100	100
Explaurum Limited	Australia	Australian dollars	100	-
Subsidiaries of Ramelius OperationsPty Limited
Edna May Operations Pty Limited	Australia	Australian dollars	100	100
Marda Operations Pty Limited(formerly Black Oak Minerals Limited)	Australia	Australian dollars	100	-
Subsidiaries of Explaurum Limited
Explaurum Operations Pty Limited	Australia	Australian dollars	100	-
Ninghan Exploration Pty Limited	Australia	Australian dollars	100	-

The parent entity and all subsidiaries of Ramelius, except for Ramelius USA Corporation, form part of the closed group detailed at Note 27.

Joint operations

The group has the following direct interests in unincorporated joint operations at 30 June 2019 and 30 June 2018:

			Interest (%)
Joint operation project	Joint operation partner	Principal activity	2019	2018
Tanami	Dreadnought Resources Limited	Gold	85%	85%
Mooletar	Unlisted entity	Gold	Withdrawn	0%*
Jumbulyer	Unlisted entity	Gold	0%*	0%*
Nulla South	Chalice Gold Mines Limited	Gold	0%*	-
Gibb Rock	Chalice Gold Mines Limited	Gold	0%*	-
Coogee Farm-out	Unlisted entity	Gold	Diluting 100%	-
Jupiter	Kinetic Gold#	Gold	0%*	0%*

* Ramelius is earning into the joint ventures by undertaking exploration and evaluation activities.

- Kinetic Gold is a subsidiary of Renaissance Gold Inc.

NOTES TO THE FINANCIAL STATEMENTS: UNRECOGNISED ITEMS

Note 19: Interests in other entities (continued)

Joint operations (continued)

The share of assets in unincorporated joint operations is as follows:

	2019$'000	2018$'000
Non-current assets
Exploration and evaluation assets (note 10)	2,490	3,549

(a) Recognition and measurement

Under AASB 11 Joint Arrangements investments in joint arrangements are classified as either joint operations or joint ventures. The classification depends on the contractual rights and obligations of each investor, rather than the legal structure of the joint arrangement. Ramelius has exploration related joint arrangements which are considered joint operations. Ramelius recognises its direct right to the assets, liabilities, revenues and expenses of joint operations and its share of any jointly held or incurred assets, liabilities, revenues and expenses. These have been incorporated in the financial statements under the appropriate headings.

Note 20: Contingent liabilities

The Directors are of the opinion that the recognition of a provision is not required in respect of the following matters, as it is not probable that a future sacrifice of economic benefits will be required, or the amount is not capable of reliable measurement.

(a) Bank guarantees

The group has negotiated a number of bank guarantees in favour of various government authorities and service providers. The total nominal amount of these guarantees at the reporting date is $370,145 (2018: $2,122,000). These bank guarantees are fully secured by cash on term deposit.

Note 21: Commitments

(a) Gold delivery commitments

Forward sale contracts are accounted for as sale contracts with revenue recognised once gold has been physically delivered. The physical gold delivery contracts are considered own use contracts and therefore do not fall within the scope of AASB 139 Financial Instruments: Recognition and Measurement. As a result, no derivatives are required to be recognised. Forward gold sale contract delivery commitments are shown below:

Gold delivery commitments	Gold forphysicaldeliveryOz	Contractedsales priceA$/oz	Committedgold sales value$'000
As at 30 June 2019
Within one year	138,800	$1,806	250,605
Between one and five years	102,100	$1,873	191,193
Total	240,900	$1,834	441,798

As at 30 June 2018
Within one year	110,250	$1,708	188,347
Between one and five years	30,000	$1,758	52,744
Total	140,250	$1,719	241,091

OTHER INFORMATION

Note 21: Commitments (continued)

(b) Capital expenditure commitments

	2019$'000	2018$'000
Capital expenditure contracted but not provided for in thefinancial statements.
Within one year	1,509	-
Total capital expenditure commitments	1,509	-

(c) Operating lease commitments

Future minimum rentals payable on non-cancellable operatingleases due:
Within one year	819	363
Between one and five years	524	639
Total operating lease commitments	1,343	1,002

(d) Minimum exploration and evaluation commitments

In order to maintain current rights of tenure to exploration tenements, the group is required to perform minimum exploration work to meet minimum expenditure requirements. These obligations are subject to renegotiation and may be farmed out or relinquished. These obligations are not provided for in the financial statements.

	2019$'000	2018$'000
Within one year	5,171	3,346
Between one and five years	17,254	12,099
Due later than five years	22,881	21,826
Total minimum exploration and evaluation commitments	45,306	37,271

Note 22: Events occurring after the reporting period

No matters or circumstances have arisen since 30 June 2019 that have significantly affected, or may significantly affect:

(a) The group's operations in future financial years,
(b) The results of operations in future financial years, or
(c) The group's state of affairs in future financial years.

Note 23: Related party transactions

Transactions with related parties are on normal commercial terms and at conditions no more favourable than those available to other parties unless otherwise stated.

	2019$	2018$
Key management personnel compensation
Short-term employee benefits	3,108,089	2,226,288
Post-employment benefits	172,749	141,503
Other long-term benefits	(64,650)	(4,535)
Termination benefits	299,583	40,000
Share-based payments	268,148	301,569
Total key management personnel compensation	3,783,919	2,704,825

Detailed remuneration disclosures are provided in the Remuneration Report.

Note 23: Related party transactions (continued)

(a) Subsidiaries

Interests in subsidiaries are set out in Note 19.

(b) Transactions with other related parties

There were no other transactions with related parties during the year. In the prior year lease payments were made to an entity related to the late Chairman, Mr R M Kennedy. The lease agreement was for the office property in Adelaide, SA and had been based on normal commercial terms on conditions on an arm's length basis.

Aggregate amounts of each of the above types of transactions with key management personnel of Ramelius Resources Limited:

	2019$	2018$
Amounts recognised as an expense
Rent of office building	-	45,286

There was no other amount receivable from or payable to Directors and their related entities at reporting date.

Note 24: Share based payments

(a) Options

In November 2015 3,000,000 options over the ordinary fully paid shares in Ramelius Resources Limited were issued as approved by the shareholders at the 2015 Annual General Meeting.

The table set out below summarises the options granted:

	2019		2018
	Avg ex priceper option	Number ofoptions	Avg ex priceper option	Number ofoptions
As at 1 July	$0.20	3,000,000	$0.23	4,500,000
Options exercised	$0.20	(1,500,000)	$0.30	(1,500,000)
As at 30 June	$0.20	1,500,000	$0.20	3,000,000
Vested and exercisable at 30 June	$0.20	1,500,000	$0.20	3,000,000

Share options outstanding at the end of the year have the following expiry dates and exercise prices:

Grant date	Expiry date	Exercise price	Share options30 June 2019	Share options30 June 2018
26 November 2015	11 June 2019	$0.20	-	1,500,000
20 November 2015	11 June 2020	$0.20	1,500,000	1,500,000
Total			1,500,000	3,000,000

Weighted average remaining contractual life of options outstanding at theend of the year			0.95 years	1.45 years

There were no options granted during the years ended 30 June 2019 and 30 June 2018.

Note 24: Share based payments (continued)

(b) Performance rights

Under the Performance Rights Plan, which was approved by shareholders at the 2016 Annual General Meeting, eligible employees are granted performance rights (each being an entitlement to an ordinary fully paid share) subject to the satisfaction of vesting conditions and on the terms and conditions as determined by the Board. Performance rights are issued for no consideration and have a nil exercise price.

The amount of performance rights that vest depends on Ramelius Resources Limited's total return to shareholders (TSR), including share price growth, dividends and capital returns, and ranking within a peer group. Once vested performance rights remain exercisable for a period of seven years.

Performance rights issued under the plan carry no voting or dividend rights.

The table set out below summarises the performance rights granted:

	2019Performancerights	2018Performancerights
As at 1 July	6,900,914	3,429,330
Performance rights forfeited	(422,645)	(235,988)
Performance rights lapsed	(143,019)	-
Performance rights granted	3,825,125	3,982,332
Performance rights exercised	(85,342)	(274,760)
As at 30 June	10,075,033	6,900,914
Vested and exercisable at 30 June	1,831,778	701,688

Performance rights outstanding at the end of the year have the following expiry date:

	Expiry date	Performancerights30 June 2019	Performancerights30 June 2018
Grant date
23 November 2016	1 July 2024	701,688	701,688
23 November 2016	1 July 2025	630,090	858,451
23 November 2016	1 July 2026	804,081	858,442
22 December 2016	11 June 2026	500,000	500,000
1 July 2017	1 July 2027	2,635,721	2,793,388
31 July 2017	1 July 2027	464,445	464,445
3 October 2017	1 July 2027	580,500	724,500
5 September 2018	1 July 2028	2,437,039	-
29 November 2018	1July 2028	1,321,469	-
Total		10,075,033	6,900,914

Weighted average remaining contractual life of performance rights outstanding at the end of the year 7.92 years 8.25 years

Note 24: Share based payments (continued)

(b) Performance rights (continued)

The fair value at grant date is independently determined using a Monte Carlo Simulations pricing model that takes into account the exercise price, the term of the performance right, the share price at grant date, expected price volatility of the underlying share and the risk-free rate for the term of the performance right. The expected price volatility is based on historic volatility (based on the remaining life of the performance right). Model inputs for performance rights granted during the year are as follows:

	Performance rights granted:
Metric	5 Sept 2018	29 Nov 2018
Exercise price	$nil	$nil
Grant date	5 Sept 2018	29 Nov 2018
Life	2.8 years	2.6 years
Share price at grant date	$0.49	$0.385
Expected price volatility	63%	55%
Risk free rate	2.08%	2.09%

(c) Expenses arising from share-based payment transactions

Total expenses arising from share-based payment transaction recognised during the period as part of employee benefits expense were as follows:

	2019$'000	2018$'000
Performance rights	651	631
Options	-	53
Total share-based payment expense	651	684

(d) Recognition and measurement

The group provides benefits to employees (including the Managing Director / Chief Executive Officer) in the form of share-based compensation, whereby employees render services in exchange for shares or options and/or rights over shares (equity-settled transactions).

The cost of these equity-settled transactions with employees is measured by reference to the fair value of the equity instruments at the date at which they are granted. The group issues share-based remuneration in accordance with the employee share acquisition plan, the performance rights plan or as approved by the Board as follows:

(i) Employee share acquisition plan

The group operates an Employee Share Acquisition Plan where employees may be issued shares and/or options. Fair value of the equity to which employees become entitled is measured at grant date and recognised as an employee benefits expense over the vesting period with a corresponding increase in equity. Fair value of shares issued is determined with reference to the latest ASX share price. Options are valued using an appropriate valuation technique which takes vesting conditions into account.

(ii) Performance rights plan

The group has a Performance Rights Plan where key management personnel may be provided with rights to shares in Ramelius. Fair values of rights issued are recognised as an employee benefits expense over the relevant service period, with a corresponding increase in equity. Fair value of rights are measured at effective grant date and recognised over the vesting period during which key management personnel become entitled to the rights. There are a number of different methodologies that are appropriate to use in valuing rights. Fair value of rights granted is measured using the most appropriate method in the circumstances, taking into consideration the terms and conditions upon which the rights were issued.

(iii) Other long-term incentives

The Board may at its discretion provide share rights either to recruit or as a long-term retention incentive to key executives and employees.

The fair value of options and/or rights granted is recognised as an employee benefits expense with a corresponding increase in equity. The total amount to be expensed is determined by reference to the fair value of the options and/or rights granted, which includes any market performance conditions and the impact of any non-vesting conditions but excludes the impact of any service and non-market performance vesting conditions.

Note 24: Share based payments (continued)

(d) Recognition and measurement (continued)

Non-market vesting conditions are included in assumptions about the number of options that are expected to vest. The total expense is recognised over the vesting period, which is the period over which all of the specified vesting conditions are to be satisfied. At the end of each period, the entity revises its estimates of the number of options and/or rights that are expected to vest based on the non-market vesting conditions. It recognises the impact of the revision to original estimates, if any, in profit or loss, with a corresponding adjustment to equity.

Upon exercise of the rights, the balance of the Share-Based Payments Reserve relating to those rights remains in the share-based payments reserve until it is transferred to retained earnings.

Note 25: Remuneration of auditors

During the year the following fees were paid or payable for services provided by the auditor of the parent entity, its related practices and non-related audit firms:

	2019$	2018$
Deloitte Touche Tohmatsu
Audit and review of financial statements	105,000	-
Other assurance services
- Audit of regulatory returns	6,250	-
- Accounting assistance	13,200	-
Total remuneration of Deloitte Touche Tohmatsu	124,450	-

Grant Thornton
Audit and review of financial statements	-	182,333
Other assurance services
- Audit of regulatory returns	-	-
Tax advice and compliance services	-	62,400
Total remuneration of Grant Thornton	-	244,733

Note 26: Earnings per share

	2019Cents	2018Cents
(a) Basic earnings per share
Basic earnings per share attributable to the ordinary equity holders of the Company	3.74	5.84

(b) Diluted earnings per share
Diluted earnings per share attributable to the ordinary equity holders of the Company	3.67	5.75


	2019Number	2018Number
(c) Weighted average number of shares used as the denominator
Weighted average number of ordinary shares used as the denominator in calculatingbasic earnings per share	584,112,265	527,021,292
Adjustments for calculation of diluted earnings per share:Share rights and options	11,448,559	7,780,731

Note 26: Earnings per share (continued)

(d) Calculation of earnings per share

Basic earnings per share is calculated by dividing:

the profit attributable to owners of the Company, adjusted to exclude costs of servicing equity other than ordinary shares,
by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus elements in ordinary shares issued during the year.

Diluted earnings per share adjusts the figures used in determining basic earnings per share to take into account the:

after income tax effect of interest and other financing costs associated with dilutive potential ordinary shares,
weighted average number of additional ordinary shares that would have been outstanding assuming the conversion of all dilutive potential ordinary shares.

(e) Earnings used in the calculation of earnings per share

Both the basic and diluted earnings per share have been calculated using the profit after tax as the numerator.

(f) Classification of securities

All ordinary shares have been included in basic earnings per share.

(g) Classification of securities as potential ordinary shares

Rights to shares granted to executives and senior managers are included in the calculation of diluted earnings per share and assume all outstanding rights will vest. Rights are included in the calculation of diluted earnings per share to the extent they are dilutive. Options have been included in determining diluted earnings per share to the extent that they are in the money (i.e. not antidilutive). Rights and options are not included in basic earnings per share.

Note 27: Deed of cross guarantee

Pursuant to ASIC Instrument 2016/785, wholly-owned controlled entities Mt Magnet Gold Pty Ltd (formerly Mt Magnet Gold NL), RMSXG Pty Ltd, Ramelius Operations Pty Ltd, Edna May Operations Pty Ltd, Marda Operations Pty Ltd (formerly Black Oak Minerals Limited), Explaurum Operations Pty Ltd, and Ninghan Exploration Pty Ltd are relieved from the Corporations Act 2001 requirements for preparation, audit and lodgement of its financial reports and director's report.

It is a condition of the Class Order that the Company and each of its eligible controlled entities enter into a Deed of Cross Guarantee. In December 2011, Ramelius Resources Limited, RMSXG Pty Ltd and Mt Magnet Gold Pty Ltd (the Closed group) entered into a Deed of Cross Guarantee. In March 2018 Edna May Operations and Ramelius Operations Pty Ltd joined the Closed Group by entering the Deed of Cross Guarantee by way of an Assumption Deed. In April 2019 Explaurum Limited, Explaurum Operations Pty Ltd, and Ninghan Exploration Pty Ltd joined the Closed Group by entering the Deed of Cross Guarantee by way of an Assumption Deed.

The effect of the Deed is that Ramelius Resources Limited has guaranteed to pay any deficiency in the event of winding up of the abovementioned controlled entities under certain provisions of the Corporations Act 2001. Mt Magnet Gold Pty Ltd, RMSXG Pty Ltd, Ramelius Operations Pty Ltd, Edna May Operations Pty Ltd, Marda Operations Pty Ltd, Explaurum Limited, Explaurum Operations Pty Ltd, and Ninghan Exploration Pty Ltd have also given a similar guarantee in the event that Ramelius Resources Limited is wound up.

Explaurum Limited is required to prepare an audited financial report for the year ended 30 June 2019 as it was a disclosing entity during the year ended 30 June 2019.

A Consolidated Statement of Comprehensive Income and Consolidated Balance sheet comprising the Closed group which are parties to the Deed of Cross Guarantee, after eliminating all transactions between parties to the Deed is set out below.

OTHER INFORMATION (CONTINUED)

Note 27: Deed of cross guarantee (continued)

Statement of comprehensive income

	2019$'000	2018$'000
Sales revenue	352,770	341,784
Cost of production	(309,161)	(281,864)
Gross profit	43,609	59,920

Other expenses	(14,961)	(16,548)
Other income	2,125	3,322
Interest income	1,886	1,021
Finance costs	(2,193)	(1,770)
Profit before income tax	30,466	45,945

Income tax expense	(8,579)	(14,739)
Profit for the year from continuing operations	21,887	31,206

Other comprehensive income
Net change in fair value of available-for-sale assets	(50)	(42)
Other comprehensive income for the year, net of tax	(50)	(42)

Total comprehensive income for the year	21,837	31,164

Balance sheet

	2019$'000	2018$'000
Current assets
Cash and cash equivalents	95,815	68,209
Trade and other receivables	6,774	3,358
Inventories	41,067	58,086
Other assets	8,629	1,439
Total current assets	152,285	131,092
Non-current assets
Other receivables	1,488	2,264
Other assets	1,488	7,296
Available-for-sale financial assets	101	126
Property, plant, and equipment	43,823	51,122
Development assets	99,430	84,728
Exploration and evaluation expenditure	98,488	18,812
Deferred tax assets	-	917
Total non-current assets	244,818	165,265
Total assets	397,103	296,357

Current liabilities
Trade and other payables	44,926	31,796
Provisions	6,852	6,075
Current liabilities	51,778	37,871

OTHER INFORMATION (CONTINUED)

Note 27: Deed of cross guarantee (continued)

Balance sheet (continued)

	2019$'000	2018$'000
Non-current liabilities
Provisions	45,987	43,169
Deferred consideration	12,121	12,892
Deferred tax liabilities	7,741	-
Total non-current liabilities	65,849	56,061
Total liabilities	117,627	93,932
Net assets	279,476	202,425
Equity
Share capital	214,218	149,568
Reserves	(7,642)	1,890
Retained earnings	72,900	50,967
Total equity	279,476	202,425

Note 28: Parent entity information

The financial information of the parent entity, Ramelius Resources Limited, has been prepared on the same basis as the consolidated financial statements, other than investments in controlled entities which were carried at cost less impairment.

(a) Summary financial information	2019$'000	2018$'000
Financial statement for the parent entity show the followingaggregate amounts:
Current assets	84,055	71,317
Total assets	214,596	169,516
Current liabilities	(12,735)	(6,783)
Total liabilities	(16,701)	(11,650)
Net assets	197,895	157,866
Equity
Share capital	214,218	149,568
Reserves
Share-based payment reserve	2,032	1,545
Other reserves	(383)	(332)
Retained losses	(17,972)	7,086
Total equity	197,895	157,866
(b) Income statement
Profit / (loss) after income tax	(25,104)	7,242
Total comprehensive income / (loss)	(25,154)	7,200
(c)Commitments
(i) Operating lease commitments
Future minimum rentals payables on non-cancellable leases due:
Within one year	351	191
Later than one year but not later than five years	280	561
Total operating lease commitments	631	752

Note 28: Parent entity information (continued)

(c) Commitments (continued)

(ii) Minimum exploration and evaluation commitments

In order to maintain current rights of tenure to exploration tenements, Ramelius is required to perform minimum exploration work to meet minimum expenditure requirements. These obligations are subject to renegotiation and may be farmed out or relinquished. These obligations are not provided for in the parent entity financial statements.

	2019$'000	2018$'000
Within one year	698	1,261
Later than one year but not later than five years	1,748	3,737
Later than five years	1,742	1,808
Total minimum exploration and evaluation commitments	4,188	6,806

(d) Contingent liabilities

(i) Bank guarantees

Ramelius has negotiated a number of bank guarantees in favour of various government authorities and service providers. The total nominal amount of these guarantees at the reporting date is $370,145 (2018: $2,122,000). These bank guarantees are fully secured by cash on term deposit.

(e) Guarantees in relation to debts of subsidiaries

In December 2011, Ramelius Resources Limited, RMSXG Pty Ltd and Mt Magnet Gold Pty Ltd (the Closed group) entered into a Deed of Cross Guarantee. In March 2018 Edna May Operations and Ramelius Operations Pty Ltd joined the Closed Group by entering the Deed of Cross Guarantee by way of an Assumption Deed. In April 2019 Explaurum Limited, Explaurum Operations Pty Ltd, and Ninghan Exploration Pty Ltd joined the Closed Group by entering the Deed of Cross Guarantee by way of an Assumption Deed.

The effect of the Deed is that Ramelius has guaranteed to pay any deficiency in the event of winding up of the abovementioned subsidiaries under certain provisions of the Corporations Act 2001. The subsidiaries have also given a similar guarantee in the event that Ramelius is wound up.

Note 29: Accounting policies

(a) New standards and interpretations not yet adopted

The group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to its operations and effective for an accounting period that begins on or after 1 July 2018.

Certain new accounting standards and interpretations have been published that are not mandatory for 30 June 2019 reporting periods and have not been early adopted by the group. The group's assessment of the impact of these new standards and interpretations is set out below.

Title of standard	AASB 16 Leases
Nature of change	AASB 16 was issued in February 2016. It will result in almost all leases being recognisedon the balance sheet, as the distinction between operating and finance leases isremoved. Under the new standard, an asset (the right to use the leased item) and afinancial liability to pay rentals are recognised. The only exceptions are short-term (<12months) and low-value assets.
	The depreciation of the right of use asset and interest on the lease liability will berecognised in the income statement
Impact	The group plans to adopt the modified retrospective approach on transition wherebycomparative information is not restated. Consequently, the date of initial application isthe first day of the annual reporting period in which the new standard applies, being 1July 2019. The lease asset is measured at an amount equal to the lease liability.
	The group is in the process of completing changes to the contracting process and thesystem processes to ensure ongoing compliance with AASB 16.
	The group has substantially completed the assessment of key contracts andarrangements that may qualify as leases under AASB 16 and require recognition on thebalance sheet. The group has reviewed key service contracts including mining services,drilling, haulage, and power generation contracts.
	The work performed to date includes:
	Data gathering: site and group data has been collated relating to contracts that maycontain leases.
	Data integrity and analysis: several identified contracts are covered by the exemption forshort-term and low-value leases and some commitments may relate to arrangementsthat will not qualify as leases under AASB 16.
	Modelling of transition options: review of the transition options is ongoing.
	Further work on the process improvements and reaching conclusions on thegroups accounting interpretations is continuing. In addition, the group is aware thatimplementation activities of other peers continues and the practical application of thenew standard will continue to develop and emerge.
	The leases recognised by the group under AASB 16 predominately relate to the leaseof mining equipment embedded in mining services contracts, power generationcontracts, the leasing of light vehicles, and office premises.
	On adoption of AASB 16, operating lease expense, and a portion of mining contractorcharges, will no longer be recognised in gross profit. Instead the depreciation of rightof-use assets will be recognised in the gross profit and lease financing costs will berecognised in the finance costs.
Date of adoption	AASB 16 is mandatory for financial years commencing on or after 1 January 2019. For thegroup this is the reporting period commencing on 1 July 2019.

DIRECTORS' DECLARATION

In the Directors' opinion:

(a) the financial statements and notes set out on pages 38 to 110 are in accordance with the Corporations Act 2001, including:
- (i) complying with Accounting Standards, the Corporations Regulations 2001 and other mandatory professional reporting requirements, and
- (ii) giving a true and fair view of the consolidated entity's financial position as at 30 June 2019 and of its performance for the financial year ended on that date, and
(b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable, and
(c) at the date of this declaration, there are reasonable grounds to believe that the members of the extended closed group identified in note 27 will be able to meet any obligations or liabilities to which they are, or may become, subject by virtue of the deed of cross guarantee described in note 27.

The 'About this report' section of the notes to the financial statements confirms that the financial statements also comply with International Financial Reporting Standards as issued by the International Accounting Standards Board.

The Directors have been given the declarations by the Chief Executive Officer and Chief Financial Officer required by section 295A of the Corporations Act 2001.

This declaration is made in accordance with a resolution of the Directors.

Kevin James Lines Chairman

Perth 23 August 2019

TO THE MEMBERS OF RAMELIUS RESOURCES LIMITED

Deloitte Touche Tohmatsu ABN 74 490 121 060

Tower 2, Brookfield Place 123 St Georges Terrace Perth WA 6000 GPO Box A46 Perth WA 6837 Australia

Tel: +61 8 9365 7000 Fax: +61 8 9365 7001 www.deloitte.com.au

Independent Auditor's Report to the members of Ramelius Resources Limited

Report on the Audit of the Financial Report

Opinion

We have audited the financial report of Ramelius Resources Limited (the "Company") and its subsidiaries (the "Group") which comprises the consolidated balance sheet as at 30 June 2019, the consolidated income statement, the consolidated statement of comprehensive income, the consolidated statement of changes in equity, and the consolidated statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies and other explanatory information, and the directors' declaration.

In our opinion, the accompanying financial report of the Group is in accordance with the Corporations Act 2001, including:

(i) giving a true and fair view of the Group's financial position as at 30 June 2019 and of its financial performance for the year then ended; and
(ii) complying with Australian Accounting Standards and the Corporations Regulations 2001.

Basis for Opinion

We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Group in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We confirm that the independence declaration required by the Corporations Act 2001, which has been given to the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor's report.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial report for the current period. These matters were addressed in the context of our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Liability limited by a scheme approved under Professional Standards Legislation.

Member of Deloitte Asia Pacific Limited and the Deloitte Network.

TO THE MEMBERS OF RAMELIUS RESOURCES LIMITED (CONTINUED)

Key Audit Matter	How the scope of our audit responded to theKey Audit Matter
Acquisition and classification of the TampiaHill Gold Project	Our procedures included, but were not limited to:
During the year, the Group acquired the TampiaHill Gold Project, for a total consideration of$67.7 million.The determination as to whether the acquisitionrepresents a business combination or an assetacquisition requires judgement, specifically asto whether or not the assets acquired andliabilities assumed constitute a business inaccordancewithAASB3'BusinessCombinations'.Details of the key assumptions applied bymanagementaspartoftheacquisitionaccounting is disclosed in Note 17.	•evaluating the nature of the assets acquiredand liabilities assumed;•assessing whether the existence of a JORCcompliantreserve,withoutadefinitivefeasibility study constitutes an 'input' in thecontext of accounting standards;•assessing whether the existing employees whoaccompanied the Tampia Hill Gold Projectconstituted an organised workforce; and•assessing the amount of additional work thatwould be required to be undertaken to allow apotential development decision to be made.Wealsoassessedtheappropriatenessofthedisclosures included in Note17to the financialstatements.
Accounting for mine development assets
As at 30 June 2019 the carrying value ofdevelopment assets amounts to $ 99.4 millionas disclosed in Note 9.During the year the Group incurred $57.2million of capital expenditure related to minedevelopment assetsand recognised relatedamortisation expenses of $66.2 million.The accounting for both underground and openpit operations includes a number of estimatesand judgements, including:•the allocation of mining costs betweenoperating and capital expenditure; and•the determination of the units ofproductionusedtoamortisemineproperties.For underground operations, a key driver of the	In respect of the allocation of mining costs ourprocedures included, but were not limited to:•obtaining an understanding of the key controlsmanagement has in place in relation to thecapitalisation of both underground and open pitmining costs and the production of physicalmining data; and•on a sample basis, testing the mining coststhrough agreeing to source data.In respect of the allocation of mining costs forunderground operations, our procedures included, butwere not limited to:•assessing the appropriateness of the allocationofcostsbetweenoperatingandcapitalexpenditure based on the nature of theunderlying activity, and recalculating theallocation based on the underlying physicaldata.
allocation of costs between operating andcapital expenditure is the physical mining dataassociated with the different undergroundmining activities including the development ofdeclines, lateral and vertical development, aswell as capital non-sustaining costs.The allocation of costs for open pit operations isbased on the ratio between actual ore and wastemined, referred to as the 'waste to ounce ratio',compared with the ratio of expected ore andwaste mined over the life of the respective openpit.	In respect to the deferred stripping costs ourprocedures included, but were not limited to:•assessing the accounting policy against theappropriate accounting standards, includingAASB 102 Inventories and AASB Interpretation20 Stripping Costs in the Production Phase of aSurface Mine;•assessingthe accuracy of the expectedstripping ratios by agreeing key inputs toReserves and Resources reports;•assessing the accuracy of the actual strippingratios by agreeing key inputs to productionreports and stockpile surveys; and•assessing the completeness and accuracy ofcosts associated with stripping activities.

TO THE MEMBERS OF RAMELIUS RESOURCES LIMITED (CONTINUED)

	InrespectoftheGroup'sunitofproductionamortisation calculations our procedures included, butwere not limited to:•obtaining an understanding of the key controlsmanagement has in place in relation to thecalculationoftheunitofproductionamortisation rate;•testing the mathematical accuracy of the ratesapplied; and•agreeing the inputs to source documentation,including:-the allocation of contained ounces to thespecific mine development assets;-the contained ounces to the applicablereserves statement; and-the reasonableness of the life of mine planfor the development asset.
	Wealsoassessedtheappropriatenessofthedisclosures included in Note9to the financialstatements.
Rehabilitation provisionAs at 30 June 2019 a rehabilitation provision of$46.4 million has been recognised as disclosedin Note 13.Judgement is required in the determination ofthe rehabilitation provision, including:•assumptions relating to the manner inwhich rehabilitation will be undertaken,•scope and quantum of costs, and•timing of the rehabilitation activities.	Our procedures included, but were not limited to:•obtaining an understanding of the key controlsmanagement has in place to estimate therehabilitation provision;•agreeingrehabilitationcostestimatestounderlying support, including where applicablereports from management's experts;•assessing the independence, competence andobjectivity of specialists used bymanagement;•confirming the closure and relatedrehabilitation dates are consistent with thelatest estimates of life of mines;•comparing the inflation and discount rates toavailable market information; and•testing the mathematical accuracy of therehabilitation provision.
	We also assessed the appropriateness of thedisclosures included in Note 13 to the financialstatements.

Other Information

The directors are responsible for the other information. The other information comprises the information included in the Group's annual report for the year ended 30 June 2019, but does not include the financial report and our auditor's report thereon.

Our opinion on the financial report does not cover the other information and we do not express any form of assurance conclusion thereon.

TO THE MEMBERS OF RAMELIUS RESOURCES LIMITED (CONTINUED)

In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of the Directors for the Financial Report

The directors of the Company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the directors are responsible for assessing the ability of the Group to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

Auditor's Responsibilities for the Audit of the Financial Report

Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Group to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

TO THE MEMBERS OF RAMELIUS RESOURCES LIMITED (CONTINUED)

• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the financial report. We are responsible for the direction, supervision and performance of the Group's audit. We remain solely responsible for our audit opinion.

We communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide the directors with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with the directors, we determine those matters that were of most significance in the audit of the financial report of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Report on the Remuneration Report

Opinion on the Remuneration Report

We have audited the Remuneration Report included in pages 17 to 27 of the Director's Report for the year ended 30 June 2019.

In our opinion, the Remuneration Report of Ramelius Resources Limited, for the year ended 30 June 2019, complies with section 300A of the Corporations Act 2001.

Responsibilities

The directors of the Company are responsible for the preparation and presentation of the Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.

DELOITTE TOUCHE TOHMATSU

David Newman Partner Chartered Accountants Perth, 23 August 2019

SHAREHOLDER INFORMATION

Additional Information required by the Australian Securities Exchange Limited Listing Rules and not disclosed elsewhere in this report is set out below.

Shareholdings as at 7 October 2019

Substantial shareholders

The number of shares held by substantial shareholders and their associates as disclosed in substantial holding notices given to the Company are set out below:

Substantial shareholder	Number of fully paid ordinary shares held
Ruffer LLP	50,392,723
Mitsubishi UFJ Financial Group, Inc.	44,016,990
Van Eck Associates Corporation	36,388,598
Vinva Investment Management	32,586,179

Voting Rights

Fully paid ordinary shares

Other than voting exclusions as required by the Corporations Act 2001 and subject to any rights or restrictions attached to any class of shares, at a meeting of members, on a show of hands, each member present (in person, by proxy, attorney or representative) has one vote and on a poll, each member present (in person, by proxy, attorney or representative) has one vote for each fully paid share they hold.

Options and Performance Rights

Details of options and performance rights on issue by the Company as at 7 October 2019 are as follows:

Expiry date	Exercise price	Number of options	Number ofPerformance Rights
11/06/2020*	$0.20	1,500,00
01/07/2024*	Nil		593,217
01/07/2025*	Nil		539,690
11/06/2026*	Nil		500,000
01/07/2026*	Nil		620,181
01/07/2027#	Nil		3,680,666
01/07/2028#	Nil		3,758,508

Option and performance rights holders will be entitled on payment of the exercise price shown above to be allotted one ordinary fully paid share in the Company for each option/performance right exercised.

* These options/performance rights are exercisable in whole or in part at any time until the expiry date. Any options/performace rights not exercised before expiry will lapse.

These performance rights are subject to vesting conditions and once vested are exercisable in whole or in part at any time until the expiry date. Any vested performance rights not exercised before expiry will lapse.

SHAREHOLDER INFORMATION

(CONTINUED)

Distribution of equity security holders

Ordinary shares

Range	Total holders	Units	Units
1 - 1,000	1,504	579,601	0.09
1,001 - 5,000	2,212	6,270,057	0.95
5,001 - 10,000	1,253	10,098,849	1.53
10,001 - 100,000	2,465	83,362,595	12.66
100,001 Over	445	557,910,926	84.76
Rounding	-	-	0.01
Total	7,879	658,222,028	100.00

Unmarketable Parcels

Range	MinimumParcel Size	Holders	Units
Minimum $ 500.00 parcel at $ 1.1950 per unit	419	859	86,557

All unquoted options (1,500,000) are held by the Company's Managing Director, Mr Mark Zeptner.

Performance Rights

Category	Holders ofUnquoted1 July 2024PerformanceRights	Holders ofUnquoted1 July 2025PerformanceRights	Holders ofUnquoted 11June 2026PerformanceRights	Holders ofUnquoted1 July 2026PerformanceRights	Holders ofUnquoted1 July 2027PerformanceRights	Holders ofUnquoted1 July 2028PerformanceRights
1 - 1000	-	-	-	-	-	-
1001 - 5,000	-	-	-	-	-	-
5001 – 10,000	-	-	-	-	-	-
10,001 – 100,000	4	8	-	6	-	12
100,001 and over	3	-	1	2	18	13
Total Security Holders	7	8	1	8	18	25

On market buy-back

There is no current on-market buy-back.

SHAREHOLDER INFORMATION

(CONTINUED)

Twenty largest shareholders

The name of the 20 largest holders of fully paid ordinary shares constituting a class of quoted equity securities on the Australian Securities Exchange Limited including the number and percentage held by those holders at 3 October 2019 are as follows:

Rank	Name	Units	% Units
1	HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED	162,423,767	24.68
2	J P MORGAN NOMINEES AUSTRALIA PTY LIMITED	128,722,615	19.56
3	CITICORP NOMINEES PTY LIMITED	72,172,415	10.96
4	NATIONAL NOMINEES LIMITED	16,377,670	2.49
5	STRAMIG HOLDINGS PTY LTD	9,500,000	1.44
6	WEST TRADE ENTERPRISES PTY LTD	5,515,333	0.84
7	CS THIRD NOMINEES PTY LIMITED <hsbc 13="" a="" au="" c="" cust="" ltd="" nom="">	4,660,400	0.71
8	MR RICHARD ARTHUR LOCKWOOD	4,500,000	0.68
9	HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED - A/C 2	4,460,779	0.68
10	BNP PARIBAS NOMINEES PTY LTD	3,806,582	0.58
11	BNP PARIBAS NOMS PTY LTD	3,761,676	0.57
12	MISTY GRANGE PTY LTD <bj &="" a="" c="" f="" la="" pens="" s="" winsor="">	3,721,383	0.57
13	BNP PARIBAS NOMINEES PTY LTD	3,431,041	0.52
14	CHRYSOS FUND LIMITED	2,950,000	0.45
15	WEST TRADE ENTERPRISES PTY LTD	2,306,254	0.35
16	MR GABOR MATORICZ	2,200,000	0.33
17	HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED-GSCO ECA	2,014,779	0.31
18	SOUTHERN CROSS CAPITAL PTY LTD	1,905,000	0.29
19	MR IAN GEORGE KNIGHT	1,500,000	0.23
19	MR MARK WILLIAM ZEPTNER	1,500,000	0.23
19	MR MARK WILLIAM ZEPTNER + MRS VALMA ZEPTNER <zeptner a<br="" s="">FUND A/C>	1,500,000	0.23
	Totals: Top 21 holders of ORDINARY FULLY PAID SHARES (Total)	438,929,694	66.68
	Total Remaining Holders Balance	219,292,334	33.32

Unquoted and restricted equity securities

Fully paid ordinary Shares

There are no unquoted restricted fully paid ordinary shares on issue.

Performance Rights

Details of options and performance rights on issue as at 7 October 2019 which are unquoted restricted securities held by employees as long-term incentives are as follows.

Date until securities arerestricted	Number ofunquotedsecurities onissue	Number ofholders	Vesting Date	Exercise price	Exercisableuntil
11/06/2020#	1,500,000	1	-	$0.20	11/06/2020
01/07/2024*	593,217	7	-	Nil	01/07/2024
01/07/2025*	539,690	8	-	Nil	01/07/2025
11/06/2026*	500,000	1	-	Nil	11/06/2026
01/07/2026*	620,181	8	-	Nil	01/07/2026
01/07/2027**	3,680,666	18	01/07/2020	Nil	01/07/2027
01/07/2028**	3,758,508	25	01/07/2021	Nil	01/07/2028

These securities are vested options which may not be transferred or used as collateral.

* These securities are vested performance rights which may not be transferred or used as collateral.

** These securities are unvested performance rights exercisable when vested which may not be transferred or used as collateral

RAMELIUS RESOURCES LIMITED ACN 001 717 540 ABN 51 001 717 540

Level 1, 130 Royal Street EAST PERTH WA 6004 PO Box 6070 EAST PERTH WA 6892

Telephone: (08) 9202 1127 Email: [email protected] Website: www.rameliusresources.com.au

AI assistant

RAMELIUS RESOURCES LIMITED — Annual Report 2019

65718_rns_2019-10-20_ed56f3ad-c767-4910-a12e-53934bf8b6f4.pdf

annual report 2019 ASX300 ENTRY

CORPORATE DIRECTORY

table of contents

CHAIRMAN'S REPORT

DEAR FELLOW SHAREHOLDERS,

MANAGING DIRECTOR'S REPORT

DEAR SHAREHOLDERS,

2019 HIGHLIGHTS

CONTINUED GROWTH

ROBUST FINANCIALS

ASX300 ENTRY

FY2019 KEY FINANCIAL HIGHLIGHTS

Earnings:

Cashflow:

Balance Sheet Cash & Bullion:

Dividend Payment:

FIVE-YEAR MINE PLAN

EDNA MAY

Edna May Operations

Marda Project

Tampia Hill Project

MT MAGNET

Cosmos Mine Area

Vivien Satellite Mine

CORPORATE SUMMARY

OPERATIONS REVIEW

OVERVIEW

WESTERN AUSTRALIA

196,679 ounces

OPERATIONAL SUMMARY

Average realised gold price v All-in sustaining cost (by Quarter) %/Oz

MT MAGNET Mining

MT MAGNET (continued)

EDNA MAY

Mining

Milling

Edna May mill production for the 2019 financial year

OPERATIONS REVIEW

DEVELOPMENT & EXPLORATION PROJECTS

Development projects

In the 2018 Annual Report Ramelius outlined the plans for the following development projects:

Development & exploration projects

Greenfinch project (Edna May, WA)

Marda Gold Project (Yilgarn, WA)

Development & exploration projects (continued)

Tampia Hill Gold Project (Narembeen, WA)

Development & exploration projects

Exploration

Mt Magnet

ERIDANUS DEEPS PROSPECT

Development & exploration projects (continued)

Development & exploration projects (continued)

TITAN DEEPS PROSPECT

LONE PINE SOUTH PROSPECT

Development & exploration projects (continued)

Edna May

SYMES' FIND

Development & exploration projects (continued)

EDNA MAY GOLD MINE

WESTONIA / HOLLETON / MT HAMPTON PROJECTS

NULLA SOUTH FARM-IN & JOINT VENTURE PROJECT – RAMELIUS EARNING 75%

GIBB ROCK FARM-IN & JOINT VENTURE PROJECT – RAMELIUS EARNING 75%

Other

YANDAN PROJECT (QLD)

TANAMI JOINT VENTURE (NT) – RAMELIUS 85%

JUPITER FARM-IN & JOINT VENTURE (NEVADA, USA) – RAMELIUS EARNING 75%

RESOURCES AND RESERVES

COMPANY SUMMARY AS AT 30 JUNE 2019

MINERAL RESOURCES

Mineral Resource Commentary

ORE RESERVES

Table B: Ore Reserves

Ore Reserve Commentary

Ore Reserve Commentary (continued)

COMPETENT PERSONS

NATIVE TITLE STATEMENT

Recognition and Respect

RAMELIUS RESOURCES LIMITED Annual Report 2019